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The importance of licensed software

August 19, 2022
Posted in News
August 19, 2022 Chromesoft

The importance of licensed software

The risks of staying on old licences vs migrating to new ones

License agreement

You’ve done the groundwork of getting your company set up on the necessary software and everything is going great. It checks all the boxes and sees to all your business’s needs. So, when it comes time to update the programmes and renew your licence you might think to yourself, “Is licensed software necessary and how bad can unlicensed software really be?”

According to a Business Software Alliance (BSA) survey, companies that implement strong measures to improve the way they manage software have a powerful new tool for reducing security risks, increasing profits, decreasing downtime, and expanding opportunity.

So, why is it important to licence your software?

Being a Pirate isn’t Always Cool

Unlicensed software accounted for 37% of software installed on personal computers in 2018. According to the BSA, software companies lose approximately $46 billion each year because of unlicensed software. When you signed up for the software programme you agreed to its licence agreement, a legally binding contract between the end user (you) and the owner of the software. You agreed to certain terms such as how long you can use the software for, how the software would be used in your company, and how many users there would be, as well as agreeing to restrictions on any manipulation and duplication of the software.

By using unlicensed software, you have violated the terms of the licence agreement which is a violation of software copyright law. Companies and individuals can face financial penalties and since they’ve committed a crime the consequences can even include jail time. If a software company decides to pursue legal action, the manager or director of the company may be held personally liable.

A software’s licence agreement actually works in your favour. Should the software not hold up its part of the deal related to performance, maintenance, and support, you have someone you can chat to in order to sort it out.

Outdated Software

Software programmes receive regular updates that include new and improved features as well as speed improvements to improve the end-user experience. By keeping your software licences up to date, you benefit from these regular updates and stay abreast of industry trends and technology advances.

With unlicensed software you may experience regular programme failure or unexplained crashes due to the lack of updates or authenticity checks. Unlicensed or pirated software can’t go online to check for security patches and bug fixes which means you’re unable to fix the fault.

By having legally licensed software you also have access to expert advice and solutions from the tech support team to address any of your concerns and questions. This can lead to improved performance and service delivery.

Increased risk of Cyber Attacks

Without receiving regular updates, illegitimate software quickly deteriorates in quality. Licensed software receives regular updates to security patches to ensure the software is protected against current cyberattack trends. By not installing regular updates you put your computer and organisation at risk of being a soft target for cyberattacks.

Pirated or illegal software is at an increased risk of cyberattacks. If you are using pirated software, then the source of your software may not be 100% clean and you may end up infecting your computer with malware, or worse, you could introduce malware to your entire organisation’s system. This could lead to computers which don’t work optimally or data loss. In fact, according to BSA, organisations now face a nearly one-in-three chance of encountering malware when they obtain or install unlicensed software. Licensed software decreases the risk of cybersecurity incidents.

Reduced Functionality

As new upgrades and updates are made available, your unlicensed or outdated software may no longer be compatible. By keeping your software programmes licensed and up to date you ensure the programmes on your computer are compatible with each other and your hardware so your organisation can continue to run smoothly.

Unlicensed or pirated software doesn’t function optimally. It might work for a short while but any updates you receive may render the programme unusable unless you make a purchase. For example, Microsoft Office may continue to work for a few days without activation but thereafter most functions are disabled, and you aren’t able to edit your documents.

Expired MS licence? Call us. The team at Chromesoft are passionate about what they do and dedicated to getting you set up on the right software to improve the day to day running of your business.

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