The survey of 750 IT managers of businesses up to 500 employees
also revealed that more than half of small businesses (58%) don’t
keep records on the software they own and don’t have filed or
readily accessible licence certificates if requested by software
publishers.
Despite this, 87% of businesses believe themselves to be
compliant with all legal requirements.
Penalties for software piracy include an unlimited fine or even
a prison sentence. All standard software packages are sold with a
licence which specifies how many copies can be used. Breeching this
licence by using, making or selling illegal copies is a criminal
offence, and businesses risk being sued by software publishers for
piracy.
In addition, the research discovered that 67% of businesses are
buying new software licences every time they purchase a new
computer – a strong indication that they are unaware of the cost
and efficiency benefits of purchasing company-wide software
licences which cover a set number of machines rather than
individual software licences.
Richard Harrison of PC World Business said: “A software license
policy is essential to all businesses. Not only does it eliminate
the legal risks, it also creates numerous efficiencies, such as
cutting down the risks of viruses and allows businesses to receive
regular upgrades and technical support. While a software licence
for every computer is required, buying a licence with a computer is
not the right approach. It difficult to keep track of all licences
and to match them with the individual machine, and there are also
other options which will save businesses money, administration time
while ensuring businesses are legally compliant.”
Struan Robertson, editor of OUT-LAW.COM and an IT lawyer with
Pinsent Masons, said: "Most businesses would never think of
themselves as software pirates, but software mismanagement amounts
to the same thing in the eyes of the BSA. The BSA expects 100%
compliance and incentivises staff to blow the whistle on employers
who fall short. This may seem harsh, but the BSA is right that any
licence creep is actionable - so companies have no choice but to
stay in control of their licensing. A good policy should make that
easier and can help with a compliance audit."
The survey also revealed that awareness of the Business Software
Alliance (BSA), a global organisation that polices software
licensing, is very low, with only 59% of British businesses aware
of its existence. The BSA offers a reward of up to £10,000 for
information on illegal use of software.