Press Releases

BSA 2011 Study Shows Growth in Global Piracy; ISVs to Turn to Compliance Programs to Recover Revenue

Software Intelligence enables ISVs to convert pirates and inadvertent misusers to paying customers

WALTHAM, Mass. — May 15, 2012 — The leading software intelligence solutions provider, V.i. Laboratories, Inc. (“V.i. Labs”), today announced that its top customers have identified more than $2.4 billion in revenue recovery opportunity since deploying CodeArmor® Intelligence to generate actionable intelligence on overuse and misuse of software applications. A sample of V.i. Labs’ customers sharing results have reported gains of new license revenue of more than $100 million since 2011 using software intelligence data.

“The recent BSA global software piracy study shows that the value of software pirated in 2011 rose to $63.4 billion. Coupled with our own projections using actual software usage data, this underscores the opportunity for software vendors to convert non-compliant use to paying customers and add 10 to 25 percent in new license revenue,” said Joseph Noonan, President and CEO, V.i. Labs. “The industry has been employing whistleblower campaigns, website takedowns and overly complicated DRM measures without effect, while creating negative experiences for their customers and brand. Using software intelligence allows vendors to create their own self-funding internal compliance programs and gain revenue without impacting licensed customers.”

“The increase in revenue lost to piracy suggests software vendors need to understand their piracy risk and formalize their software compliance strategies. V.i. Labs offers a solution that enables vendors to track the actual adoption of unlicensed software and positions them to recover license revenue otherwise lost to piracy,” said Amy Konary, VP, Software Pricing and Licensing at IDC. “Our recent interviews with V.i. Labs’ customers revealed they were receiving significant actionable intelligence on global adoption of pirated software by business organizations resulting in an increased volume of piracy leads and a faster turn-around time to resolution.”

Leading software vendors recognize that users of pirated software are high quality sales leads, doing real commercial work and generating revenue using unlicensed software. “The CodeArmor Intelligence leads are people who are not ‘trying and buying,’ they’re actually ‘using and producing.’ They have products in the supply chain, are working with major clients, and doing all the things that drive revenue for them using our software illegally,” said a Senior Compliance Director at a leading product lifecycle management software vendor that recovered tens of millions of dollars in license revenue in 2011.

V.i. Labs customers’ success in identifying license revenue opportunities and actionable intelligence from the use of pirated software suggests that the revenue lost to piracy is even higher than the BSA estimates (contrary to many BSA study critics). Additionally, aggregated CodeArmor Intelligence data on the total number of active machines running unlicensed software reveals that regions with high enforcement factors are among the top 20 piracy regions:

  1. China
  2. Taiwan
  3. USA*
  4. Korea*
  5. Germany*
  6. Russia*
  7. Turkey
  8. Italy
  9. France*
  10. India*
  1. Brazil
  2. Hungary
  3. Spain*
  4. UK*
  5. Slovenia
  6. Canada*
  7. Japan*
  8. Thailand*
  9. Ukraine
  10. Czech Republic

* Regions with an enforcement factor of 70 percent or higher. Learn more about the enforcement factor and your company’s revenue opportunity by using V.i. Labs’ Compliance Revenue Opportunity Calculator at: http://www.vilabs.com/uncover-your-compliance-revenue-opportunity

About V.i. Laboratories (V.i. Labs)

V.i. Labs offers software providers solutions to identify, track, and create actionable intelligence on the use and misuse of their software to increase revenue. Its CodeArmor® platform is used by leading software providers to recover revenue lost to unlicensed software use, gain compliant customers and globally reduce the pirated use of their software applications. Customers have identified more than $2 billion in revenue recovery opportunities and are adding an average of 10 to 25 percent additional revenue to their bottom lines. V.i. Labs is privately held and headquartered in Waltham, Mass. For more information, please visit www.vilabs.com, follow us on Twitter (@vilabs), or read our blog, Code Confidential.

V.i. Labs also sponsors the Software Piracy Initiatives Forum on LinkedIn. The forum was created to give software vendors a venue for discussing these issues and to share their experiences to minimize piracy's impact on the industry.

©2012 V.i. Laboratories, Inc. All rights reserved. V.i. Labs, the V.i. Labs logo, and CodeArmor are trademarks or registered trademarks of V.i. Laboratories, Inc. All other product and brand names herein are trademarks or registered trademarks of their respective owners.

Media Contact

Michael Goff

Revulytics, Inc.
781.398.3451
mgoff@revulytics.com

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