Microsoft Raises Its Licensing Fees to Cash in on Bring-Your-Own-Device
November 27, 2012 11:35 AM
comment(s) - last by
BYOD fees for "user CAL" licenses of Sharepoint, Lync, etc. will jump 15 percent
Microsoft Corp. (
) has announced a change that's good news for its investors and bottom line, but likely bad news for business clients.
The change affects Microsoft's so-called client-access license (CAL). If you own a business, you purchase a CAL from Microsoft, which allows your on-site employees to use software such as:
Bing Maps Server
Exchange Server Standard or Enterprise
Lync Server Standard or Enterprise
SharePoint Server Standard or Enterprise
System Center 2012 Client Management Suite
System Center Configuration Manager
System Center Endpoint Protection
Visual Studio TFS
Windows Multipoint Server
Windows Server RDS, RMS, Terminal Services
two flavors of CALs
-- User CALs, which allow a unique user to connect any device they own, and the Device CALs, which associate a per device license fee. Previously Microsoft had set these two licensing options to the same price.
User CALs (left) are the preferred solution for BYOD users, versus Device CALs (right).
That was great news for enterprise users, as one of the hottest trends right now in IT is the bring-your-own-device (BYOD) craze. BYOD means that one user may not only connect from both a work machine (say a work laptop), but also personal machines they own (say their personal tablet and laptop). If a business was to buy a Device CAL license, it'd have to buy three licenses for those devices, but with the User CAL, the employee had the flexibility to use any of those devices, while the employer was on the hook for only a single license fee.
But the deal is about to get a little less sweet, as Microsoft has announced that it will be bumping the price of its various User CALs by 15 percent. The price change will take affect Dec. 1. However, large customers that have Enterprise Agreements, Enterprise Subscription, Open Value Subscription, and Open Value Perpetual will be able to hang on to their current pricing until the end of their contract.
Ultimately this seems like a smart move for Microsoft. After all, a 15 percent premium User CAL is still the cheaper option for enterprise customers, if the average user connects with 2 or more devices. But the move could also backfire, forcing some smaller clients to free, open source alternatives. However, making such a switch can be costly and the end result may be inferior software, in some cases.
For those reasons it seems unlikely that Microsoft will see mass defections, even if it may be offering up an irritating change to its business clients.
This article is over a month old, voting and posting comments is disabled
11/28/2012 1:57:12 PM
Some ugly tablets were made even back in WinXP days by some OEMs, MS was providing software tho
"Paying an extra $500 for a computer in this environment -- same piece of hardware -- paying $500 more to get a logo on it? I think that's a more challenging proposition for the average person than it used to be." -- Steve Ballmer
Windows Server 2008 Headlines Microsoft's Latest Enterprise Launch
February 28, 2008, 12:28 PM
Google's Gleaming Glass HQ Gets Mountain View Snub, LinkedIn Gets the Love
May 7, 2015, 6:58 AM
Tech's Tax Day Fortunate Few: Qualcomm, Xerox, GE, et al. Pay Little or No Taxes
April 15, 2015, 11:30 AM
LinkNYC Terminals to Blanket New York City With Free WiFi, Free Calls, and Ads
November 17, 2014, 6:50 PM
Microsoft is Open-Sourcing Most of .NET, Adding OS X and Linux Support
November 12, 2014, 8:27 PM
Home Depot Lost 53 Million Emails, Blames Windows, Buys Execs New Macs
November 9, 2014, 5:00 PM
Former NSA Lawyer: If Google, Apple Encrypt User Data, They’ll Wither on the Vine Like Blackberry
November 6, 2014, 12:15 PM
Most Popular Articles
Free Windows 10 offer ends July 29th, 2016: 10 Reasons to Upgrade Immediately
July 22, 2016, 9:19 PM
Top 5 Smart Watches
July 21, 2016, 11:48 PM
2017 Porsche Panamera: I’ll Take Three of These.
July 24, 2016, 6:44 PM
Latest Blog Posts
Sceptre Airs 27", 120 Hz. 1080p Monitor/HDTV w/ 5 ms Response Time for $220
Dec 3, 2014, 10:32 PM
Costco Gives Employees Thanksgiving Off; Wal-Mart Leads "Black Thursday" Charge
Oct 29, 2014, 9:57 PM
"Bear Selfies" Fad Could Turn Deadly, Warn Nevada Wildlife Officials
Oct 28, 2014, 12:00 PM
The Surface Mini That Was Never Released Gets "Hands On" Treatment
Sep 26, 2014, 8:22 AM
ISIS Imposes Ban on Teaching Evolution in Iraq
Sep 17, 2014, 5:22 PM
More Blog Posts
Copyright 2016 DailyTech LLC. -
Terms, Conditions & Privacy Information