The average annual salary to employees in the software industry is 3,000 lats, much higher that the average annual wage in Latvia, currently estimated at 1,800 lats. By percentages, software industry employees are paid 77 percent more than the national average salary and 8 percent above the average salary for people employed in other IT areas.
Datamonitor said that software piracy was inflicting great damage to the Latvian economy. About 77 percent of software used in Latvia is pirated. As a result, the national economy loses some 55 million lats in retail revenues and about 15 million lats in tax revenues, not to mention the slowing effect on creation of new jobs. At present the Latvian software industry employs 2,180 people, but this figure could increase dramatically upon restriction of pirated software availability.
Datamonitor is an international company founded in 1989. The company develops strategic planning programs, provides consulting services and carries out market and competitive analysis. In 2000, the Latvian GDP was 2.95 billion lats, in constant prices, up by 6.6 percent from 1999.