1.2 million European jobs could be at risk as piracy costs the creative industry up to £215 billion in lost revenue according to a study investigating the impact of online piracy in the UK, France, Germany, Italy and Spain. The report for the International Chamber of Commerce claims that a quarter of a million of these jobs could be lost by 2015 in the UK.
The study shows that in 2008, the most impacted of the creative industries (film, TV, music and software) experienced lost revenue of €10 billion and 185,000 jobs due to piracy. The industries made up 6.9% (€860 billion) of the European GDP and covered around 6.5% of the workforce (14 million workers). The UK held 25% of all European spending on these industries, but was an overall drop of 13% since 2004. In 2008, the UK creative industries estimated €670 million of lost revenue due to physical and digital piracy.
"The research shows that the illicit use of the Internet has contributed to massive piracy of Europe's creative works studied in the report."
"Digital piracy is sweeping through global markets for music, motion pictures and video, television programming, literature and software. In its wake, these creative industries suffer devastating economic losses and an assault on their ability to compensate artists and furnish legitimate employment opportunities. These dire consequences call for an urgent response by policymakers, consumers and the creative industry itself.Jeffrey Hardy, ICC BASCAP Coordinator
Of course, some may say that the creative industries do largely have themselves to blame for taking so long to react to what the market demands. Until they can provide users with content in a cheap and easily available format, that allows them to use and transfer their media on to the myriad of devices that are currently available and at a time that most suits them for listening or viewing, piracy will still hold a strong place in the market to give users the ease of use that they desire.
The full report can be read here.