Sherpa Hossainy's Blog

Software piracy reaches $137m in Bangladesh

Posted in Bangladesh, Business, Computer, Dhaka, Economy, Export and Import, Internet, IT, Software, Technology by Sherpa Hossainy on May 26, 2011

Published in The Daily Independent on 20 May, 2011

Read the article on The Independent website

Digital print edition

The value of unlicensed softwares installed on personal computers in Bangladesh reached a record $137 million in 2010, a study revealed.

The Global Software Piracy Study 2010 by Business Software Alliance (BSA), which evaluates the global state of software piracy, found that 90 percent of the softwares installed on PCs in Bangladesh are pirated.

The value of illegally obtained software was $127 million in 2009, while the piracy rate was 91 percent.

“Although we have seen a one-point reduction in the software piracy rate over the previous year, we continue to face huge challenges to keep the piracy rate down,” BSA said in the study.

“Even as the Bangladesh IT industry is developing, many companies are still oblivious to what constitutes illegal software use,” said Roland Chan, senior director (marketing), Asia-Pacific, BSA.

The survey found seven out of 10 respondents expressing support for paying inventors for their creations to promote more technology advances. However, support for intellectual property rights was strongest in markets with higher piracy rates.

The commercial value of stolen software in Asia Pacific totaled over $18.7 billion, while  the global value was $59 billion — nearly double than the value in 2003.

Half of the 116 geographies studied in 2010 had piracy rates of 62 percent or higher, with the global average piracy rate at 42 percent.

The study found the piracy rate in the developing world was 2.5 times higher than the developed world, and the commercial value of pirated softwares were $31.9 billion, which accounts for more than half of the world total.

Globally, 59 percent of the respondents said IP rights benefit local economies, while 61 percent said that IP rights create jobs.

Among the common ways of people engaging in piracy was to buy a single copy of software and installing it on multiple computers. The survey found that 51 percent of business-decision makers in developing markets erroneously believed that the softwares were legal.

This was the eighth study of global software piracy conducted by BSA in partnership with IDC, the IT industry’s leading market research and forecasting firm, using a methodology that incorporates 182 discrete data inputs for 116 regions around the world.

This year’s study also included a public opinion survey of PC users on key social attitudes and behaviors related to software piracy, conducted by Ipsos Public Affairs.

The study covers piracy of all software that runs on PCs, including desktops, laptops, and ultra-portables and netbooks. This includes operating systems, databases and security packages, and applications software.

The BSA works in 80 countries to expand software markets and create conditions for innovation and growth. BSA members include giant software makers like Adobe, Apple, Autodesk, Corel, Microsoft, Siemens and Symantec.

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3 Responses

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  1. Brendan W. said, on May 26, 2011 at 8:46 pm

    This is well-written work, Sherpa. I think it could have been even better if the bias of the industry organisation, which independent analysts here accuse of wildly over-estimating the value of sales it loses to piracy, where put front and centre. I don’t know if there are any Dhaka-based professors or lawyers who know about this issue, but it might be good to find one for next time. As a rule, it is also good policy to quote the margin of error in a particular study near the middle of the story, or at least at the end of it. This helps a reporter stay focussed on trends that are statistically significant, and alert to sample sizes that are too small to be conclusive. If the margin of error is, say, ‘within 5% 19 times out of 20’, then anything less than a 5% rise or drop compared with a prior year’s study is not noteworthy as a trend. It is just noise, not music.

    • Brendan W. said, on May 26, 2011 at 8:48 pm

      ‘Were’ put front and centre, that should have been.

    • Sherpa Hossainy said, on May 26, 2011 at 8:57 pm

      Thanks a million for the advices Brendan. I’m planning to contact the industry people and law enforcing agency, dig it a little bit more and do another story on that.


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