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Price switch hits JD Edwards users

Antony Adshead
JD Edwards users face a difficult choice in the new year after PeopleSoft moved to unify pricing models following its acquisition of the ERP supplier in July.

PeopleSoft aims to change licensing for the JD Edwards Enterprise and Enterpriseone family of software from its existing, per-user basis to the PeopleSoft model of calculating fees based on company size and revenue.

The changes will affect users who want to buy extra licences for their software.

Simon Bragg, an analyst with ARC Consulting, said it was inappropriate to put JD Edwards users on the same pricing model as PeopleSoft.

"PeopleSoft has developed its pricing model to suit its typical customers - large organisations with lots of occasional users. JD Edwards' pricing was developed for its customers - industrial companies with stable numbers of regular users. The models were developed to suit those markets and there is no reason why the PeopleSoft model should be applied to a market where it does not fit."

In an effort to forestall criticism, PeopleSoft marketing director Alastair McGill told Computer Weekly that JD Edwards users would be able to choose to remain on a per-user licence if they wished. Where customers planned to buy licences for new roll-outs, McGill said PeopleSoft would put together "the most competitive licence package possible".

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