| Special report: Reactions to Microsoft's new software licensing policy |
by DesktopLinux.com staff (updated 'related links' on July 30, 2002)
Microsoft has announced a new (and controversial) software licensing program which goes into effect August 1, 2002. As the deadline nears, customers are faced with the choice of signing up for a fee-based software upgrade subscription service now, or paying heftier prices later. Before companies can even qualify for the new program, called 'Software Assurance', they must be on what Microsoft considers the 'current' version of the product. Companies running older software, such as Windows NT or 95, reportedly will be required to ante up for two years of the new Software Assurance program in order to be covered moving forward.
This strategy has been interpreted in some quarters as a move to intimidate corporate and institutional users into paying fees for upgrades before they are ready, thereby locking up budgets before they have any firm indication of future product features, capabilities, or availability.
Microsoft has, on the other hand, defended the program as a measure to help streamline the license process and 'help assure compliance'. In fact, the policy sent to businesses suggests that signing up before the deadline will 'save more that 45%' over pricing offered after July 31, 2002.
Partly as a response to Microsoft's new, more aggressive, licensing policy, governments and institutions worldwide have begun implementing legislation or programs geared to the adoption of Linux and other open source software as an alternative to Microsoft's Windows and Office products. Various agencies and institutions in the countries of Peru, Germany, China, France, India, Singapore, and Taiwan have announced their selection of Linux in government systems -- and the list keeps growing.
In the United States, the Pentagon has been looking to open source for Department of Defense projects. The Air Force is working with Linux already. Other US government agencies reportedly using Linux include the Department of Agriculture (USDA), the Federal Aviation Administration (FAA), and the Department of Energy (DOE). The Boston Globe reports, for example, that more than 75 IBM government customers are using Linux 'today . . . to save costs, consolidate workloads, and increase efficiency'.
Some recent indicators suggest Microsoft is backing away from enforcing this program for educators. For example, USAToday reported that some school districts have been offered the option of paying an annual fee based on the number of computers capable of running Microsoft software, instead of having to endure an audit. Along similar lines, USAToday also reported that other previously scheduled implementations of subscription-based upgrades have been extended as their deadlines approached.
If ZDNet's report that 'less than two-thirds' of corporate users are currently buying into Microsoft's new licensing program is accurate, the potential impact on the growing adoption of Linux-based software and systems is enormous.
A list of references for further background reading is provided below.
Please vote in our poll!
In order to gauge responses and reactions to Microsoft's new licensing strategy, DesktopLinux is conducting a survey of organizations and enterprises. Questions focus on alternatives to Microsoft's products and the likelihood of using Linux and certain cross-platform productivity tools. Survey participants are offered the chance to win a copy of the Ximian Desktop Professional Edition by entering in a free drawing, as an inducement take part in the survey.
Twenty copies of Ximian Desktop Professional Edition will be furnished to all winners by Ximian, based on a random drawing of poll-participants who request to be included in the drawing. Prize value is $59.95. The survey closes on June 23, 2002 at midnight PST.
References
Here are two Microsoft documents that are intended to help its customers decide what to do: a description of Microsoft's new Volume Licensing program; and a decision matrix flowchart . . . And here is a collection of articles for further reading, from around the web . . . Updated July 30, 2002
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