
The rate of software piracy in South Africa has remained constant over the past year, despit a doubling in the local PC market. According to the 2010 Global Software Piracy Study, run by the Business Software Alliance (BSA), the country’s piracy rate remained at 35% in 2010, while the commercial value of unlicensed software installed on personal computers in South Africa reached over R3.6 billion last year.
“This tells us that despite an increase in the number of PC shipments last year, some progress has been made in keeping software piracy rate in South Africa at bay, said Renee Luus, BSA’s enforcement manager.”However, there is still much more work to be done-the further we reduce software piracy, the better it will be for the South African economy in terms of fostering IT innovation as well as job creation.”
Now in its eighth year, the 2010 Global Software Piracy Study is 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 countries and regions around the world. This year’s study has included respondents from South Africa as well as a public-opinion survey of PC users on key social attitudes and behaviors related to software piracy, conducted by Ipsos Public Affairs.
According to the survey, 72% of the respondents from South Africa show strong support for inventors as well as intellectual property rights (IPR), on par with the global average. 78% says IPR rewards creativity while 61% says it creates jobs. The survey also found widespread recognition that licensed software is superior to unlicensed software, and that PC users are very aware of legal vs. illegal methods to acquire software.
“Clearly, there is a strong appreciation for the value delivered by legal software in South Africa,” adds Luus. “The results reinforce the need to educate users that software downloaded from Peer-to-Peer (P2P) networks is often illegal, and installing software purchased for one computer on multiple home or office PCs is piracy.”
In an article published by mybroadband.co.za, it was revealed that most of South Africa’s Internet service providers would not take action if they were alerted to online copyright infringements by their customers. In the article, Keoma Wright, the founder of Openweb is quoted as saying “The internet IS a torrent. Why create a monster, only to dress him in pink slippers and a Winnie the Pooh nighty? Lawmakers should worry about the crime rate, as committing a murder is a lot more serious than downloading a movie about one.”
Mybroadband.co.za also reports that Neotel does not send copyright infringement warnings to its subscribers. “We believe that this approach is consistent with our interpretation of the legal obligations of ISPs, and our obligations in terms of the ISPA Code of Conduct,” said Neotel’s Angus Hay.
According to Charl Everton, chairperson of the BSA committee in South Africa, the opportunity for piracy is very real but the opportunity to reduce it is even more real because of the IT industry’s relationship with the South African government. “The BSA is encouraged by and welcomes the government’s efforts to focus on reducing software piracy. We believe the formation of the Companies and Intellectual Property Commission (CIPC), an independent body, brings together the skills and knowledge of the Office of Companies and Intellectual Property Enforcement and the Companies and Intellectual Property Registration Office (CIPRO), is a progressive move by government. It sends a clear message that government is committed not only to education and awareness, but also compliance and enforcement in the fight against software piracy.”
Additional findings from the study include:
- The commercial value of pirated software in MEA totaled just over $4 billion. Globally, the value of software theft grew to a record $59 billion — nearly double that when the study began 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.
- Emerging economies have become a driving force behind PC software piracy. Piracy rates in the developing world are 2.5 times higher than those in the developed world, and the commercial value of pirated software ($31.9 billion) accounts for more than half of the world total.
- The most cited advantages of licensed software globally are access to technical assistance (88 percent) and protection from hackers and malware (81 percent).
- Among the common ways people in engage in piracy is to buy a single copy of software and install it on multiple computers.
- Strong majorities of PC users around the world believe intellectual property rights and protections produce tangible economic benefits: 59 percent globally say IP rights benefit local economies, while 61 percent globally say IP rights create jobs.
“Today’s study shows that while piracy continues to threaten the global economy, people clearly understand and appreciate the value of intellectual property, especially its role in driving economic growth,” said Robert Holleyman, BSA president and CEO. “Software theft continues to stifle IT innovation, job creation, and economic growth around the world. This report clearly shows the importance of educating businesses, government officials, and end users about the risks of software theft — and what they can do to stop it.”
By Angela Meadon

