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Sun Introduces Subscription Solaris 144
cyberlync writes "Sun is planning to implement a pricing policy similar to Microsoft's recent subscription pricing plan. Jonathan Schwartz, Sun's executive vice president of software, said that they are calling this project Orion. It looks like another attempt to grab more cash in this nasty economy to me. Schwartz said that they are going to try a similar senario with linux soon as well. On a side note, it mentions some interesting things about a new desktop distro of linux."
Is someone having a laugh? (Score:3, Funny)
Orion -> Onion?
sun implementing Redhat ideas ? (Score:2)
subscriptions for automatic updates and security patchs
well never
best of luck to them if it funds solaris all credit to them
regards
John Jones
Re:sun implementing Redhat ideas ? (Score:2)
Re:Is someone having a laugh? (Score:2, Insightful)
like, totally (Score:3, Funny)
I hate it when companies try to make money. Employees, electricity and phone service should all be GPL. they could maybe get office furniture off of kazaa.
damn economy.
Re:like, totally (Score:2, Funny)
Re:like, totally (Score:1)
http://www.fiaa.com.au/ [fiaa.com.au]
Re:like, totally (Score:1)
Australia has a Furniture Industry Association of America? You guys _are_ funny.
Re:like, totally (Score:5, Insightful)
Re:like, totally (Score:2)
Hmmm...
Re:like, totally (Score:1)
As long as it's still possible to just buy the pieces I want when I want, I don't care. If this becomes the only way to buy their stuff I will care.
Re:like, totally (Score:2)
Uh actually, there are a lot of people out there who believe that the concept of companies making money is bad and everything should be free. Wouldn't be surprised
(But I'm not one of them.
Re:like, totally (Score:2, Insightful)
Which is complete nonsense. "Orion" isn't just Solaris. It's Solaris with an added directory server, portal server, identity server, web server , app server, calendar server, cluster management , and god knows what else.
Sheesh, I can't believe the stuff that gets modded up sometimes.
Re:like, totally (Score:3, Insightful)
Solaris is going to stay at the same price. At least according to the NYTimes article about it.
What sun is doing is charging for sun one and putting everything together on a central cd where the user can check what he/she wants.
This is what Microsoft plans to do. You get one central cd with only Microsoft products and you check what you would like and then a price tag would pop out and from there your solution is done. I think they are waiting for drm and pallidium to make sure this solution is cracker proof before providing it.
You could have a stand alone Windows2k3 server install or you can have it with office, vstudio.net, sql server and exchange server for hell of alot more. Its a great way of stomping their competition. Just like puting IE with Windows, corporate customers will be less reluctant to call oracle, have a salesman come, sign a license, play around with the cd, for an evaluation before purchasing. Or they can just point and click on the default MS cd and select SQL Server. Done! The easiest way is a no brainer.
Sun wants this as well because according to the NYtimes version of the story because their bussiness model is too reliant on sales of hardware. IBM was insulating from the spending crunch of the
Apple is already trying this with
Re:like, totally (Score:1)
Sun also will continue to offer its
traditional per-CPU pricing model for its
Sun ONE stack and Solaris, Schwartz said.
it sounds to me like the subscription program is going to be an option, like a sun support contract. it's my experience that serious sun shops (like telcos and intrenched blue-chippers) pay for sun support contracts anyway, so this would likely be a big convenience for them in managing licenses. if i read that last paragraph correctly, the little guys with a handful of servers will have the same options before about deciding to run solaris 2.5.1 until the server bursts into flames from excessive dust collection, or doing per-instance upgrades.
i see this as added value.
news for linux (Score:3, Interesting)
2)
3) profit!
Okay, so Sun will have profit. Will they put more effort into Linux or will they try to increase profit by minimizing costs (volunteers are so cheap...)?
With a slight shift in empasis ... (Score:2)
There is just one really important difference: With Microsoft, if you stop paying the subscription fee, you lose all your rights to use the software. With RedHat, you retain the right to use all the software (and download more whenever you want); you just don't get their support when you have problems.
And with RedHat, you don't have to worry about them suing you if you run their software without their permission on your own machine.
