back to article Simply nobody is rushing to beat the Microsoft licencing price hike

The expected hordes of customers gathering to renew Microsoft volume licensing agreements before the planned price hike next month failed to show up, say a bunch of reseller sources. With the UK price list set to rise between 1.7 per cent to 25.9 per cent from 1 July, the software maker and partners reckoned on a mad rush from …


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  1. Dan Beshear

    It is just the 28th ...

    If there is a mass crush, it'll be Saturday.

    Or they'll just claim they're Yanks and dodge it altogether.

  2. Irongut Silver badge

    My preferred reseller says they've been very busy with MS business in the run up to the end of the month. We took out new agreements for Office which we needed to get done this year, might as well get the current price rather than pay more later in the year. Anyone waiting is an idiot, the prices will go up further when the Euro drops more.

    1. yossarianuk

      > Anyone waiting is an idiot

      Anyone who gives this company ANY cash is an idiot and ultimately damaging your own interests.

      Like a poor person voting Tory.

    2. mike2R

      "the prices will go up further when the Euro drops more." - unless my brain is back to front, I think you have that the wrong way around - to bring sterling prices into parity with a weaker euro would mean cutting them.

      Although the article says they'll be locked for a year

      1. Anonymous Coward
        Anonymous Coward

        re: I think you have that the wrong way around

        I guess that reflects on the intellect of those who are so keen to be locked in to MSFT.

  3. Anonymous Coward
    Anonymous Coward

    What happens if you don't renew?

    I mean, are your existing copies then illegal (i.e. you just rented them so far), or do you just get no more support/upgrades?

    I can imagine a number of companies are now considering a break in support and/or evaluating alternatives to either escape MS' clutches, or to make them offer a very good deal for a few more years in the handcuffs.

    1. Anonymous Coward
      Anonymous Coward

      Re: What happens if you don't renew?

      I believe most such agreements go into conventional perpetual licence agreements on termination of the enterprise agreement. That primarily ends your rights to up and down grade and get certain kinds of support. It will depend on your exact licence though.

      Of course it would be mischievous to suggest that one may find a better deal if you can demonstrate a real linux/open office pilot .... allegedly it worked for a government department though ...

    2. nichomach

      Re: What happens if you don't renew?

      It depends - if you bought perpetual license with software assurance, yes, they just become perpetual. If you are in a subscription agreement, however, and you let it lapse you're obliged to either buy out, uninstall the affected products or renew. The subscription agreements have a *significantly* lower upfront cost.

  4. yossarianuk


    To all the people who moan about the Linux desktop, the above article is reason alone why enterprise needs the existence of a linux desktop//opensource alternatives - or in these tight times are companies happy pissing their money up the walls of Microsoft HQ?

    I wonder how much of that extra cash will go on the legal assault of opensource / lobbying in support of ACTA?

    1. Mike Pellatt

      Re: Alternatives

      Or into paying the $1,000,000,000 fine. Plus the Commission's costs over the appeal.

  5. That Steve Guy

    Recession anybody?

    With the state of the economy at the moment most businesses cannot afford to spend money on big licensing agreements even at the current prices. If you cannot afford to do big spends right now, you won't do big spends regardless of what cynnical price hike threats are thrown about.

    M$ software has always been overpriced, they can put the prices up as much as they like but in the end if its too high people won't buy!

  6. Anonymous Coward
    Anonymous Coward

    Small beer

    If people think that Microsoft prices are bad, then try some from SAP.

    Our last bill was £90,000 just for the year. On top of that, the SI wanted to act as our first and second line support; that would then be another £75,000 per year - but no reduction in the fee to SAP though. It wouldn't be so bad, but their support people take days to respond; we end up fixing the problems in house ourselves before they even get around to reading the help desk tickets.

    1. Anonymous Coward
      Anonymous Coward

      Re: Small beer

      Try negotiating Oracle licensing, when with just a relatively small company like ours with about 100 DBs on around 70 servers, and various plugins and other Oracle toys and gizmos, we still pay over a £1.5m a year in licensing costs. I'd hate to think how much our total outlay for software licensing is when we factor in our 2000 odd Windows desktops and 750 odd Windows servers, Blackberry support, RSA support, EMC SANs, CISCO network kit, firewalls, net-monitors and proxies!

      You ever paid for bespoke financial software? That's the racket to be in! Year on licensing costs for a single application for 25 users can cost in excess of £250k to some tinpot company with 3 developers working from an office London's West End, glad it's not my money! The old adage of one born every minute applies so aptly to some of our project managers!

      1. Tim99 Silver badge

        Re: Small beer

        I'd love to know what your company does - 2000 odd Windows desktops with 750 odd Windows servers - That's less than 3 workstations for each server.

        Back in the day, when I used to do this stuff, our rough rule of thumb was 1 Windows server for 10-30 Windows clients; or 1 *NIX box for 50-200 users; or 2 mainframes to hold it all together for about 50,000 users.

        Uphill, in the snow both ways...

      2. Anonymous Coward
        Anonymous Coward

        Re: Small beer

        100 DBs on 70 servers - not that relatively small. In fact with 2000 desktops, you would still fall into the Enterprise bracket. We have 4 DBs on 4 servers, 150 desktops, so are in the SME bracket.

