BSA Says Software Theft Exceeded $51B In 2009 350
alphadogg sends a NetworkWorld.com piece going over the Business Software Alliance's latest stats on software theft around the world. "Expanding PC sales in emerging markets is increasing the rate of software piracy, according to the Business Software Alliance and IDC. The rate of global software piracy in 2009 was 43%, meaning that for every $100 worth of legitimate software sold in 2009, an additional $75 worth of unlicensed software also made its way into the market. This is a 2-percentage-point increase from 2008. Software theft exceeded $51 billion in commercial value in 2009, according to the BSA. IDC says lowering software piracy by just 10 percentage points during the next four years would create nearly 500,000 new jobs and pump $140 billion into 'ailing economies.' ... In the United States, software piracy remained at 20%, the lowest level of software theft of any nation in the world. ... The PC markets in Brazil, India, and China accounted for 86% of the growth in PC shipments worldwide." The BSA president said, "Few if any industries could withstand the theft of $51 billion worth of their products." It's unclear whether that was a brag about the industry's robustness, or a result of the industry's low cost of goods sold.
Re:This just in: (Score:3, Informative)
Software industry has lowest per unit cost/fixed cost ratio in the world...
Even if you count the 90-day tech support contract that comes with a legit copy of a program?
Which support is that? All OEM copies of Windows are (tech) supported by the hardware manufacturer - not Microsoft. Same with OEM Office provided by hardware manufacturers if memory serves. If it comes pre-installed, Microsoft doesnt support it.
While that may be different (and likely is) for other software vendors, I am sure (based on other statements by Microsoft) that a large chunk of the figure cited pertains to Windows and Office installs. Regardless, in those arenas, the costs are probably similar. You buy a retail copy, you pay more and Microsoft supports it. You buy a computer with Windows, then the hardware manufacturer supports it, but Microsoft takes in less because they charge the hardware OEM less.
Re:Lost sales? (Score:3, Informative)
There are certainly some instances of that, but there are also instances of people running pirated versions of Windows instead of paid versions. I had a tech friend put together a PC for me and he had said the version of Windows I had was legit even though I didn't have to pay for it -- obviously this wasn't the case. If it hadn't been for his pirated copy, I would have certainly purchased a copy of Windows.
For the last time... It is not "theft" (Score:5, Informative)
When software is pirated, it is not permanently depriving the original owner of the item.
In the UK - "A person shall be guilty of theft if he dishonestly appropriates property belonging to another with the intention of permanently depriving the other of it." - Theft Act 1968 [wikipedia.org]
I'm not educated in such matters but it seems that the US and other countries take a similar view [wikipedia.org]
(Right, I can breathe again)
Re:Even Less Accurate Maths Than Usual (Score:3, Informative)
Software piracy rate is calculated by taking the total "value" of pirated software(a) and dividing it by the total "value" of all software that makes its way onto the market(a+b). Hence, for every $175 in software value that makes its way onto the market(a+b), $100 is paid for(b), and $75 is pirated(a). Whether or not you agree with this metric is another story entirely, but the math works.
Rate = a/(a+b) = $75/$175 = 43%(or close enough)
Pry my Photoshop 4.0 on emulated 68K Mac out of.. (Score:3, Informative)
You'll have to ensure I can't get where I want to go by using unsupported methods.
I'll be cranking out .DOC, .GIF and .PSD files until I can't run Word 6.0 and Photoshop under BasiliskII any more. Granted, I'm the sort of person who'll convert them into .ODT, .PNG, and .XCF files with open tools after that, where they may find their way into the greater 'cloud'.
The goocher here is the 'Tools Gap', where a generation will be learn remote client-server applications use vs. the way it's been since the Home Computer Revolution.
I still have access to the same Web of Internets as the 'Cloudies', and may create some of what is consumed therein, unless the door closes on external methods, which will take decades, if at all.
(And yes, there's a floppy drive within reach.)
Re:BSA Says Software Theft Exceeded $51B - Meanwhi (Score:4, Informative)
I think your average price for a piece of software is FAR too low.
