SMALL and medium businesses in Singapore are persistent users of illegal software, according to an annual report from anti-piracy group, Business Software Alliance (BSA).
Despite relentless efforts by the BSA to stamp out the problem by prosecuting both purveyors and users of illegal software, piracy caused dollar losses of approximately US$163 million (S$239.6 million) last year.
Businesses use pirated software because it is cheap.
For many business users, proprietary software with its user licensing structure continues to be prohibitively expensive.
Beyond the upfront cost of software purchase, there are support and upgrade costs that add to the total cost of ownership.
For a small and mid-sized business, the cost of using a suite of desktop productivity software and basic business applications - such as an inventory management system and a customer relationship management (CRM) application - could be a burden once the purchase price, ongoing licensing and support costs are taken into consideration.
Business users of illegal software are, more likely than not, aware of the risks they take. They risk legal prosecution and the software is of dubious quality.
Despite this, they still turn to pirated software because the cost of licensed software is just too prohibitive.
This is where open source software offers an attractive option as it is legal and affordable.
Copy? Go right ahead
Unlike proprietary software, users are encouraged to use, study, copy, modify and re-distribute open source programs.
The software can be legally used on any number of computers with no restrictions.
In practical terms, this means users do not have to pay licensing fees for each and every user and program used.
For businesses that want to use open source programs, they should buy those which come with comprehensive support for customisation and assistance in installing new programs or security patches for new security threats.
Linux is one open source software used as an operating system. Many companies offer different versions to suit different needs.
Linux is also available as a subscription service, which means that business users subscribe to a comprehensive range of services and product updates.
They are not tied to the restrictive technology update structure of the software licensing model.
Open source alternatives
The fact is, there is now an open source alternative for almost every major software need, ranging from office suites and databases to business applications.
OpenOffice, the open source office software suite for word processing, spreadsheets, presentations, graphics and databases, provides features and performance comparable to any proprietary equivalent.
Other examples include:
- Open source CRM application SugarCRM;
- Open source ERP applications such as Compiere ERP and OpenBravo;
- Open source accounting package Fitrix;
- Open source databases MySQL and PostgreSQL; and
- The Apache Web server.
All these open source applications do the job as well as their proprietary equivalent.
Familiarity with proprietary software should not be a reason for their use.
Although it is argued that cost is a reason to choose open source software, businesses should closely examine open source applications because many have features and performance equal or superior to proprietary applications.
Take performance, for example. The Linux operating system is generally faster for a given set of hardware specifications, due to greater optimisation of the source code.
It is also easy to optimise Linux applications for use on a workstation, desktop, notebook computer, Web or database server or even a router.
The Linux desktop includes icons and menus that can be configured according to user requirements or preference, eliminating any user issue about learning a new interface.
The best testimony to this is that Linux powers mission-critical applications in major commercial environments such as the Euronext stock exchange in New York and numerous governments and defence organisations.
Open source software is robust enough for mission-critical work and affordable enough to render pirated software a risk not worth taking.
By Patrick Lim, general manager of Red Hat Asean
This story was first published in The Straits Times Digital Life.
