RIGA - The Latvian IT industry sustained 15 million lats (21.3 million euros) in losses last year from software piracy, according to the findings of a recent study on the criminal practice around the world.
The study, carried out by the International Data Corporation (IDC) on behalf of the Business Software Alliance (BSA), ranks 110 countries of the world according to their software piracy rates.
Central and Eastern Europe held the world's highest software piracy rates last year with an average rate of 66 percent.
According to survey results software piracy rates in Latvia stood at 56 percent last year.
The survey found software piracy decreased in half of the surveyed countries, and increased in 15 percent of the countries.
Despite the rapidly increasing number of computer users and private computers piracy rates in Latvia have remained relatively stable in recent years.
However, pirated software remains freely available in the Latvian marketplace, including Riga's central market.
Head of Latvia's BSA office Valdis Birkavs stressed active work must continue in Latvia to tackle the ongoing problem of software piracy.
"It is particularly important at a time of economic instability that use of pirated software does not increase, as it would have a negative effect on the business environment, as well as consumers and the entire economy," he said.
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Birkavs said software piracy affects not only IT industry enterprises, but comes at a huge cost to business and the local economy.
IDC studies have found reducing software piracy in Latvia by a further 10 percent would create 2,000 new jobs and increase budget revenue by some 5.5 million lats.
Software piracy rates in Latvia stood at 57 percent in 2003, 58 percent in 2004, 57 percent in 2005 and have remained at 56 percent since 2006, despite the information explosion.
The global average of unlicensed software worsened to 41 percent in 2008 from 38 percent the previous year, causing losses of more than 38 billion euros, the study found.
The highest piracy rates were recorded in Georgia 's 95 percent; Armenia 's 92 percent; Moldova and Azerbaijan 's 90 percent, while Russia the rate was 68 percent.
Meanwhile, the Czech Republic, Hungary and Slovakia were at the other end of the piracy spectrum, recording the lowest rates at 38, 42 and 43 percent respectively.
IDC is a U.S. based market research and analysis firm specializing in information technology, telecommunications and consumer technology.
BSA is an international industry group campaigning in the areas of copyright protection, cyber security, workforce skills, trade, and innovation.
Its offices in Latvia were established in 2001 and represent 28 local software producers and distributors.
