Anti-piracy campaign journal
05 May, 2011

Georgia is acknowledged as the most pirate-infested IT market globe over. To clean up the sector Georgian government takes in Business Software Alliance focused on intellectual property protection in the world. Some Georgian IT sector representatives fear this is an immature remedy that may affect Georgian IT sector development. Some assure it can only boost the sector development.
Georgia is the most pirated IT market with the 95% of illegal software product turnover, International Data Corporation (IDC), the premier global

provider of market intelligence, advisory services, and events for the information technology, telecommunications and consumer technology markets, said. To cut down the piracy level, Business Software Alliance (BSA) entered Georgia under presidential initiative. A special agreement was signed on April 28, 2011 with the BSA, and a special council focused on software piracy reduction has been created at the president’s office.
BSA accentuated on economic benefits of reduction the software piracy level. Based on the survey of the Global Market Research Organization implemented in 2008 piracy reduction by 10% globe over can create about 600 thousand new jobs and increase state incomes by USD 24 billion without enhancing tax burden. 80% of the economic benefit of such reforms comes on local economy, the survey assures.  Georgian IT sector pundits fear the activation of anti-piracy campaign is immature at the moment in Georgia as it will jack prices up and hamper the fledgling IT sector development.
Giorgi Gordeladze, a spokesperson of Saatec, a Tbilisi-based software development company oriented on export, thinks the anti-piracy activity will jack prices up by at least 30% that cannot affect big IT companies and organizations that sue their service but can create serious problems to petty IT companies and larger part of consumer – the population. 
“Legalization of the market will induce price hike to population as far as most IT distributor companies sell “empty” computers and lap tops and now installation of user programs will become expensive. Big companies face no risk for they are Microsoft partners but petty fry may fade away. Becoming piracy-free is positive if you are ready to it, but Georgian IT market is too weak to endure this pressure,” he said.
Irakli Kashibadze, Head of the Department of Communications, IT and Innovations, admits that certain risk really exists but it can be avoided if Microsoft, BSA and Georgian IT companies will concert their efforts and policy. “Microsoft has to take stock of specific Georgian market, its prospects and run due information campaign,” he told Georgian Journal. “Bigger part of users are simply unaware of the benefits of legal product, that if you use pirate version they frequently   break down and one has to install windows for example 3-4 times per year that actually cost more than to install one but licensed version once a year. Besides, Microsoft provides its licensed vendor companies by product under preferential prices like USD 3-5 per package of programs. Microsoft has to raise awareness at Georgian market and our companies have to establish partnership with it,” Kashibadze said.
But Microsoft license is quite expensive, Gordeladze said, his Saatec secured Microsoft partnership in 2008-2009 but Saatec’s British founders found that quiet expensive and dissolved the partnership.  Kashibadze thinks those who cannot afford partnership with big IT companies may just replace their product by alternative software product, or sell only technique.
Vano Tserstvadze, Head of IT insurance service with Georgian Institute of Public Affairs, expects only positive results of anti-piracy campaign but price-hike for population seems inevitable to him too.
“International IT sector development dynamics shows the higher the IT legalization coefficient the bigger the economic benefit in those countries and striving to become piracy-free is a positive move whatever the predicaments can accompany it. Yes prices may go up by USD 200 for installation  of Windows for example, but this can be replaced by alternative product like Linux. On the other hand it may encourage IT geeks to invent new products and the IT sector can be developed ultimately,” he said.     Jarji Maare, Head of iTex International, an export-oriented software company, questions this optimistic outcome and doubts whether or not the protection of IT copy rights in Georgia is really necessary at the moment.
“Georgian IT market is so insignificant that big IT giants do not take it into consideration,” he said. “Actually only Microsoft is represented in Georgia and our share in its sales stands under 1%. I can hardly believe that Microsoft is interested to exert its efforts to protect its copy rights here for this ridiculous portion,” he said.
According to Maare, the price-hike caused by anti-piracy campaign will only deal a blow on the underdeveloped IT sector of Georgia.  “It is an open secret that the IT personnel are self-educated in Georgia for there is no high school here that gives proper education. And all the software programs they get are pirated and thus free. When they become licensed they will be unavailable to bigger part of people concerned; so, how it can boost the IT sector?” He asked Georgian Journal.

