Technology is changing at an incredible pace and staying up to date is becoming more and more important in our competitive business world. Considering this, does it make sense for a business to spend a huge outlay of time and money every few years just to keep up? And once the upgrade is installed, how to you make sure the staff understand how to take full advantage of the new features?
Would it make more sense to approach software as a subscription – spreading payments over the life of the software’s useful life – with rights to upgrade as new versions come out?
Subscription licensing has become the primary choice for the large majority of our clients. It takes the responsibility of staying on top of software updates off the plate of upper management and makes it a recurring task of the IT department – an operational item, rather than a capital item that is usually tied to hardware upgrades or replacements.
There are many benefits to this software model and it the interest of time, I have provided bullets outlining the advantages as listed by Microsoft below:
Low Cost Option
As a rental agreement OVS is a cost effective licensing agreement for small and medium sized companies.
Access to Latest Versions of Microsoft Products
OVS customers can automatically use the latest software available from Microsoft, ensuring they get the benefits of the best Microsoft has to offer.
Pay According to Use
Customers only pay for software actually installed. Each year, customers can increase and decrease the number of desktops as need be to support their business requirements and only pay annually for the revised number of desktops.
Up-to Date Discount
Customers’ existing investment in Office is recognized by receiving up to a 50% discount in year 1 of the agreement.
Simplified Licensing Management
One simple agreement can cover a customer’s entire organization, with a simple on-line tool showing the exact licensing position. No more managing the complexity of different licensing types on different pieces of paper. All a customer needs to do is check software deployment and make a payment once a year.
Simplified Budgeting, Ordering and Price Protection
Customers receive a predictable invoice once a year for all software covered under the agreement, streamlining budgeting and ordering. Where usage of covered products increases, prices are fixed at the initial value for the 3 years.
Reduced Risks of License Non-compliance
Managing licensing can be complex, but a company covered by an OVS agreement is considered compliant during the 3 years of the agreement, removing uncertainly and the worry that accompanies it.
Employees can use Office at Home
Employees can install and use Office on their home PCs free of charge, helping productivity, tele-working and training.
Information Worker Solution Services
Customers can get one and two day workshops delivered free of charge by Microsoft designed to help them get practical, tailored information and blueprints to help them maximize the benefits of desktop software.
Customers can qualify for a TechNet Plus subscription, 24×7 Problem Resolution Phone Support and Microsoft Professional Support Incidents.
OVS Customers get free vouchers for classroom training from official Microsoft training partners. Employees get access to on-line Microsoft learning courses.
Cold Backup Server Licenses
Any server covered by OVS can have a complimentary “cold” back-up in place for disaster recovery.
Possible Tax Benefits
Since OVS is a rental agreement it may be possible to treat the cost as an expense rather than a capital expenditure. Customers must, naturally, seek their own tax advice.
In order to provide customers with choice and because of its legal nature licensing is complex. OVS is designed to simplify licensing for small and medium size companies. In order to qualify for an OVS contract customers must cover at least one of the following :- Windows Pro Upgrade, Office Professional, Office Small Business Edition, Windows Small Business Server CAL or Core CAL.
If you, or someone in your company, is interested in learning more about software licensing, Managed Services, or have general IT support questions, please reach out to a Sea to Sky team member by emailing email@example.com, or call us at 604.628.6970.
– Sea to Sky Team