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Countries Failing to Provide Effective IP Protection Identified

Recommendations submitted for USTR's Special 301 consideration.

The Business Software Alliance (BSA) Monday joined with other copyright industries in identifying 51 countries that are lagging in their obligations to provide effective intellectual property (IP) protection for creative works, including computer software.

BSA filed its recommendations as part of the International Intellectual Property Alliance (IIPA) submission to U.S. Trade Representative Susan Schwab on countries that should be included in the United States' annual Special 301 report. The Special 301 provision requires the Office of the U.S. Trade Representative (USTR) to identify annually countries that fail to provide adequate and effective protection for intellectual property, or that deny fair and equitable market access to U.S. companies that rely on IP protection for their copyrighted products.

"Piracy remains the software industry's largest trade barrier, costing the industry nearly $40 billion per year. Compounding its impact on the industry, software piracy robs governments, local economies and citizens around the world of jobs and a more vibrant local information technology sector," said Robert Holleyman, president and CEO of BSA.

According to a recent study conducted for BSA, reducing the global software piracy rate of 35 percent by 10 percent over four years could generate more than $141 billion in increased economic growth, create 600,000 new jobs, and deliver $24 billion in additional tax revenues worldwide.

"Without question, improving intellectual property regimes around the world will directly benefit local economies and governments," Holleyman added. "In fact, countries with moderate and high piracy rates stand to gain the most from reducing piracy in terms of creating stronger local IT sectors -- and becoming stronger global trade partners overall."

BSA encourages governments to reduce software piracy and reap the economic benefits by taking the following steps:

  • Update national copyright laws to implement World Intellectual Property Organization (WIPO) obligations;
  • Create strong enforcement mechanisms, as required by the World Trade Organization (WTO), including tough anti-piracy laws;
  • Dedicate significant government resources to the problem, including national IP enforcement units, cross-border cooperation, and more training for local officers;
  • Improve public education and awareness; and
  • Lead by example by requiring the public sector to use only legitimate software.
For a list of countries submitted to USTR by IIPA for Special 301 consideration, visit www.iipa.com.