Software distributor sees robust revenue hike on shift to new OS

The country’s biggest software distributor, Worldtext Systems Inc. (WSI), is looking at a 20 to 30 percent growth in revenues next year as it benefits from businesses’ shift to newer operating systems (OS) amid Microsoft’s phaseout of support for Windows 7.

WSI president Juan Chua told reporters yesterday the firm hopes to post a robust increase in software revenues next year as it gets a boost from enterprises upgrading to Windows 10 Pro.

He said the firm has been generating around P2 billion worth of revenues from its distribution of software per year in the last five years.

Demand is anticipated from businesses for Windows 10 Pro as Microsoft has announced it would stop providing security updates or support for the older Windows 7 after Jan.14 next year.

With the phaseout of support, users of Window 7 would no longer receive security and nonsecurity hot fixes, assisted support options and online technical content updates from Microsoft.

While Windows 7 will still run after the Jan. 14, deadline, continued use of the OS would make businesses vulnerable to security risks including malware.

As the end of support for Windows 7 is approaching, WSI is urging corporate and enterprise customers to start upgrading their hardware, as well as their OS to Windows 10 Pro.

Corporate and enterprise customers are also advised to subscribe to the latest Microsoft Office solutions.

To inquire or easily update hardware and Windows OS, businesses can visit WSI’s e-commerce site: www.wesellit.ph.

Chua said Microsoft is among the brands accounting for a big share in the firm’s software revenues.

Apart from the shift of enterprises to newer Windows OS, Chua said growth in software revenues would also be driven by bigger user base.

As use of unlicensed software remains a concern in the Philippines with the piracy rate at around 68 percent, he said the firm is working with Microsoft and other software vendors to raise awareness on the importance of purchasing genuine software.

With government offices among those using unlicensed software, he said Microsoft software is also being made available through the procurement service of the Department of Budget and Management at more competitive prices.

“The prices there are especially negotiated so the prices are really more competitive than what they would be able to buy outside. It’s really contingent for the different agencies to legalize as well,” he said.

Based on estimates of the Software Alliance which advocates the use of legal software globally, some 10,000 companies in the Philippines are at risk from using unlicensed software.

In its Special 301 report released earlier this year, the Office of the US Trade Representative said the Philippines needs to step up efforts to address government use of unlicensed software.

The Special 301 report identifies countries where intellectual property (IP) protection and enforcement is weak and where US individuals relying on IP protection encounter difficulty in fair and equitable market access.

WSI distributes 40 brands and caters to 1,400 companies and retail stores in the country.