Gartner Research

Protect and Improve Legacy Software Pricing Definitions to Control Unexpected Licensing Costs

Published: 08 January 2015

ID: G00267236

Analyst(s): Rob Wilkes

Summary

IT procurement professionals have become accustomed to familiar software pricing metrics. As vendors change legacy metrics to drive increased revenue and move clients to the cloud, IT procurement professionals need to protect favored pricing metrics or risk significant unbudgeted costs.

Table Of Contents
  • Impacts

Analysis

Impacts and Recommendations

  • As software vendors change from legacy to new pricing metrics, the result can be significant unbudgeted costs for IT procurement professionals
  • A change to named user licenses, from concurrent user, for example, will cost many IT procurement professionals more due to restrictions on reassigning the licenses when employees join, leave or move within the organization
  • A move to processor-based licensing from server licensing will result in significant extra costs over time for IT procurement professionals as a result of core, virtual server or cloud use restrictions

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