China, Russia and India, usually given the dubious distinction as the world's biggest markets for pirated software, today topped the list of countries with the most progress on reducing software piracy last year, according to the Business Software Allilance. In both Russia and China, piracy rates dropped 4 percent, while the rate declined 2 percent in India. Ukraine and Morocco were also included in the group with the biggest reductions in piracy.

About 35 percent of software on the world's PCs last year was still illegal, according to the BSA, amounting to $34 billion in losses. But the progress in emerging markets was a positive sign. The BSA credited education, enforcement and policy efforts for the change.

Seems to me the progress has a lot to do with the development of homegrown software industries in those countries, and the government's desire to protect a nascent asset.

Even with the lowest rate of software piracy, the amount of damage was highest in the United States, where piracy was blamed for $6.9 billion in losses. Read the report here.