        Yes I have also worked with bespoke software products.

      3. Anonymous Coward
        Anonymous Coward

        Re: You ever paid for bespoke financial software?

        Customers of Nat West and RBS etc, are paying for it right now

    2. Anonymous Coward

      Re: Small beer

      As with most IT departments, it's entirely possible that you don't have the manpower, but if you could put together the OSS that is the equivalent of what you use now, or a close proximity, you might be able to get a better deal from your vendors. At that point you might find that you could incorporate a lot of it into your network.

  7. Blane Bramble

    One question

    As I understand it, GBP prices are "too cheap". If the prices are out of parity, why not bring the euro ones down?

    1. Ashton Black

      Re: One question

      Because that would mean less profit in the eurozone.

  8. Inachu

    No no no no no!

    I remember the very first day Windows 2000 was on sale and the retail price was going for $740!

    So I am sure a mad rush sticker shock would happen here as well.

    It is a good idea to just wait.

  9. Destroy All Monsters Silver badge

    Ha! HA!

    "As always, partners will continue to determine final price and currency to end customers.”

    I think "end" is being used as a verb here rather as an adjective.

    Additionally, this article should end with the obligatory "Which is nice" quip.

  10. Steve Davies 3 Silver badge

    They're all waiting to spend their £££ on Windows 8 Naturally

    Move along there. You obviously haven't heard the latest sermon by St Balmer then.

    Anyone or business that isn't running W8 by the end of othe year is going straight to Hell (where them Penguins Live)

  11. Alan Brown Silver badge

    UPdate to the latest MS Office?

    or update to Libreoffice?

  12. Anonymous Coward
    Anonymous Coward

    Insert free advert for MICROS~1

    aaaaaaa :)

  13. Anonymous Coward
    Anonymous Coward



  14. Anonymous Coward
    Anonymous Coward

    Logic Vs Business

    Since the world is becoming increasingly less Microsoft-centric, you'd think this would devalue them and us consumers would see prices drop. But history shows that bizarrely in these situations, prices go up.

    I'm guessing that as iProducts, Androids and other non-MS things continue to uncouple people from their traditional PC-centric lives, us dumb schmucks who build our own PCs and buy OEM copies (and the 'special' people who go to PC World and buy a proper retail copy) will end up paying through the nose for the privilege.

    It's hard for people who buy pre-made retail PCs to gauge the price of Windows, as the cost of hardware is such a moving target. Most people don't really know how to evaluate the processor, graphics card and other technicalities of their off-the-shelf PCs, especially when they're fancy all-in-one touchscreen machines, so they have no idea what they're paying for or whether the computer has a high profit margin.

    Right now, my only problem with Windows XP is that it only addresses 4GB of memory. Maybe I'll upgrade to a 64-bit version, though I have some notion that 64-bit WinXP has quite a few glitches compared to Windows 7?

    As for Windows 8, it's probably a very good thing for consumers, but not technosavvy people like me, who like to mess around with the system and its defaults.

    1. nichomach

      Re: Logic Vs Business

      If you are going 64-bit, then *don't* bother with XP - driver support is shocking, since there was no absolute requirement to provide 64-bit XP drivers to gain XP logo certification, so a huge number of manufacturers just wagged it. Windows 7 64-bit is lovely. Performs as well or better on the same hardware, is more stable and so forth. I'm not rushing for 8 either.

      1. Anonymous Coward
        Anonymous Coward

        Re: Logic Vs Business

        Thanks, I knew there was some kind of spoiler for 64-bit XP. I'll probably just go for Win7, though what I'll do after than remains to be seen, if Win8 is anything to go by.

        Still, hopefully that bridge won't be crossed for many years to come...

  15. Anonymous Coward
    Anonymous Coward

    Yet another reason...

    ...that `piracy` of over rated, over priced, bloated derivative software is still so popular to this day.

  16. Anonymous Coward
    Anonymous Coward

    Re: Logic Vs Business

    "technosavvy" packing a 10 year old 32-bit OS.

    A joke, yes?

    1. Anonymous Coward
      Anonymous Coward

      Re: Logic Vs Business

      Yes, technosavvy. The OS works, is stable, secure (thanks to app the patches and proper AV software). And ultimately not much matters about the OS, it's the apps.

      It says a lot when someone's more obsessed with the OS than the apps. You mention 32-bit after I specifically stated that 64-bit is my only constraint right now.

      My environment works flawlessly, squanders few CPU cycles, sees the RAM go far and makes me money. You're so technosavvy, you can't even operate the reply button on a messageboard, so probably best to avoid your armchair expert computer advice, eh.

  17. Anonymous Coward
    Anonymous Coward

    "Microsoft sent out a note saying they will waiver it," said one LAR.

    On illiterate LAR. Waiver is a noun. The verb would be waive.

  18. ClearLicensing

    Don't be Intimidated by Microsoft

    My recommendation is not to rush into any new agreements with a gun pointed to your head, in my experience all is negotiable and pricing can be mitigated by discounting, I recommend planning any EA renewal many months in advance and evaluate all options and leverage points, there is always something to be used when negotiating with Microsoft.

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