Customers cool on subscription software
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The software industry is rapidly moving to subscription-based billing, but corporate customers have not warmed up to the model yet, according to a new study.
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A Forrester Research study finds that corporate users are becoming increasingly frustrated with the license and maintenance costs of enterprise applications.
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Company's subscription services now include an array of security tools, including the basics.
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New subscription service links Web mail with the desktop e-mail client.
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For Sun CEO Scott McNealy, subscription-based pricing is the most interesting part of Sun s business moving forward. He claims that the model works.
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Microsoft is offering a new subscription model to small businesses that will allow them to use the company&#39;s software for less cost than the currently available licensing model.The plan, called Open Value Subscription program, is part of Microsoft&#39;s effort to give small businesses more flexible and affordable options for purchasing software, said Cindy Bates, Microsoft&#39;s general manager for U.S. small business.The new plan costs about a third of the license-only expense for the current licensing program open to small business, called the Open Value program, Bates said. The plan is cheaper because Microsoft offers upfront discounts for software purchased through the subscription program, and also allows customers to increase or decrease pricing over the three-year subscription period if their business needs change, she said.Open Value Subscription includes Microsoft&#39;s Software Assurance program, the company&#39;s software maintenance and support program for business customers.Microsoft defines small businesses as those with 50 employees or fewer. Bates called 50 employees the &quot;break point&quot; for when a company hires IT management. Up until that number, &quot;usually it&#39;s the business owner or office manager&quot; handling the IT system, she said.Businesses will be able to sign up for the Open Value Subscription program beginning in March, Bates said. Microsoft products available through the program include Microsoft Office Small Business, Office Professional +, Windows Vista Business Upgrade, Small Business Server Client Access License (CAL), Core CAL, Desktop Professional Suite, and Small Business Desktop Suite.As part of its small-business outreach, Microsoft also this week is unveiling a partner program called &quot;Big Easy,&quot; which invests about $10 million in subsidies to small businesses purchasing products through partners.Through the program, small businesses purchasing certain products through authorized specialist partners will get a certain percentage of money back that they can use to purchase other services from those partners, Bates said.For example, a small business would get a maximum of 22 percent of the money it spends if it buys six or more products that are on the approved list. Bates said Microsoft has figured the average return will be about 15 percent to 17 percent on purchases for small businesses.Products available for subsidies under the Big Easy program include Microsoft Office products, Exchange Server, Forefront Security for Exchange Server, System Center Essentials, Project, Visio, Office SharePoint Server, Forefront Security for SharePoint, and Internet Security and Acceleration Server 2006, among others.More information about Open Value Subscription can be found on Microsoft&#39;s Web site. The company also provides more information about the Big Easy on its Microsoft Small Business Community Blog.
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Company hopes to attract users who will later upgrade to its small business software.
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Customers want the service, changes are in the works, and counting Vonage out could be a mistake.
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If a reputable company sold a dirt-cheap machine that provided blissfully simple and virus-free Internet access, you might expect to see crowds of customers rushing into stores, credit cards in hand.
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By Miguel Helft  Millions of people enjoy free Web-based software programs, but they have a drawback in that they are available to users only when they are online.
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Encourages existing users to switch to Shutterfly's market-leading service.
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The software maker tweaks its small-business product, making several services free, but adding charges for domain name registration beyond the first year.
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Company launches free test version of service that fosters popular Internet activity.
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A new specification will add features to Blu-ray disc players proves that people really just subscribe to consumer electronics rather than buying them. Accept that and you can defend profligate spending on the latest TV or being a penny-pincher.
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Businesses don&#39;t have to dump Windows to test drive free or low-price applications whose use may improve the bottom line. Sometimes the big software vendors act like their customers are locked into the proprietary products they sell.
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Firm shoots for power users among Hotmail crowd, marking first time an Office component is available as subscription service.
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Demand for commercial-free radio is sending satellite radio subscriptions sky-high