It's interesting that, although IBM has historically been the heavy in the computing field, they don't seem to have caught onto the strategy of threatening customers who terminate a contract but continue to use the software. Maybe this is why they aren't feared as widely as Microsoft is getting to be. They figured out decades ago that there's a lot of money to be made in being friendly and supporting.
But still, if I were in charge of corporate strategy, I'd be wary of both Microsoft and IBM, and if Sun is going that route, I'd ask them some very direct questions about liability. And I'd be talking to several of the linux vendors on the side, with the thought of getting out of the danger of being sued for using my own machines.
All about the Ben Franklins (Score:1)
Hey, computer executives need mansions and yatchs too.
the difference (Score:5, Informative)
For some people this will be a good option and everyone looking at Solaris/SunONE licensing should have a looksee and work out which option is better for them.
no difference (Score:5, Insightful)
Re:no difference (Score:2, Informative)
Re:no difference (Score:5, Informative)
This change is not forced upon anyone, it just adds another option.
Also note that they are planning a Linux version of project Orion, showing a lot more support for Sun ONE on Linux than has existed in the past.
Re:the difference (Score:2)
So... how does changing from a cpu based (free for all Sun SPARC systems) model to a subscription model generate more revenue? If the product is already essentially free, why would you want to start paying for it?
Keep in mind that I'm not up to snuff on Solaris 9's licensing (though as a Sun Cert'ed Network Admin I probably should fix that
ah well, don't mind me, just burning karma
The difference is for CIO/CTO budgeting (Score:5, Informative)
Cynic? Maybe he's never managed a data center...
What the article doesn't describe is that Orion is a *huge* improvement for some managers of data centers. Knowing your monthly rental prices ahead of time makes budgeting much easier, which is a very big deal in some companies.
It also emphasizes Sun's broad idea of services as a utility. Ideally a CIO/CTO can pay a monthly fee and get everything: rental software, scalable hardware, technical support for anything that comes up, and consulting services on retainer.
Disclaimer: I worked for Sun and strongly advocated this kind of metered billing. I worked for a big data center before Sun, and saw firsthand that for my CTO budgets I needed monthly predictability more than I needed low prices.
Cheers, Joel
Re:The difference is for CIO/CTO budgeting (Score:2)
This is true in a lot of ways. Even running a small webhosting company, I prefer everything to be a constant. If I know I'm going to need to upgrade my Ultrasparc, or buy another Cisco, I can budget. I can know beforehand exactly what I'm going to spend that month, to the penny, and budget accordingly, which is incredibly handy. My stepfather, a man who's never done anything but labour work all his life, keeps track of his and my mother's finances so accurately that he can tell you what his bank statement is going to be three weeks before it arrives, and he's only been wrong once that I know of (found the reciept a few days later, mom bought me a drink and forgot to mention it, and then he was dead on).
My parents aren't rich, but they know exactly how much they have, and exactly how much they don't have. I've learned from this, and that total lack of uncertainty is the most reassuring thing in the kind of markets we find ourselves in now.
--Dan
Beige box PC's ain't no good (Score:4, Insightful)
I imagine that Sun is doing this because they know they won't make any money pushing beige box PC's. (SGI sure didn't.) By just selling the OS, they may not sell a ton of copies, but the profit margins on software are pretty sweet, if you can pay off the cost of development.
Re:Beige box PC's ain't no good (Score:1)
Re:Beige box PC's ain't no good (Score:4, Interesting)
1. As far as I know, Sun tried to license NFS. Failed. For various reasons. Do not try to pull that "give to the community crap" at least as far as NFS is concerned.
2. Solaris (not SunOS) NFS support until 2.6 was crap. Many patchlevels even as late as 2.5.1 had quite a few data corruptions bugs. As a result most old non-academic installations actually used NetAppliance when they needed NFS.
3. I had to be a design authotity on something like 100+ Netra T1s with Solaris running the most elementary services like DNS, news, mail, etc. None of them running more then one service so they were not even loaded. And frankly I have not seen so many hardware failures and memory leaks in the core OS anytime before and anytime after. Basically white boxes from a bandit corner shop have lower failure rate and most linux kernels in the 2.3.x and 2.5.x series were more reliable.
