atcomsystems.ca/forum Forums VOIP Phones & IP PBX VoIP & Cloud Phones, Hosted PBX, General IP Phones Software Licensing Fees and VOIP Systems

Microsoft usually only slates new releases every 3 to 5 years and if it isn't broke then upgrading wont gain you much unless there is some new feature/services you desperately need.

M$ also gives you the updates and service packs as part of your license so the only thing you need to buy a major version upgrade (IE Office 2003 to 2007, or Server 2000 to 2003).

As you stated all software is different but i've never ran into a microsoft installation that has ever had any SA contracts. I am sure they are out there but it is a fairly rare thing.

If I buy a Dell, I don’t pay them every year to allow me to keep using it. Microsoft puts out software updates and patches for their product and charges for upgrades to newer products. Anti-virus software is purchased and updated for a while. If you want to be protected from new threats, you have a subscription service. I realize there are some software programs with yearly fees.

When I buy a phone, pay for the hardware, software, options, initial licenses etc. The phone should work until it breaks or I want to change something. Software assurance is an option, if Microsoft had right to use fees… your server would stop when the license expired.

Well Steve was talking about Software Assuredness (SA), which is where you usually pay around 20-30% per year of what the new software (estimated) would cost, and if any new versions come out, you get them and the support to install it covered under your contract. That's why SA is only economical if you think there will be MAJOR versions coming out in the next 3 to 4 years, otherwise you are better saving the money in the bank and buying the new version when it comes out.

Think of it as paying 20% of what a new phone system cost every year, but always having the latest and greatest features and hardware.

An annual right-to-use license is a scam IMHO.

So let me get this right Cisco will charge a licensing fee to keep there phones up and running? What other companies do that Nortel is one time charge and Avaya is one time charge is the Vertical VOIP the same as Cisco? or is the Cisco a one time charge have seen many diffrent post and still trying to figure it out. We ended up with microsoft. Which isnt in the telephone side yet.

Cisco is currently charging one time for endpoints as bought. Their convoluted licensing however can result in certain IP sets considered as being anywhere from 1-6 licenses. (IE 2 specific sets could require 12 licenses). The fun begins on upgrades and additions.

Unless I'm forced, I never buy into software with an annual right-to-use or otherwise mandatory annual maintenance licensing. I will take a FEW exceptions to this such as Anti-Virus software or other software that has a high dynamic component to it. If the developers want to make money they should charge it upfront, and not pull a bait and switch. The bait and switch being they sell you the software for a pretty but not outrageous penny, you build it into every facet of your company, and then they pull the strings on it unless you pay them.