Windows: $299+ (retail, not upgrade) Photoshop: $600+ (retail, not upgrade) MSOffice: $300+ depending on professional/small business/enterprise AutoCAD: $3000+ Oracle: $$$$$$$ Based on their site review ("how much does it look like your company can afford")
Hmmm... Windows 7 Ultimate Full Retail is only $285, Home Premium Full Retail is $185, and only $99 for Home Premium OEM (which anyone can install same as any other copy) (newegg.com)
Your MS Office prices are also equally as skewed, as it starts at $119 for MS Office (Home and Student) and $235 for Business. All full retail copies.
You missed the:
"At $200 avg, it's 255 million copies... and so on."
At an average of $300 it's 170 million copies - and so on.
Especially because per Microsoft's figures (if 2009's are anything like last years) a very large portion (over 60% I think) of the piracy is for Windows and Office. You can find those claims here on slashdot and elsewhere... what you would need to do is look at the BSA figures for 2008, and compare them to Microsoft's figures for 2008 to come up with the percentage.
Re:Lost sales? (Score:2, Informative)
Well, in that case, the shop owner has lost $100 (or whatever the wholesale cost of the product was) out of his pocket. He hasn't simply failed to make $150. He paid $100 for those shoes, and someone took them and he is incapable of selling another pair without spending another $100 out of his pocket. He now has to sell two more pairs of shoes just to break even (not counting salaries, utilities, rent, etc..).
Lost sales are not equal to stolen goods, no matter how you want to look at it.
words have meaning (Score:3, Informative)
"Few if any industries could withstand the theft of $51 billion worth of their products."
That's because in a theft you lose the item in question, so $123 gazillion of theft means you produced, but can no longer sell, them.
On the other hand, your $456 fantastillion in piracy means that people who didn't pay have a copy - as do you, and sales continue. That's quite a bit of a difference.
And let's not even talk about the bullshit way that they come up with these numbers. I sell software, too. I just don't live in a dream world where I believe everyone in the world is a potential customer, so every unauthorized copy is identical to a lost sale.
Your crack isn't the best at hardware support (Score:2, Informative)
I carry a Linux Mint disc with me almost all the time. [Former Windows pirates] get legit and save money, and it easily supports what most people want to do with a home computer
Until they want to use the webcam they own (which happens not to be on Mint's HCL) or the WLAN or Bluetooth chip on the motherboard (which happens not to be on Mint's HCL).
surf the web
You can't if the kernel doesn't support your network card, can you?
a little word processing and maybe some spreadsheet work
How well does OpenOffice.org run Excel spreadsheets with lots of macros?
listen to music
MP3 and M4A are patented. Is Linux Mint licensed? Or where do you live?
a few games
Except for the ones they happened to buy, which are unrated or garbage on Wine's AppDB.
Re:End all software piracy now... (Score:3, Informative)
http://en.wikipedia.org/wiki/Business_Software_Alliance#BSA_annual_software_piracy_study [wikipedia.org] using open sources will not stop them from claiming piracy was on the rise, because in their "calculations" the use of open source software IS piracy!
Re:Let Me Add to the List; I'm Good at This Too (Score:5, Informative)
I promise to amend my ways and delete all pirated software and replace them with Linux and Linux equivalent products. From now on, It's Linux all the way :-)
And we might point out that the linux crowd long ago solved the software piracy problem. The piracy rate for linux and other FOSS software has been close to zero for years. (It's slightly nonzero due to the corporate users who violate the license.)
You'd think that the RIAA/MPAA/etc. would have noticed that the Free Software crowd has no problem with piracy, and would want to adopt their successful tactics. Anyone know why they don't?
Re:Customers and users hate the cloud. (Score:2, Informative)
I think the GP was talking about how Windows, while it may have been successful for Billy, has caused huge problems for just about everyone else, especially the users. Windows definitely is a failure when it comes to cost, reliability, security, and basically every other factor you want to consider.
Cloud Computing is the same. Amazon might benefit from it, but basically everyone using it directly, or using an application hosted on it, suffers quite badly.
Re:Let Me Add to the List; I'm Good at This Too (Score:3, Informative)
Poor analogy, indeed, since you can't create exact copies of someone's car for cents.