4. If you have created a website that needs one 100+ CPUs box instead of having the load spread across several redundant systems you should be fired on the spot. Frankly, have you ever heard of single point of failure? Actually, have you heard of dot.bomb? There were some sites like "The Street" which tried this technological model. All of them failed and dragged several decent ISPs which decided to cater for this model with them.
Re:Beige box PC's ain't no good (Score:1)
2) Solaris' NFS was perfectly usable for us in 2.4, probably earlier.
3) Sounds to me like you were doing something wrong. Our suns have been highly reliable.
4) If you think that, you don't have much design experience. Some things need to be on the same box, unless you go with something like GFS on RAID, which isn't exactly inexpensive.
Re:Beige box PC's ain't no good (Score:1)
Whereas in our system we have only one sun, and the uptime has been horrible. It goes down every day.
[Sorry, had to.]
humorless? (Score:2)
I think he meant the solar system and the sun. The sun sets every 24 hours here on earth.
Re:humorless? (Score:1)
Re:Beige box PC's ain't no good (Score:1)
Solaris is SunOS + Environment.
"I had to be a design authotity on something like 100+ Netra T1s with Solaris running the most elementary services like DNS, news, mail, etc. And frankly I have not seen so many hardware failures and memory leaks in the core OS anytime before and anytime after."
Really do you have bug IDs for those memory leaks. How many of those hundred units did fail and what components. Every manufacturer has a failure rate, did the hard disks fail? CPU? memory?
"Basically white boxes from a bandit corner shop have lower failure rate and most linux kernels in the 2.3.x and 2.5.x series were more reliable."
I doubt that, parts OEMs like Sun and other companies usually use are of a higher quality than the ones you can buy as a consumer. This info comes from my dealing with my dealings with seagate and other drive vendors.
Your post looks like it is biased towards linux. Solaris has a industry wide acceptance of being stable.
Our school switched to dell running linux from HP/HP-UX. Our mail server which used to run for hundreds of days at a time hardly stays up for a few days anymore. Our DHCP/DNS server running on an ultra1/Solaris 2.6 has been running with many year uptimes.
Heck even Aceshardware is running the entire website on one SunBlade-100. Linux has its strong points and weak points just like another OS does.
Re:Beige box PC's ain't no good (Score:2, Insightful)
You are a liar or terribly uninformed. (Score:2)
2.- That is a vulgar lie. I have used NFS in many different industries (banking, oil, goverment, geography, geophisics, research, graphic design) under many different conditions (from a couple of worwstations in one network up to several thousends machines accessing a few central servers) and it has always been a reliable tool. Since SunOS 4.x by the way. As with any piece of software you'll find the ocassional bug, but not at the scale that you pretend it was,
3.-Hardware failures: you are liying, plain and simple. Right now I am directly responsible for around 70 machines and we see hardware errors around once a month (normally with machines that we are re-using and thus are handled with less care than normally). New machines? Can't remember one incident in the last 4 years.
If your budget is so limited that you have to cram services in the same machine then yes, you should be using cheaper machines. What a joy will be to se your do-it-all servers have a problem and see al you services colapse at the same time just because you are macho enough to keep that CPU usage at 100% utilization (which begs the question, if you are such a fan of avoiding single points of failure, how do you justify to have several vital services in the same box?).
4.- You are completely incompetent. There are no abolutes here, the ease of administration could be a major concern compared to the risk of your box being lost, administering several redundant systems increase administration complexity, no matter how competent your people are. In any case if you have the money and the need to have such a machine I assure you that then you have contingency mechanisms to make sure you can continue working if you lose your machine (normaly replication to an off-site facility).
Re:Beige box PC's ain't no good (Score:2)
We export NFS here on Solaris/x86 (Score:2)
We export NFS here on Solaris/x86 because we have to. NFS as a server is essentially broken on Linux. I'm not a big x86-o-phile, but I would rather export NFS with NetApp or Sun's own than anything else - it just works.
