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Unlicensed software key source of revenue loss for cos: KPMG study

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Mumbai, Dec. 20 Illegal and unlicensed software installations continue to be a source of revenue loss for software companies worldwide, according to a recent survey of software company executives conducted by KPMG LLP.

In fact, 55 per cent of executives estimated their firm’s revenue loss at greater than 10 per cent of total revenue.

Overall , 87 per cent of the executives claimed revenue loss due to unlicensed users.

About 77 per cent of those surveyed agree with IDC (International Data Corp) data that 35 per cent of software installed is unlicensed, leading to an estimated $34-billion revenue loss to the industry.

“Executives of software companies are struggling to find answers to combat unlicensed software use,” said Mr Arpinder Singh, Executive Director-KPMG in India.

“Some firms are either not executing their compliance programmes or need them analysed or overhauled,” he added.

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