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Why Software Licensing Should Adopt the Cloud Deployment Model

Featured Article from Software Licensing

Why Software Licensing Should Adopt the Cloud Deployment Model

 
April 13, 2016

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  By Susan J. Campbell, TMCnet Contributing Editor

The goal in development is generally to produce the best outcome that can earn returns for the foreseeable future. There may need to be updates along the way and the market will continue to demand bigger and better when it comes to capabilities. To that end, doesn’t it make sense that your software licensing would focus on monetization over the course of the lifecycle?


This topic was the focus of a recent blog from software licensing firm, Flexera Software. Interestingly enough, the answer to the question posted earlier is not in the affirmative, but instead the blog forces you to think beyond the monetization details and focus in on earnings per share, market share and the customer experience.

As modern software deployment options continue to multiply, there appears to be consistent themes around the concept, including intellectual property protection, pricing model agility and flexibility, offering precision options into actual feature and resource consumption and ensuring integration with back-end billing platforms to enable round-trip accounting.

As the cloud deployment model continues to expand, an increasing number of application producers are realizing tangible benefits by offering users applications on a trial basis and in a variety of feature bundles that deliver a variety of levels of functional complexity. In the process, these developers recognize the critical importance of monetizing their products through the process of software licensing.

With a common licensing platform, a wide variety of applications or virtual appliances can be metered. This makes an affordable solution for the provider to maximize flexibility and reuse the solution as it evolves over time. Cloud-based licensing actually allows for a drastic simplification of software licensing complexity while also allowing for the optimization of revenue generation.

The benefits of software licensing in the cloud, or Licensing-as-a-Service (LaaS) including the ability to rapidly and cost-effectively transition software solutions to the cloud while also protecting intellectual property. Developers also gain insights through usage management capabilities to better understand how their products are being used.

Subscription-based licensing models are further optimized and intellectual rights are protected regardless of the deployment strategy. Plus, developers can proactively monitor the feature and applet utilization so as to generate more precision and timeliness in their monetization.

The point is developers need to be able to optimize their assets in the market, but to do so they need to focus more on the end user and avoid varying pricing models. A streamlined approach is the best method to ensure consistent revenue and protect the opportunity. 




Edited by Maurice Nagle

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