Log into Grex [cyberspace.org] sometime, its an ancient (by computing standards) 2-way sun box running 4.1.4 on 4m. Works perfect. And it has 25,000 users in the
Re:We export NFS here on Solaris/x86 (Score:2)
Re:We export NFS here on Solaris/x86 (Score:2)
I crashed the kernel! (Score:1)
> Solaris is also rock solid. Sure, Linux can have multi-year uptimes,
Ha! I crashed the kernel! Solaris 8 running on a SunBlade 100. Used "link" to make a hardlinked directory. (admittedly foolish. yes as root.) THen, I, dunno, tried to rename it or something. Freeze. bink. reboot.
OK so I've crashed the Linux kernel a few times too. don't ask me about the disk formatting disasters.
Re:Beige box PC's ain't no good (Score:3, Insightful)
Er, I don't think they did. Now, correct me if I'm wrong, but didn't the samba team have to reverse engineer the protocol to get something that worked?
Samba History [samba.org]
The rationale being... (Score:2, Interesting)
No doubt they have got many customers with sizeable investments developed on Sun technology, and I suppose Sun wouldn't make such hard terms as Microsoft did, but nevertheless, you can only price your way when it's a sellers market, or a really captive one. If not, your are dead meat. None of those situations currently apply. Just think it again, Sun.
Well, it looks like... (Score:1, Insightful)
...Sun won't be around much longer.
We're moving our servers to Linux as it is, so a move like this is hardly going to make us think twice about it.
Re:Well, it looks like... (Score:2, Insightful)
Re:Well, it looks like... (Score:1)
Jeezuz some of you take things literally. If my company (normally heavily anti-OSS and pro-proprietary software) is doing it, and lots of other companies I know are doing it, then it stands to reason that a lot of other people are thinking in the same sense.
I stand by my opinion that this is a bad move on Sun's part. People don't like subscription licensing, and their customer base is going to drop as a result.
I like Sun's hardware and software, but as an experienced sysadmin, I'd be stupid to argue that you don't get better bang-for-buck using Linux/x86 for many applications.
Don't like it... (Score:5, Insightful)
It's great for the provider - over time it makes you a lot more money, and you get a more regular cash flow. And it eases the pressure to come up with major releases. You can just make minor improvements regularly to justify the charge. Fixing bugs and security holes should not be considered a service - it is repairing a faulty product.
So as a provider, it's great. But as a customer, it's not so good - stuff basically ends up being more expensive, and you get locked in to one provider.
I think it is a development that needs to be resisted. Profit margins are far too high on a lot of software anyway. This kind of move just makes OSS solutions even more attractive.
Metered Billing? (Score:4, Interesting)
There's another side to this whole subscription issue - or 'metered billing' as it's referred to in the article. The industry is trying to steer us towards a subscription rather than purchasing model - i.e. you pay for Windows by the year, rather than buying it outright. In the case of operating systems and server apps, this equates to more revenue for the vendor and a more stable long-term business model - but what about desktop applications?
I'm primarily an ASP/.NET coder, but I do the odd bit of content creation - mainly images and animations for web sites. I run my core apps (OS, email, browsers, text editors) every day. About once a week, I'll fire up Corel Photopaint for an afternoon or so to make up some buttons or something. I use Microsoft Access for two days every quarter, to perform updates to a clients' database.
This means over the course of a year, I use Photopaint for about two hundred hours and Access for eight days. Yet I (or rather my employer) has paid the same price for these applications as someone who uses them all day, every day. There are applications - Photoshop springs to mind - which I don't use at all, because they wouldn't get used frequently enough to justify the cost of the licenses. But if we could pay for these apps on a per-usage or daily basis - actual 'metered billing', the same as water or electricity or bandwidth - they'd become cost-effective. Not to mention the vast number of people who just pirate applications 'cos they only use them occasionally and they're not prepared to pay for it.
Ok, this is highly unlikely because it means less money for the software companies, and if open software continues to improve as it has in the last few years, it'll be redundant before long anyway. But it would make an interesting angle for companies trying to convince their users of the merits of the subscription model.
Re:Metered Billing? (Score:2)
The problem is, they're not interested in metered billing for apps you use once in a blue moon (that revenue wouldn't be worth the cost to track and bill it). They're interested in metered billing for apps used in your everyday business.
