Revulytics Blog

BSA Study: Findings About Licensed Software

May 22, 2013

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Did you attend our software license compliance panel in Waltham last week? If so, you may recall Peter Beruk from the BSA mentioning that they were going to be releasing a study this week.

Peter-Beruk-BSA-ViLabs-License-Compliance-PanelThe study, “Competitive Advantage: The Economic Impact of Properly Licensed Software,” found that “increasing the amount of properly licensed software in use globally by 1 percent would add an estimated $73 billion to the world economy, compared to $20 billion from pirated software — meaning there is a $53 billion advantage associated with using licensed software. The study also finds the greatest potential for economic gains are in emerging markets.”

When you compare these findings to the 2012 BSA Global Piracy Study which pegged the commercial value of software theft at $63.4 billion, it is interesting to see that reducing the impact of global piracy by just 1 percent would appear to come close to balancing that out. I say “appear” because (obviously) the $53 billion advantage goes to national economies, of which the software vendors themselves are only a small part.

The goal of the study is to demonstrate the economic benefits of combating piracy to governments around the globe, and the BSA recommends that governments:

  • Increase public education and awareness;
  • Modernize IP laws to account for new innovations;
  • Step up enforcement with dedicated resources; and
  • Lead by example

“Leading by example” represents the intersection of the missions of BSA and V.i. Labs. BSA notes that “governments are the largest users of software in the world” and urges them to “demonstrate leadership by ensuring they are using only fully licensed software in their own operations....[and] promote the use of legal software in state-owned enterprises, and among all contractors and suppliers.” It should come as no surprise that our customers regular see infringement data coming from government entities, contractors suppliers - the upside is that they are able to recover license revenue and begin to validate how successfully those governments are actually leading by example.

BSA does an excellent job on policy and advocacy for the software industry; our focus at V.i. Labs is on helping the individual vendors recover revenue for unpaid software. Software vendors using CodeArmor Intelligence and CodeArmor Control are taking a proactive stance to recover hundreds of millions of dollars in license revenue.

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Michael Goff

Post written by Michael Goff

Marketing Director at Revulytics
Michael is Marketing Director at Revulytics where he is responsible for corporate marketing, content, and social media. He has helped to educate the industry on the benefits of software usage analytics for compliance and product management through the company's blog and contributed articles in trade publications. Michael was previously a marketing programs manager at The MathWorks and principal at Goff Communications. Michael earned a J.D. from Boston University School of Law and a B.A. from Colgate University.