Print
Other Stories
Georgian citizens are granted the right to work in France
The French Embassy in Georgia made remarks on granting Georgian citizens the right to work in France
The New York Times: Bitcoin declines but Georgia still bet on it
The New York Times has recently published an article about reasons, challenges and causes of generating Bitcoin in the former Soviet country Georgia.
EU to allocate € 13 billion for Eastern Partnership countries, including Georgia
The European Union together with the World Bank plans to allocate investment worth € 13 billion for infrastructure projects in the Eastern Partnership countries.
Anaklia Port and its importance for Georgia
In 2016, Anaklia Development Consortium was authorized to launch the construction of Anaklia Port.
Cryptocurrency mining threatens electrical network in Abkhazia
In the breakaway region of Akbhazia rampant cryptocurrency mining is threatening the shaky electrical network, reports an article of the news portal EuroNet.
Caucasus Wine University to be opened in Gurjaani
In the Kakheti region a new viticulture campus of the Caucasus University is in the process of planning.
Photos describing life of the poorest in Georgia
Fight with poverty should be among top priorities of every government in every country.
Training farmers to rescue the organic hazelnut production in Georgia
Even drizzling rain and unpleasant gusts of wind can’t prevent the farmers from coming and participating in the agricultural training.
Bleak times for organic farmers in Georgia – but there is hope
Organic hazelnut production is a delicate plant in Georgia that has emerged just a couple of years ago. Various pests, among them the Asian stink bug Parosana, trouble hazelnut farmers and menace their livelihood – even before their businesses could really take off.
Hybrid car imports are going through the roof in Georgia
Thanks to their fuel economy, the popularity of hybrid cars is increasing in Georgia, where fuel affordability is low and prices for fuel are unstable.
The New Year offer from MAQRO Construction - Apartments with unbelievable discounts and the parking spaces for FREE!
Location, green yard, spaces for various needs, experience of the construction company and parking space are the main important criteria for potential buyers of apartments.
Interview with the co-founder of Kiwi Vegan Café – the first vegan place in Tbilisi
Behind the Kiwi Vegan Café stands a group of activists who wants to raise Georgian’s awareness for animal rights and welfare.
Biblusi opens first shop for tourists - Georgian
The largest book shop in Georgia Biblusi opens the first shop specially designated to the needs and interests of tourists and named it Georgian.
Georgia improves by five ranks in the Prosperity Index
In the overall Prosperity Index rankings, Georgia has climbed by 5 positions from 85 to 80 when compared to last year. As such, Georgia is the best performing country in the CIS zone.
The future is bright for electric cars in Georgia
The numerous hybrid cars in the streets of Tbilisi cannot be overlooked. Entrepreneur Sulkhan Gvalia calls them “pagers”, referring to the predecessor of mobile phones.
Georgia’s fight against the big tiny enemy – Asian Parosana
It’s a tiny creature, but the harm it did to the Georgian agriculture sector was and still is immense.
New cable route: from Kobi to Gudauri in 15 minutes
On the 15th of December, cable transport is scheduled to be opened connecting Kobi and Gudauri.
Tourist boom in Gudauri – majority of hotels are booked by foreigners
Gudauri is among the most popular winter resorts in Georgia.
Medical tourism increases in Georgia
In the last 9 months, Georgia was visited by 19 500 foreigners for medical and recovery purposes.
Doing business in Georgia has become easier than in America
According to the Doing Business 2019 report published by the World Bank, Georgia ranked 6th among 190 countries in terms of simplicity of doing business. This was an improvement over two ranks compared to last year.
Problems that foreigners frequently face in Georgia
The importance of Georgia as a tourism hub is growing year after year.
Tbilisi TV Broadcasting Tower – Better than the Eiffel Tower?
It is planned to renovate the Tbilisi TV Broadcasting Tower, one of the landmarks in the capital.
Georgian Fusion Menu by The Biltmore Hotel Tbilisi
5,895,914 international visitors have visited Georgia between January and August of 2018. Compared to the previous year the number has increased by 12.2 per cent.
Advertising of gambling and lucrative games may become banned in Georgia
Advertising of gambling and lucrative games may become banned in Georgia. Those who violate the new rule would be fined GEL 10 000.
Lebanese café-lounge Beirut opens in Tbilisi
What is necessary to organize an unforgettable event? – Fun, emotions, lots of surprises, good music and delicious menu.
PHOTO OF THE DAY
GEL Exchange Rate
Convertor
19.02.2019
20.02.2019
USD
1
USD
2.6404
2.6498
EUR
1
EUR
2.9908
2.9977
GBP
1
GBP
3.4130
3.4246
RUB
100
RUB
3.9898
4.0023
Other Stories
Recently Toyota rolled out Global Campaign under this slogan that reflects the Olympic and Paralympic Spirit of Encouragement,
A couple from Switzerland combines Swiss tradition and technology with Georgian products. Their cheese is made in the Georgian mountains and sold in local stores and hotels.
It has been more than five years since the residents of Lilo village, near Tbilisi, cannot open their windows.
63 000 GEL was received by the Georgian Agro Export Group which is just a small part of the European Neighbourhood Programme for Agricultural and Rural development.
Georgian entrepreneur Guka Tavberidze, who runs his own business in the UK and does it quite well, has been invited by BBC
The grand opening of 7-star The Biltmore Hotel Tbilisi took place in Georgia’s capital on July 31.
DUSHETI, Georgia – The Georgian government and the World Bank will allocate USD 5.6 million (12 million GEL) to fund
A new Georgian clothing brand named Person has emerged in Georgian market.
Georgia is in the midst of an economic maelstrom, Euronews reports.
Situation at Georgia’s mineral water market is interesting: over the last year, the volume of export has grown by 56 percent. According to “GeoStat”, over $114 million worth of mineral water was sold
GEL Exchange
USD
1
USD
2.6498
EUR
1
EUR
2.9977
GBP
1
GBP
3.4246
RUB
100
RUB
4.0023