Move may make software pricier for many firms
Published:
12 May 2001 y., Saturday
Microsoft is changing the way it sells software to large companies, saying it's simplifying the current hodgepodge of licensing plans, but some analysts say the changes will raise the cost of software for most companies.
The changes announced yesterday also will move Microsoft closer to its longtime goal of selling most software by subscription and collecting annual fees, rather than making sales sporadically when users decide to upgrade their programs.
To lure customers down the subscription path, Microsoft is offering lower prices to those who rent rather than buy its software.
Microsoft is also eliminating a widely used option that companies use to upgrade to newer versions of its software and encouraging companies to pay extra for three-year service agreements that include continual upgrades.
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