Worldwide, software piracy climbed to a record high, making up 41 percent of all software installed on the planet, according to the IDC report released today by the Business Software Alliance (BSA).

The value of unlicensed and pirated software worldwide could be as high as the US$50 (£33) billion, and cost another $150 (£99.3) billion to $200 (£132.4) billion in value-add technology services, the study of 110 countries revealed.

"Much more needs to be done by the industry and the government to warn businesses and consumers of the risks associated with under-licensed software, from a legal, financial and operational point of view," said Alyna Cope, spokesperson for the BSA UK country committee.

"Software piracy hurts our knowledge-based economy by weakening the very foundation on which it is built - respect for intellectual property and innovation."

Software piracy also hurts the wider economy, according to BSA and IDC. An IDC study released in January 2008 found that reducing software piracy by 10 percentage points over four years could generate more than £6 billion in economic growth and increase tax revenues by £1.47 billion to support local programmes and services.