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Webinar Part 3 Frost & Sullivan - wibu-systems ag

Webinar Part 3 Frost & Sullivan - wibu-systems ag

Losses From Piracy Are

Losses From Piracy Are RealWorldwide, 42 percent of software used in 2011 was unlicensed - Business Software AllianceIn the industrial sector, 2 in 3 members of the VDMA (the German Engineering Federation)have already experienced product piracy and/or counterfeiting.Losses frompiracy canbecomesignificant,and they hurtboth softwarevendors andtheircustomers.All told, intellectual property theft costs U.S. businesses billions of dollars a year and robsthe nation of jobs and lost tax revenues. – U.S. Federal Bureau of Investigation (FBI)China placed second in the world in the number of connections made to share unauthorizedcopies of ESA members’ game products – accounting for more than 11.5% of the world’stotal..…Russia has not signaled a serious commitment to addressing piracy occurring throughthe Internet, which has exploded [because there is] no legal framework for addressing onlinepiracy, coupled with steadily growing consumer access to broadband. - United StatesCongressional International Anti-Piracy Caucus (IAPC)[Competitors using pirated software undercut legitimate licensees on price, creating a negative feedbackloop.] If EDA industry doesn’t secure a level playing field for our customers, our industries will suffergreatly – EDA ConsortiumSource: Frost & Sullivan4

Key Market Trends in Software MonetizationMarketTrendsPeak activitybetween nowand 2014GeographicalExpansion =PiracyExposure• Keeping software monetized and keeping IP secure is aharder challenge in international markets• An issue for your customers, as much as for youSaaS andHybrid FormFactorsComplementOn-Premise• License Management needs to keep pacewith evolving business models and productarchitectures• Analytics is increasingly important• Installation complexity, run time cost andperformance impact are increasingly non-negotiable• At the same time, security is also increasingly nonnegotiable• This nudges LM towards being a first-class featurerather than an afterthought• Homegrown LM highly prevalent in the market today• Fragmented platforms, multiple business models, cost controlpressures, need for security and speed of innovation necessitatea formalized LM strategyUser ExperienceAround LicenseManagement IsHigh PriorityFeaturePeak activity2014 to 2016HomegrownLM is notcommerciallyviable for mostISVs5

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