A fluctuating dollar has impacted on the price of US software being imported into the UK.

Though the situation is stabilizing, some UK software-importers have had to increase the price of their products to customers. Rob Pickering, head of Media 100, believes many companies - including his own - have suffered from the fluctuating dollar.

Confidence in the growing US economy has led to a stock-market boom and the deterioration of the pound against the dollar. According to the Financial Times the expansion in the US economy is the largest in its history.

E-conomy drive Technology-driven improvements in productivity - namely e-commerce markets - have transformed US’s economic prospects.

Subsequently, the dollar has strengthened against the pound, so software that used to cost consumers £20, for instance, could now cost them more.

Instability Alan Wheeler, managing director of Adobe UK, said: "It affects most software vendors who trade with US partners. It affected us a few weeks ago when the rates were fluctuating a lot. The more stable the exchange rate is, the more we can predict the end user price.

"A problem arises when there are big swings. We were seeing $1.5 then $1.41, now it’s stabilized to $1.45. The situation seems to have stabilized. Adobe has not increased the price of shrink-wrapped products, but some of our partners may have reflected the changes in their prices.

"People’s confidence in markets is what affects the exchange rate. The confidence in e-commerce companies is what boosts the economy. I am expecting our business to stay at current levels."

More to come Brunel University Professor Jim Tomlinson warns that we’ve not seen the last of the fluctuating dollar, he said: "It depends on how long the stock market boom is going to go on.

"The federal reserve expects the boom to collapse. Growth has been continuous for a long time, but not long enough to justify the level of stock-market prices."