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BSA Study: Properly Licensed Software Delivers Four Times the Economic Benefit of Pirated Software

mini-orby [1]A new study from BSA | The Software Alliance [2] and INSEAD [3], one of the world’s leading business schools, finds that increasing the use of properly licensed software would have a greater impact on the economy in Canada than allowing similar growth in the use of pirated software. A one per cent increase in use of licensed software would generate an estimated $2.25 billion, in national production, compared to $521 million from a similar increase in pirated software — meaning properly licensed software would deliver $1.73 billion in additional economic value.

Competitive Advantage: The Economic Impact of Properly Licensed Software [4] is a groundbreaking analysis that draws on data from 95 countries to demonstrate the benefits to national economies of using fully licensed software. The study confirms that increasing use of licensed software corresponds to substantial positive gains in gross domestic product (GDP), and that the economic stimulus effect of properly licensed software is significantly greater than that of pirated software.

“Using properly licensed software reduces risk and creates operating efficiencies that go directly to the bottom line for enterprises,” said Jodie Kelley, Vice-President of Anti-Piracy & General Counsel. “This study confirms that licensed software is not just good for firms — it is an important driver of national economic growth. Government, law enforcement, and industry in Canada should take every opportunity to reap these potential gains by reducing piracy and promoting use of properly licensed software.”

The study also finds that each additional dollar invested in properly licensed software has an estimated return on investment (ROI) of $73. This compares to a $46 return from each additional dollar worth of pirated software put into use.

Among the study’s other findings:

“Previous studies have shown that value-added services delivered with properly licensed software help firms to reduce costs and increase their productivity. This report goes one step further to ascertain the impact of software use on national production,” said Eduardo Rodriguez-Montemayor, senior research fellow at INSEAD eLab. “The results make it clear that licensed software is beneficial for business and national economies — and that licensed software has a greater economic impact than pirated software across all countries included in the study.”

Governments and enterprises wanting to embrace the economic opportunity presented by licensed software use should take action in the following areas:

A full copy of the study: Competitive Advantage: The Economic Impact of Properly Licensed Software is available for download on BSA’s website: www.bsa.org/softwarevalue [4].

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1 Comment To "BSA Study: Properly Licensed Software Delivers Four Times the Economic Benefit of Pirated Software"

#1 Comment By Tami Quiring (@VillageGamer) On Tuesday May 21, 2013 @ 7:52 am

In @BSAnews – Properly Licensed Software Delivers Four Times the Economic Benefit of Pirated Software [9]