Published: 17 February 2017
Summary
Virtualization, digitization, cloud, mobile and IoT greatly impact traditional software models. Technology strategic planners will find next-generation software monetization is not about protection, limited to IP licensing, but about growth from enabling new models with repeatable revenue streams.
Included in Full Research
- Demand for software access from any device (via BYOD or IoT) at any time, whether deployed on-premises or in the cloud, compels software providers to evolve licensing strategies beyond device-centric to entitlement-controlled, while maintaining a common licensing experience
- Cloud Service Delivery
- The Shift to Mobile
- Virtualization
- Concerns about paying for shelfware increase pressure on ISVs to track and aggregate usage data to enable pay-per-use (metered service) licensing models for both cloud and on-premises software
- New Business Models
- An Acquisition Economy
- An Automated Back-Office Solution
- Escalated costs, coupled with compressed life cycles for smart machines with embedded software, force IDMs to explore new methods for reaching customers and prospects without cannibalizing current customers and revenue