Re:Metered Billing? (Score:2)
Access for 8 days. 8 days * 24 hour/day = 192 hours.
Gives releases with no real content (Score:4, Interesting)
I once (ca. 10 year ago) worked for a firm that sold a program for a yearly subscription (you didn't own the program - you leased the right to use it). It removed the focus of the management from the product to a degree were it almost wasn't supported anymore. There wasn't any pressure from dismissing sales as we lived almost on subscribtion alone.
But once a year a month or so before next year subscription was due I was told quickly to prepare a new release with the sole purpose of giving the impression that our customers did get something for their subscription. Management didn't care what it contained as long as I didn't take to long.
AFAIK most of our customers didn't use the upgrade because it didn't really add anything worthwhile anyway.
Re:Don't like it... (Score:2)
"Fixing bugs and security holes should not be considered a service - it is repairing a faulty product."
Hey that is the one sentance that best explains why I left the microsoft camp many years ago. The fact that this seems to become even a wider spread practice in this day and age is interesting to me.
Computer systems longevity (Score:5, Insightful)
Now the pace of change has slowed down and so has need to buy new systems. Companies like MS and Sun are trying maintain and expand revenue without offering any compelling reason to upgrade. So they are now "innovating" with pricing.
Before we start attacking Sun... (Score:5, Insightful)
Re:Before we start attacking Sun... (Score:2)
If someone can wield Linux properly, it will potentially wipe out Microsoft desktops from the enterprise. In the enterprise, they care about TCO and productivity. The lack of fundamental productivity gains (to my knowledge) in new versions of Microsoft applications tells us that the problem domain is probably "solved", or at leas t that Microsoft has stopped innovating. Now, someone just need to produce something interoperable at a lower price.
In the homes, we will need a different strategies. I'm thinking fixed fee remote administration will be the killer app in the homes. The "technologically disadvantages" constitute the majority. If you can convince them it's safe and easy, they won't blink at giving you remote access to fix their petty problems rather than spending hours on the phone with you doing things they don't understand. It's kinda like having the car repair guy coming home to you, rather than telling you how to repair your car over the phone.
Re:Before we start attacking Sun... (Score:1)
This isn't a bad thing. (Score:4, Insightful)
What I would like is a subscript deal where we get a copy of the current version (what ever it is and with all the patches applied) when its shipped. I only want the install cd, I don't need the other cd's they like shipping out. Right now it costs me about $100 to download a cd at current rates and it it shouldn't cost Sun Australia more than about $20 to send a real CD to me. I only need one media subscription so this is different than the license issue.
Re:This isn't a bad thing. (Score:2)
You can download the latest release of SPARC Solaris for free from Sun's website. The online version is updated pretty quickly after the CD's go out to contract customers. You only need to download it once and thanks to lofi you don't even need to cut a CD in order to build a JumpStart server.
Your faith in Sun patches is touching. I prefer to test patches first before they're applied to my production machines.
Re:This isn't a bad thing. (Score:1)
When we rebuild boxes, we throw the latest stable release on it, our own software and then run extensive tests. If the patches cause problems, we should find out about it then (unless they are real spooky failures)
Also since we are only running way less than 5% of whats on the disk, there seem to be very few updates to the bits we use.
Re:This isn't a bad thing. (Score:2)
Bandwidth is never free, but $100 for 1 + 1/2 CD's? You're being fleeced, good and proper and I'm sure you can get a better deal.
In your case it probably would be cheaper to buy the media.
Re:This isn't a bad thing. (Score:1)
Re:This isn't a bad thing. (Score:1)
Meanwhile the lights have just gone out on the 6500 in the datacentre.
And then your phone rings...
Linux? (Score:2)
I honestly don't see Sun's strategy as being particuarly sound, unless they think they can leverage their name and reputation against Microsoft.
no surprises (Score:4, Interesting)
There's also interesting discussion in there and here about the company's dependence on proprietary, expensive hardware in today's world of home 192-node beowulf clusters.
Re:no surprises (Score:1)
Actually, sparc isn't proprietary, and neither is sbus. Both are open standards. x86 proprietary, despite being more common and cheaper. Not sure about PCI.
