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Microsoft facing user rebellion | |
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| Time: 00:10 EST/05:10 GMT | News Source: Network World Fusion | Posted By: Robert Stein | ||
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Microsoft is facing a user rebellion as thousands of customers threaten not to renew software maintenance contracts amid claims they have received nothing in return for tens of thousands of pounds. The issue, which is coming to light as contracts expire in July and Microsoft delays various product shipment dates, could explode and may cost Microsoft billions of dollars, observers say. Hundreds of thousands of customers are thinking twice about renewing their maintenance contracts with the software giant. | ||
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| #1 By 16302 (204.83.39.20) at 3/9/2004 8:13:09 PM |
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Most small businesses simply want a small monthly payment based on user count. I don't understand why Microsoft doesn't see this. There is very little value in their software assurance considering that most of their applications have a 4 year window between upgrades (even for early adopters), and there is no cost savings in the long run (4 years at 25% = 100% additional cost). Finally, paying up-front ties up much needed capital for smaller firms and locks them into the next version of the product without being able to assess alternative programs. And that doesn't even cover the concept that Microsoft frequently changes the licensing agreement for the next version of the product and software assurance does not guarantee that the customer can continue to use the product with the same license agreement they are signing up to.
For most businesses, software assurance is not a valuable offer. |
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