Friday, January 27, 2012

Does software piracy kill innovation?

Piracy is referred to as the unauthorized copying/reproduction of software. This blog will focus on how piracy affects innovation, which is: The creation of better or more effective products, processes, services, technologies and ideas that are accepted by markets and society.
While software piracy is a negative act which must stop. I am not at the view that it "kills" innovation really. In fact when the software is copied it gets into more hands, more people are able to use the software thus more effective feedback can be given. Innovation without much needed feedback can be somewhat pointless and for effective feedback to be given, the product has to "get out" into the market. We must admit that most products that actually get out there, are indeed software that have been victims of piracy. As, the greater portion of Jamaica's or any other population does not oblige to the need for purchasing software that is available for free download, whether illegal or not. Statistics will show in the United States that free software tends to reap much more benefit in any market than sold software.
The negative side however is that the innovator will not reap the expected financial benefit from his/her innovation. That may create a situation where, funds are too little to facilitate further innovation.
In concluding I will reinforce my view that piracy can have both positive and negative effects on the innovation and the innovator.