Microsoft could be about to revolutionise its licence structure for
large corporate users. A US analyst this week warned that several
companies have signed three-year, rather perpetual licence deals
with Microsoft.
Don Young, analyst at UBS Warburg, warned that Microsoft had struck
new contracts with a handful of large enterprises, mostly based in
Europe.
Under current Microsoft licensing arrangements, high volume users
often sign three-year enterprise agreements, with fees paid
annually on a per-user basis. After three years users are allowed
to continue using the version of the software installed under a
"perpetual use" clause and only pay more if they want to
upgrade.
However, Young said Microsoft had recently struck fixed-term deals
that did not include the "perpetual use" clause. This means users
will have to continue paying Microsoft once the contract
ends.
The change would protect Microsoft's revenue stream from slowing PC
sales, said Young. A Microsoft spokeswoman refused to comment on
the analyst's specific allegations but admitted the company was
looking at changing licences.
"There will be some announcements coming out soon, but we have no
comment at the moment," she said.
Chris Mugan