“While there are existing laws to prevent the use of pirated software and to protect IP, the time has come to drive strict implementation. Failure on this front would mean not just a negative impact on the manufacturing segment but also on the economy, job opportunities and national reputation,” said Jaideep Mehta, Vice President and General Manager - South Asia, IDC.
IDC’s report predicts that a reduction in usage of pirated software in the manufacturing sector by a mere 10% over the next four years will deliver compelling positive outcomes, not just on the manufacturing segment, but also on the IT industry ($700 million in new revenue) and other related industries ($900 million in new revenue). Further, over 15,000 jobs will also be created.
IDC’s report titled “The Dramatic Impact Unfair Competition Initiatives in the United States Could Have on Emerging Markets” investigated the impact of software piracy in six emerging markets including India, China, Brazil, Mexico, Thailand and Turkey and notes that up to $790 billion in exports will be jeopardized across the six markets in 2014.
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Meanwhile, consumers and businesses in these markets are expected to spend nearly $150 billion for network security processing malicious programs caused by software piracy, as per the report.
About 50 manufacturers surveyed by IDC for the white paper said that enforcement action for violating US unfair competition laws would cause severe damage to not just export to US but also loss of reputation in supply chain, financial costs in legal fee and fines apart from costs to re-establish exports to the US.