Software Piracy and Linux Adoption

Abstract

The open-source software operating system Linux is a free-of-charge substitute to proprietary systems like Microsoft Windows. By using a cross-country data set, this paper finds evidence that increased piracy of proprietary software has a negative impact on adoption of desktop versions of Linux. The interpretation of this result is that the availability of pirated versions of Windows, as well as pirated applications compatible with Windows and OS-X, lead to fewer individuals installing a Linux operating system on their desktop computers. Thus, in the absence of software piracy, Linux would be a more widely used operating system.

Keywords: Open-source software, software piracy, intellectual property

JEL Classification: L11, L17, O34