On 7/3/2020 12:16 PM, Jesse 1 Robinson wrote:
Ah, software cost. I still remember the first CPU upgrade after the insinuation
of tiered pricing. We budgeted for the hardware and extracted approval from
management. Then we were bowled over when the software bills rolled in. Of
course it was our fault for not considering the budget busting impact of
increased MIPS. Not sure IBM thought it through. We now refrain from hardware
upgrades because of software costs.
The opposite is true. For many years now, hardware upgrades have
resulted in *lower* software costs!
This change in behavior began back in the z9 days (2007?) when IBM began
adjusting MSU ratings to provide "Technology Dividends." Once the folly
of that hardware "dial-back" methodology became clear, they stopped
"monkeying" with processor ratings and focused instead on providing
software discounts based on which generation of hardware you were
running. These discounts take the form of what IBM today calls
Technology Transition Charges and Technology Update Pricing. For example:
1. Suppose you have a 400 MSU zEC12. You receive a 6.3% discount on
AWLC pricing.
2. If you upgrade to a 400 MSU z13. You receive an 11% discount on AWLC
pricing.
3. If you upgrade to a 400 MSU z14. You receive a 16% discount on AWLC
pricing.
4. If you upgrade to a 400 MSU z15. You receive an 18% discount on AWLC
pricing.
So, if you don't grow your CP-based MIPS when upgrading from a zEC12 to
a z15, you get 35% faster IFLs, zIIPs, and ICFs and your software bill
goes down over 14%.
Alternatively, because of the way the pricing curves work, you can
upgrade your CP-based MIPS *far* more than 14% and keep your software
bill essentially unchanged.
--
Phoenix Software International
Edward E. Jaffe
Chief Technology Officer
831 Parkview Drive North
El Segundo, CA 90245
https://www.phoenixsoftware.com/
--------------------------------------------------------------------------------
This e-mail message, including any attachments, appended messages and the
information contained therein, is for the sole use of the intended
recipient(s). If you are not an intended recipient or have otherwise
received this email message in error, any use, dissemination, distribution,
review, storage or copying of this e-mail message and the information
contained therein is strictly prohibited. If you are not an intended
recipient, please contact the sender by reply e-mail and destroy all copies
of this email message and do not otherwise utilize or retain this email
message or any or all of the information contained therein. Although this
email message and any attachments or appended messages are believed to be
free of any virus or other defect that might affect any computer system into
which it is received and opened, it is the responsibility of the recipient
to ensure that it is virus free and no responsibility is accepted by the
sender for any loss or damage arising in any way from its opening or use.
----------------------------------------------------------------------
For IBM-MAIN subscribe / signoff / archive access instructions,
send email to lists...@listserv.ua.edu with the message: INFO IBM-MAIN
