How big an issue is software piracy?
Anderson: Software piracy — which basically is the unauthorized copying and use of a software program — is a critical problem because it undermines the very foundation of the software industry. We’re in a business that is based on the value of intellectual property. And like any industry founded on intellectual property, the business model is simple. A significant investment is made to develop products. And survival is dependent on our partners’ ability to distribute and license products so that a reinvestment can be made into research and development to create new and better software products to meet consumers’ needs. Piracy shatters that model. The issues facing the software industry are similar to those faced by the movie and recording industries. The nature of the products makes them easy to copy and distribute illegally. When that happens, the effects ripple throughout our economy in the form of jobs that are lost, taxes that go uncollected and products that don’t get developed.
