UPDATE: Microsoft Unveils Streamlined Licensing Process  

Posted by Mohammad Talha in

DOW JONES NEWSWIRES
Microsoft Corp. (MSFT) unveiled a new licensing program for its largest software customers, a move the company said will improve the way it brings products and services to market while supporting ongoing customer relationships.
The new effort, which doesn't include price cuts, is intended to streamline the licensing process, said Stacie Sloane, the company's director of worldwide licensing and pricing.
Under the program - set to be rolled out this fall - larger companies with multiple business units will be offered flexibility in purchasing, streamlined license management and reduced time and potential costs of renegotiating licensing agreements.
Microsoft said the program will give customers price advantages for volume purchasing across the entire company at corporate and affiliate locations. Eligible government organizations and qualifying academic institutions will also receive "special pricing."
In addition, it will track the contract and ordering processes under a single customer ID, an effort to make it easier to manage software licenses throughout a company.
Microsoft's announcement comes just a day after the company stopped selling its ubiquitous XP operating system, following the introduction of the more- advanced Vista operating system 18 months ago. But while the new system is powerful, upgrading means spending lots of time and money to rework applications designed to run specifically on XP. As a result, some companies - including Microsoft partner Intel Corp. (INTC) - have balked at adopting Vista, preferring instead to continue using XP.
Though Monday was the last day Microsoft would sell XP or provide free support for the "hundreds of millions" of computers that are estimated to run on it, the company will still make money from XP by charging to provide support. Microsoft will offer the program at least through 2014, which is expected to attract many big corporate customers who are reluctant to switch to Vista.
Shares closed down 2.3% at $26.87.

This entry was posted on Jul 3, 2008 at 3:30 AM and is filed under . You can follow any responses to this entry through the comments feed .

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