It's really the industry that needs to rethink things - to get with the program and support open standards. Sun's been making the right moves, and getting slapped around for it.
Makes perfect sense (Score:5, Interesting)
Now that Sun is offering Linux, they will need a way to break out the costs, so that customers that prefer Linux might be offered a price break over customers that prefer Solaris for specific tasks. For instance, webservers and app servers might see no real need for any additional costs for Solaris, but a 75 CPU database server might want the additional features.
This method also provides the capability of pricing support appropriatly. I know, you MS people might not be familiar with this concept, but Sun has been providing support for their OS for years, and not charging by the hour when you call with a problem. Sun bundles OS and hardware support into one number for low end systems. Again, by breaking the pricing out, different support costs can be offered for the different OSes.
Sun support has always provided, cumulative patch sets that can often be applied without reboots. <rant>I built a W2K box yesterday and had to boot over 7 times after the initial install of the OS as I applied various patches. It took me most of the morning to get all the patches installed. I pay for this support so that I can call up a technician that has the resources available to answer my questions. Sheesh
Mad Hatter project is more interesting (Score:2, Interesting)
Hmmm...OTOH, maybe they could do what MS has done with the server/desktop line - only with more reliablity and less cost. Imagine a server that can be scaled to nearly infinite (128 CPUs anyone?) levels and never goes down! Then put a Linux desktop in front of it running lots of GPL stuff (to keep the costs down) and built-in Java.
And, as another poster put it, Sun has been giving back to the community for a very long time (i.e. NFS). Maybe this could work. I would love to not have to worry about my servers all the time ("Did it reboot overnight!?!") and get on with creating business solutions for my employer.
Re:Mad Hatter project is more interesting (Score:4, Insightful)
Mad Hatter would seem to reinforce this as an attempt to retain workstation market share rather than an attempt to compete directly with MS on the average desktop by delivering the whole sun development package at a stroke. Its a risky strategy though. Existing manufactures like Dell and HP will murder them on hardware pricing and with a bunch of Linus distros to choose from what makes the Sun one a compelling sell ?
Re:Mad Hatter project is more interesting (Score:2)
You act like Sun hasn't been in direct competition with Microsoft before. Microsoft has been attacking both Sun's workstation and server markets for some time now.
Stop subscription now! (Score:3, Insightful)
For basically the same thing, e. g. WinNT Workstation and Server, which differ in 3 reg keys, they charge different prices, and it's said to be illegal to change this three keys. This would be the same if a car manufacturer would forbid you tuning your car!
Also this license crap (fortunately here in Germany they don't apply with standard software), nobody would accept any license bullshit when buying a car that would e. g. limit the persons in the car to two (in comparison to "1-2 cpu only"), but for software, nobody seems to care.
Kosi
Re:Stop subscription now! (Score:2)
business plan that works for SUN and open source (Score:5, Informative)
-- reliable hardware/os/software
2) create tool - utilize feedback from 'Net
-- sun gear, solaris, sunONE, linux, sendmail...
3) distribute tool - the more users the better
-- hardware costs quite a bit however, 20$ for distribution is OK by me. free sendmail download works for me. same for linux
4) provide OPTIONAL contracted services - support, customization, extension, integration
-- businesses need a way to guarantee their problems will be fixed and their special needs met, all in a time frame that does not impact their business. Your TOOL is not their business. Much as making a mitre saw is not part of a master craftsman's business. Some shops want a company to "own" the product they use. They need to shift the liability so they can concentrate on their business. That is why sendmail.com, redhat.com, etc. work
5) profit
-- business will pay premium for said services if they fulfil their need. Thus funding further R&D
Sun, sendmail.com, redhat... I know there are others out there that are giving away the "product" because their business is in the services - support, customization, extension, integration.
Look at the game console space.
The money is in the software not the hardware.
people are going to buy one console, and a handful of peripherals. They are then going to load up on the software.
It therefor makes more business sense for a company to give away the console (sell at cost) while building up a services group to provide the software, suport, and extensions to the original console.
First ID the need and fill it. The rest will follow.
