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SMEs warned of dangers of unlicensed software

Computer Retailers - 17/08/2007 16:56:09

While perhaps saving money in the short-term, using un-licensed software is not worth the high long-term risk, small businesses have been advised.

According to a recent survey conducted by the Federation Against Software Theft, 22 per cent of company directors do not at present have a written policy on software use, while 48 per cent of those firms questioned admitted that they would have difficulty in proving that their software is legal.

In addition to being illegal, using unlicensed software, firms put themselves at a number of business and IT risks, the Business Software Alliance (BSA) has stated.

"One fifth of SMEs in Europe believe there is no risk involved in installing, downloading or using unlicensed software, according to the study commissioned by the BSA," said the chair of the organisation's UK member committee Ram Dhaliwal.

"However, there are many business risks inherent in this practice, and the assumption that there is no risk and belief that using unlicensed software is not something to be concerned about, is a worrying trend

"The consequences of using unlicensed software can impact on a business from an operational, technical, financial and legal perspective."

The comments come soon after the same body found that 97 per cent of UK SMEs consider IT to be essential to the successful operation of their business.