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BUSINESS INTELLIGENCE 43
Monday 27 August 2012

An affair with pirated software

OBODO EJIRO & OLOWA PETER

Another investment idea for Nollywood

OBODO EJIRO

f Nigeria is to replicate the success of India in software development and outsourcing, there has to be a recalibration of the way we apply copyright law. Our survey reveals that for every ten Nigerian software users, eight use nongenuine or pirated copies. The most widely used pirated software include the Microsoft Office Suite (85%), Microsofts Operating System (91%) and various software used for editing pictures (40%) (See chart 1). Furthermore, students are more likely to copy and share pirated software than any other class of software users in Nigeria. Though they have an assortment of software they typically do not buy originals. They meet their software needs by copying from friends (63%), buying non-genuine copies from shops (14%), downloading trial versions and cracking them (20%), or buying originals (3%). The general population is not much different; the minor difference lies in the fact that a number of working individuals get original software from their work places. Our research also revealed that specalised, professional software, especially for fields like facility management, accounting and engineering are less likely to be pirated than general use software. It is gladdening to note that most of our respondents indicate that they prefer originals because of the many challenges with security checks and other difficulties they experience with non-genuine copies. They also indicated readiness to buy original copies At Computer Village, Nigerias busiest computer and software market, an original copy of the Microsofts Office Suite (home premium, single user) costs between N15,000-N20,000, while a pirated copy costs between N150-N200. An original copy of Microfit for Windows, an econometrics software, costs N130,000 and sometimes you need to place an order before you get a copy, but a pirated version costs just N700 or less. But pirated copies often fail during installation, but that has not deterred those who buy. Our survey revealed that for every single shop that offers original software there are five others which offer alternative pirated copies at Computer Village. Some shops even sell both. When we spoke to pirated copy marketers, most saw no reason why their trade should be interfered with; they attributed their persistence in the trade to the low capital required for the business and high patronage. But different institutions are working to see that the tide is reversed. Earlier this year, Microsoft (which has suffered most of the piracy, according to our survey) organized a roundtable discussion to commemorate World Intellectual Property Day; the gathering drew attention to how the use of non-genuine software threatens legitimate businesses and creates a negative impact on both global and local economies. Microsoft is not alone in its condemnation of piracy. The Institute of Software Practitioners of Nigeria (ISPON), a body set up to facilitate business and trade in software and related services, has as part of it mandate to a goal to develop rules and regulations that will discourage software piracy and ensure that software products and services are used in accordance with intellectual property rights How far the body will go is ultimately . a function of governments commitment and support through effective legislation.

Source: BusinessDay Research There is business intelligence in all of this data. Over half of respondents say if prices were lower they would change (53%) to originals, nine percent stated that they would switch to originals if there is regulation of intellectual property which punishes violation, while 24 percent say they will buy originals if fakes have negative impact on their computers (see chart 2). All of these factors are variables which a proactive software producer can creatively affect to suit its markets.

ollywood, has ser ved as a veritable source of entertainment not only to English speaking Africa and beyond but also sustains four channels on South Africas Multi Choice Cable Network. As of 2005, Nollywood was estimated to be worth $250 million according to Center for Digital Imaging Arts, at Boston University, US, today the industry is worth about $372.5 million. Produced, in most cases, under the worst of movie making conditions known to modern man, Nollywood movies tell tales of the daily challenges, successes, and failures of Nigerians. In some cases, its movies are amusing. Today, the Nigerian movie industry has fulfilled much of what any of its peers is set up to do, giving us historic accounts of events, serving as a tool that helps us understand the workings of systems in our society, giving hope through the stories it shares, and helping to expose veiled deeds in society. But there are aspects of our existence that have been explored by the industry. It has not explored the war on domestic terror, which has become part our daily existence. The US war on terror immediately gave birth to a number of movies intended to draw a line between religion and fundamentalism, and to steer away those who stand the chance of being indoctrinated into believing that the agenda of terrorism is the foundation of any religion. Nollywood has not followed this example. Clearly, it has not given us movies surrounding fundamentalism in Nigeria. Recent happenings, especially in Northern Nigeria, holds a series of stories waiting to be told. The struggle for survival in the midst of wealth in the Niger Delta is also a story Nollywood has not told. These are our realities too. No doubt, the industry faces many challenges, but it has lived up to them. Before now, the Ghanaian government had imposed high tariff on Nigerian movies and huge fines on Nigerian actors who wish to shoot films in Ghana. The Democratic Republic of Congo also tried to ban Nigerian films altogether, but Nollywood forges on. According to a report from The Economist, Nigerian films are as popular abroad as they are at home. Ivorian rebels in the bush stop fighting when a shipment of DVDs arrives from Lagos. Zambian mothers say their children talk with accents learnt from Nigerian television. Millions of Africans watch Nigerian films everyday. research@businessdayonline.com