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March 13, 2009 9:58 AM PDT

Microsoft gives discounts on software licenses

by Colin Barker
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Microsoft has cut the price of leasing software by as much as 25 percent.

Companies can sign up for discounts on SQL Server, SharePoint, and other Microsoft software, or two bundles of client-access licenses, according to notices posted on the Microsoft Incentives Web site.

One special promotion is "Simplify and Save," which offers savings of 15 percent for those who consolidate at least two existing license agreements into an Open Value agreement. Microsoft said the discount will run for the entire length of a three-year license deal.

Another offer is for between 15 percent and 25 percent off the price of the license and the Software Assurance costs of running Exchange Server, Office Communications Server, SQL Server, Office SharePoint Server, Visual Studio, Office Project, and other Microsoft software.

It is a condition of some Microsoft license agreements that companies take out schemes such as Microsoft Software Assurance in order to keep their software properly licensed, and therefore eligible for upgrades and promotions. Industry estimates suggest this situation can add as much as 100 British pounds a year per PC to the cost of running applications.

The cuts are similar to those that Microsoft has made on the cost of licensing specific products. The Microsoft Office Project Assurance Pack's price has been cut by 25 percent, and Microsoft Project Server 2007 has seen a similar price fall.

According to one analyst, when it comes to special offers, Microsoft does not tell enough people about them. "This is good news for users but Microsoft should be shouting about offers like this," said Tony Lock, analyst with Freeform Dynamics. "Software Assurance is not widely recognized and deals like this, which seems pretty much across the board of Microsoft software, should be better known."

Lock said that, while Microsoft has good market share, it is "not nearly as good as it could or should be, given offers like this."

Colin Barker of ZDNet UK reported from London.

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by jypeterson March 13, 2009 10:47 AM PDT
Microsoft has made discounts available for our company's employees to purchase Office (licensed only for personal use while employed with the company) for $25.
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by zeroplane March 13, 2009 12:09 PM PDT
Definitely sounds like market pressure is catching up with Micro$oft. I have over 17 years of development experience building applications web/desktop and to me the cost of doing business with Micro$oft has always been a detractor. Especially when just setting up a development environment would cost to the tune of $3000.00 USD just to get started. Perhaps in recent years that cost has gone down. Recently in the last few years I bit the bullet and invested a few years learning development in the Micro$oft ecosystem. Built a few systems using .net C# Ms SQL Server, IIS, ect.. but found the cost for myself and my clients was just too high. And I am not talking just about "mom and pop" client we are also talking about enterprise clients with 1000s of users and transaction/sec.

I think open source software is really starting to hurt MS, recently my employer totally switched to open source technologies because the margin on MS development had dropped considerably. I will say this, open source technologies can certainly get the job done and generally can do much more with less hardware then a MS technology stack.

But that is just my opinion, measured in increased clients and increased bank accounts.

On the desktop side, I have gone from over $1200 for the OS, productivity software, and graphic software to $0 for open source alternatives.. It works for me, perhaps it will work for other too.
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by Breezy1601 March 13, 2009 12:48 PM PDT
software leasing only?
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by BtmnHatesRbn March 13, 2009 1:08 PM PDT
I used Blender for my graphics, and I still program in BASIC, but different flavors, depending on what I'm up to. I guess I'm just an old dinosaur.
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by gggg sssss March 13, 2009 1:16 PM PDT
The cost of software assurnace over simple licence is WAY more than the potential savings on maybe / if / when deals like this.
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by RompStar_420 March 13, 2009 3:25 PM PDT
I have Office Ultimate 2007 that I got from the Employee Store for like $80 bucks and I am trying to give this away for the same price so my friends and co-workers, no body wants it, even at $80.

Go figure, the only thing that will save MS is quality software, start producing some.
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by pentest March 13, 2009 3:59 PM PDT
I got a copy of Visio 2007 pro, Vista 32 and 64 bit, VS 2008 professional, XP, SQL server 2008 development and enterprise, Project professional and Windows server 2008 all for the cost of downloads and media to burn it on.

It was still too expensive and the only development tool from MS worth using is the driver development kit, which is free anyway. The only OS above worth using is XP, and it has only gained respectability because of the mess that is Vista. None of the crap they offer on MSDNAA has any real value, other then for chuckles.

Other then writing windows rootkits and thus need the DDK, all my development is done on free tools that surpass every single one of these programs.

That people waste money on them is beyond belief.
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by t8 March 13, 2009 7:29 PM PDT
I am doing more stuff with Chrome, Google, Docs, Calendar, Gmail all under my own Domain (Bring your own Domain). I find software on Windows to be a more and more old fashioned and limited to specific machines. Cloud computing with Google allows me to be free to use any PC and device with a browser. I still use software where I have to, such as Dreamweaver,and Photoshop, and I have a whole lot of Open Source software on a memory stick attached to my key ring. I think in the not so distant future, I will not need to install software on a Windows machine ever again. I will have all I need in my pocket and in the cloud.

Sorry Microsoft you are becoming less relevant by the day. Admittedly I have always been an early adopter, but I can see many others doing the same in time because it is so much more convenient.
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by miikuun March 15, 2009 9:43 PM PDT
I use Firefox, Open Office, Winamp with Win XP, and sometime hope to get a Linux distro, and then I can say goodbye MS.
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