russelray wrote:
At least you finally admit that you don't own the software, only a license to use that software. That means you've made progress! Yahooooooooooooooo!
perpetual license ‎(plural perpetual licenses)
A license with no expiration date.
or A Permanent Life Long License.
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Let's look at the options....a perpetual license (where you buy the software and keep it "forever") and a subscription type (where you pay a yearly subscription amount and if you don't renew, the license is no longer valid). What are the pros and cons ? Well, it depends on your point of view and ultimately, of course, the preference of whoever it is that is paying for it (CFO?).
Generically, you can view it like this (although this may change by vendor) :
Perpetual License
One time payment. Validity Perpetual. Entitlement Software license alone. Annual support, updates and upgrades are not included and can range from 18-22% of total cost of acquisition.
Subscription
Annual, recurring payment. Validity 12 months. Entitlement - software license, support, updates and upgrades.
So, one of the most relevant, non-commercial questions is "do I always want to be on the latest version of the software?". If so, then the subscription model may be best for you.
Commercially, you should figure out the willingness of your company / organization to pay with CAPEX (for perpetual) versus paying with OPEX (for subscriptions)? In some organizations it is harder to get capital to spend than it is to get operational money or expenses. Subscription licenses can often be funded as OPEX, where perpetual licenses, due to the larger upfront investment (i.e. one time) usually requires CAPEX funding and subsequent amortization over a given period.
For European owners of perpetual licenses this may be of interest.
http://www.computerworld.com/article/2505356/it-management/eu-court-rules-resale-of-used-software-licenses-is-legal----even-online.htmlEurope's highest court ruled on Tuesday that the trading of "used" software licenses is legal and that the author of such software cannot oppose any resale.
The exclusive right of distribution of a copy of a computer program covered by such a licence is exhausted on its first sale, said the European Court of Justice (ECJ). This applies to downloaded software as well as that bought on CD or DVD. This ruling sets a precedent for trading of used software licenses throughout the European Union and could potentially impact ebooks and computer games as well.
The court also ruled that any patches or upgrades made to the software through a service agreement also form part of the used software that can be sold on. However it said that the reseller must make the copy downloaded onto his own computer "unusable" at the time of resale.
The German Federal Court of Justice referred the question to the ECJ following a legal battle between Oracle and UsedSoft, a company that buys and sells used software. Oracle launched the case after UsedSoft offered "pre-used" Oracle software licenses online in October 2005.
Oracle customers can download a copy of the program directly onto their computer from Oracle's website. The user right for such a program, which is granted by a license agreement, includes the right to store a copy of the program permanently on a server and to allow up to 25 users to access it by downloading it to the main memory of their workstation computers.
In a small victory for Oracle, the ECJ ruling prevents resellers from breaking up a license and selling only part of it if they have purchased licenses for more users than they need.
UsedSoft customers download the resold software directly from Oracle's website after acquiring a 'used' license. Oracle argued that the principle of exhaustion does not apply to user licenses for computer programs downloaded from the Internet. However the ECJ firmly rejected this argument.
So with a perpetual license you own the license and can resell it, at least in Europe. With a Subscription license you stop paying it you have nothing.
So anyone got a used copy of photoshop they want to sell? :)