Vendors Respond to Enterprise Demands for New Licensing Options
Any software vendor that’s been paying attention to its customers in recent months will tell you that software licensing preferences are changing–and quickly. The past year, in particular, has brought about an appetite for more flexible licensing models that are less user-centric and more usage-centric. As IT organizations continue to chisel away unnecessary spending and take a more strategic approach to software asset management, they’re increasingly demanding “pay-per-use” (i.e. usage-based licensing) and “pay as you go” (i.e. subscription-based licensing) scenarios that are more directly correlated with the benefits received through the use of any given application. And vendors are listening.
According to a Computerworld article by Eric Lai, vendors are rapidly adjusting their license offerings to accommodate and take advantage of this shift. The article notes that 43% of vendors have changed or expanded their licensing options to include such approaches as usage-based and subscription-based pricing. (Subscription pricing, which has long dominated the SaaS market, is now becoming commonplace among on-premise offerings). And, according to IDC, these trends are only expected to accelerate.




