Consumption of Foreign Software and its Effect on the Development of Indigenous Software in Nigeria

This study examines the effect of consumption of foreign software on the Nigerian economy and its attendant repercussion on the development of indigenous local software. The study was made using the data of registered software agreements sourced from the National Office for Technology Acquisition and Promotion (NOTAP). The agreements were submitted to the Office by companies and other organizations doing business in Nigeria for registration and for the purpose of remitting software fees to foreign licensors for using the software to run their business activities. In using the data, the investigation examined the volume of fees that went into the payment of software license fees abroad. Also, the impact of the consumption of the software on the development of indigenous software was also studied and the strategy put in place, such as the issue of local vendor requirement, were carefully highlighted.