UK turns blind eye to piracy laws

Piracy is costing the UK business software industry nearly £1bn ($1.8bn) a year, according to research released this week.

Some 27 per cent of all UK business IT software is illegal, making the UK the fifth worst offender in the world, says the 2005 Global Piracy Study, commissioned by the Business Software Alliance (BSA).

Software piracy levels also increased globally, costing technology firms $34bn (£18bn) last year, according to the research conducted by analyst IDC.

The BSA says software theft and piracy is being fuelled by the growth of broadband allowing business applications, IT security packages and operating systems to be downloaded quickly.

‘There are consequences and stiff penalties if businesses get caught,’ said Siobhan Carroll, regional manager at BSA.

The report suggests software piracy is most prolific in Asia and Africa, with Vietnam (90 per cent of all software), Zimbabwe (90 per cent) and Indonesia (87 per cent) the worst offenders.

But financially the US, China, France, Germany and UK, cost the software industry the most money in terms of theft.

BSA chairwoman Julie Strawson says illegal software is often downloaded by staff at home and brought into a company without the directors knowing. Better network auditing tools would help reduce this, she says.

The BSA is also lobbying government to improve education among businesses about the importance of intellectual property (IP) and how it can benefit the UK software industry.

‘The government is making positive steps in changing attitudes towards IP issues, but businesses also have a massive role in ensuring this is translated into reduced piracy levels,’ said Ian Stewart MP, chairman of parliamentary lobby group Eurim.

Although this requires a lot of investment, improved software sales will be a financial boost to the economy, says Stewart.

Strawson added: ‘There could be a huge increase in growth and innovation in the software industry if piracy was reduced.’

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