A New Licensing Framework for Redefining the Software Value Equation

This IDC study details the shift that is occurring in the software marketplace around customer perceptions of value, as well as the implications of this shift for independent software vendors (ISVs) in the context of software licensing strategy. Today's licensing models do not take into account the customer's experience with the software over time, nor are they flexible to needs that will change, sometimes as a result of using the software product.

"The software industry must move from a position where value is equal to the product to a model where real value is in the ease, intuitiveness, and seamlessness of the experience," said Amy Konary, program director, Software Pricing, Licensing, and Delivery. "Software packaging and licensing needs to adapt to account for value created during the customer experience with the software."