ITchak writes: >Just to remind Timothy that IBM is not the only software supplier, >3rd parties and even IBM OTC does not take into account (at least, >most of them) usage metrics.
I wrote: >First of all, general purpose engine upgrades don't increase software >licensing charges unless you're talking about software licenses tied to >machine capacity (i.e. full capacity licensing). No need to remind me. :-) Just to correct your assertion about IBM OTC, IBM's System z "one-time charge" software *does* take into account usage metrics (and, for that matter, software for other machines does, too). That's called Sub-Capacity IPLA (International Program License Agreement) software licensing, and IBM started offering it years ago. Here's some more information: http://www.ibm.com/systems/z/resources/swprice/reference/exhibits/ipla.html With that bit of information about how to get additional software pricing efficiency out of the way, yes, software licensing is typically the largest part of the IT budget after payroll. (Look to your left, look to your right, look in the mirror... :-)) That's a good thing, and maybe if software were bigger than the IT payroll budget it would be even better. But that's also like saying the biggest part of an airline's operations budget is fuel. Well, sure, that's not surprising. And yes, maximizing the efficiency of that fuel is also a good thing. But stop loading fuel onto the airplanes? Great stuff, software. Good software solves business problems. Want to stop solving business problems and/or increase costs elsewhere? Cut off the fuel supply: software. Let's not get software pricing efficiency confused with business problem solving/business optimization. I'm a "bigger picture" person on this, and hopefully you've got a few in your organizations. - - - - - Timothy Sipples Resident Enterprise Architect STG Value Creation & Complex Deals Team IBM Growth Markets (Based in Singapore) E-Mail: [email protected] ---------------------------------------------------------------------- For IBM-MAIN subscribe / signoff / archive access instructions, send email to [email protected] with the message: GET IBM-MAIN INFO Search the archives at http://bama.ua.edu/archives/ibm-main.html

