Companies fret as costs soar for software subscriptions (2019)

Re:Companies fret as costs soar for software subscriptions (... by Silhouette on Friday March 06, 2020 @01:32AM (#22501409)

Having worked in several related areas, but not very recently, the costs for specialist software packages were certainly much higher than people think of for basic office software, but nowhere near the scale we're talking about here. Have things truly become so crazy that five-figure annual fees for these packages are the norm? A permanent licence used to cost less per user than that! But then I suppose this is the point the article is making.

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Re:Companies fret as costs soar for software subscriptions (... by CrazyStat on Friday March 06, 2020 @07:53AM (#22503175)

Several years ago my university was bragging about a $200 million donation the engineering school had received from several companies.

Turned out it was just several hundred seat licenses for a bunch of commercial cad, simulation etc. software, which the companies valued at about $50k/seat.

A very cheap way to donate $200 million.

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Re:Companies fret as costs soar for software subscriptions (... by wolco on Friday March 06, 2020 @08:52AM (#22503488)

And to write-off $200.00 million.

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Re:Companies fret as costs soar for software subscriptions (... by fock on Friday March 06, 2020 @03:20AM (#22501848)

it is. And especially for SMBs, the cost was way less in the past. Imagine a small mechanical engineering company: 10 years ago they'd have 5 seats of a 5 year old AutoCAD/ProEngineer/Solidworks version, sneakily locking them in but basically no recurring costs. If a new customer needed a new version, they bought one seat for that and kept the old ones, gradually upgrading. Nowadays they pay half the single-seat cost per year because of "continouus updates" (for the UI mainly, so that they can sell trainings)

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