Upcoming Events

Executive conference

Cloud Connect March 16-18

Comprehensive thought leadership for executives, IT professionals and developers. Topics include: the ROI, cost and economics of on-demand computing; Migration strategies to move from on-premise to cloud-based IT; Vertical cloud specialization, tailoring features and architectures to specific applications, industries, and customer ecosystems

More Events »

Subscribe to Newsletter

  • Keep up with all of the latest news and analysis on the fast-moving IT industry with Network Computing newsletters.
Sign Up

 
NetNews
N E W S / A N A L Y S I S  


Microsoft Sweetens Sour Licensing Scheme

  June 26, 2003
  By Sean Doherty


TOC Issue TOC
Printer Print full article
Printer Download as PDF
E-Mail E-Mail this URL
Discuss Discuss this article
flame author Flame the author

Engineers may still believe that technology sells products, but businessmen and lawyers will tell you otherwise. You need to put the technology in a product, license it and couple it with a service.

A case in point is Microsoft's Software Assurance (SA) program, to which the vendor has recently added tools, training and support.

Microsoft has been pushing the program for more than a year as an add-on to its Enterprise Subscription Agreement and other volume-licensing programs. SA aims to reduce the costs associated with acquiring new versions of Windows. It entitles you to new software releases as they become available. What's the catch? Cash. For any Microsoft server product, SA costs a quarter of the license price for each year of coverage. For desktop products like Windows XP and Office, it costs 29 percent of the license price. Whether you call this insurance or assurance for software upgrades is a semantic question. Does it work is a better question.

At its base, Microsoft's improved SA includes the rights to new versions and e-learning training materials. After that, SA features depend on your volume-license program and whether the product is destined for a server or desktop. SA for servers includes Web-based support. But you need to purchase SA for each of your Client Access Licenses. For large enterprises with multivolume licenses, SA can let you spread payments over annual periods and includes subscriptions to TechNet Plus, telephone support during business hours and access to the Windows Pre-Installation Environment.

These changes reflect the fact that with a license, products take on the characteristics of services. But realize that SA mostly benefits big customers. For smaller companies, licenses are negotiable. If SA makes sense for your enterprise but it does not quite fit your budget or your culture, see if Microsoft is willing to cut a deal. And when you get to the table, know that both your options and the door are open.

Post a comment or question on this story.


Best of the Web

Data deduplication: Declawing the clones

Data deduplication is emerging as a critically important new arrow in the storage administrator's quiver to answer hard questions about the increasing problem in storage growth costs.

Quick Read

Compression, Encryption, Deduplication, and Replication: Strange Bedfellows

One of the great ironies of storage technology is the inverse relationship between efficiency and security: Adding performance or reducing storage requirements almost always results in reducing the confidentiality, integrity, or availability of a system.

Quick Read

WAN Optimization Whitelists and Blacklists

Optimization is a fantastic way of saving money and creating really happy customers at the same time, but it doesn't work flawlessly for all applications.

Quick Read

WAN Optimization as a Managed Service: It's Not About the Cost

This insight examines how organizations outsourcing their WAN optimization initiatives to a third-party go about achieving their goals for application performance, reducing operational costs, and streamlining enterprise infrastructure.

Quick Read

  Sponsored Links

Premium Content

Next Generation Data Center, Delivered, November 17th
NWC


Salary

Video