Published: 27 September 2022
Publicity clauses within IT contracts can expose organizations to monetary, brand and security risks, often negating promised concessions. Sourcing, procurement and vendor management leaders must audit all publicity clauses, assess their impact and negotiate accordingly.
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Vendors often offer one-time discounts or other concessions in exchange for publicity, usually with no obligation to repeat them, making organizations vulnerable to price increases at renewal.
Organizations often unknowingly sign up for publicity clauses that are part of the standard contract terms, unwittingly giving vendors free rein to use their brands for marketing purposes.
Publicity can create unintended risks, such as revealing which cloud provider an organization uses. Such public exposures can tip off hackers and competitors, or damage the organization’s brand through association.
To mitigate the risks of publicity clauses when negotiating IT contracts, you must:
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