Do not go the MS way and try to make all your cash up front OR make licensing the "tool" prohibitively expensive or illegal.
Encourage people to think of more ways to use your tool. The Internet was developed as a way to get noise data from atlantic to pacific. It was "released" to the public to help it grow faster.
Build it and if it fits a broad enough niche it will grow. As people invent new ways to use your "tool" the tool will begin to self evolve.
The more you give, the more the users will give back.
oh well (Score:2)
in the meantime I'll be using FreeBSD...
Sun will offer *multiple* pricing options (Score:5, Insightful)
Jonathan Schwartz presentation [sun.com]
Page 23:
All software will move to one distribution, and three licensing models - Traditional, Predictable and Metered
So comparing what Sun plans to what Microsoft has already done is rubbish.
Re:Sun will offer *multiple* pricing options (Score:2)
Re:Sun will offer *multiple* pricing options (Score:2)
*you* convince a CIO who just spent $5m on a pair of E10k's that now he has to license Solaris
Rent seeking behaviour (Score:4, Insightful)
Companies can't resist the temptation to seek out money for no effort.
I can understand the logic of buying things. I give you money, you give me product or service, I get value.
However, the logic of subscriptions for software is beyond me.
I give you money, you give me product. I use product and get value. Then I give you more money for telephone support, and you give me telephone support. I get value. So far so good. But now suddenly you ask me for more money or else I can't keep on using what I have already bought. You don't have to do any more work, I don't get any more value but yet money changes hands.
And this is not just payment by instalments. If I can't pay the price up front, then by all means do me a deal where I borrow the money and pay quarterly.
These business models cannot survive where the users have a choice.
I hate to say this, (Score:5, Interesting)
The way I see subscription-based software working is that there's an introductory price (say, $150) for the basic OS and a year of updates. After that year is up, you can choose to continue the subscription at a maintenance rate of $50/yr, or you can stop maintenance and not get any updates. You still have a valid license for the OS, you just can't install any new updates. Once you go off maintenance, you need to pay the full introductory price to get back on.
Everyone wins in this case: OS vendors get a steady stream of income, users of current PC's get timely updates for not much more than they pay now for OS updates, and users of older PC's don't have to pay a yearly tax just to run an outdated OS.
If Apple had pitched .Mac this way, I might have bought it. (With the extra stuff .Mac offers, it would have to cost a little more, of course).
Of course, this plan will never work, because software companies are not looking at subscriptions as a way to charge the same amount but even out their cash flow. They are looking at it as a source of revenue growth. Which means that instead of $150 and $50/yr, which is closer to what they get now ($150 every two or three years for the major OS update) we'll see more like $300 and $20/mo. And that would be bad.
Re:I hate to say this, (Score:1)
I agree. MS has been using a subscription based business model for ever, but it has been a covert one - forcing users against their will to periodically upgrade to the latest version. The catch is that with every new version they have to make it look snazzier by adding cool new features, when what is really needed is better reliability. Bug fixes don't shift units, though because the customer expects the software to work perfectly, and bug fixes should be provided for free. As a result, the software tends to get more bloated and unreliable. If Microsoft were ever to create the perfect OS, they would go out of business, because nobody would want to upgrade. Under a subscrition licensing scheme, though, they would in theory have the incentive to make the quality of the product as high as possible - it would be good for business.
This is probably over-optimistic of course. With MS being in league with satan and all, its probably just a way to screw more money out of people, and Sun are just turning to the dark side to avoid oblivion. The business model isn't really ethical in the first place IMHO, but anyone who is suddenly complaining about the new subscription scheme has been burying their heads in the sand up until now. MS are just being honest, which is sort of positive, I think
S/W subscription could be done in the rigth way (Score:4, Interesting)
Of course, an ideal software subscriptions model should be done for the customers, not against them, that is :
Hands up everyone who works for a multinational (Score:5, Insightful)
It makes cost planning a lot easier and moves big purchases off the balance sheet and onto the P&L. Companies want to know how much something will cost over a period of time - subscription gives them that. Buying the software up-front requires irritating amortization and depreciation models, and decisions on the lifetime of the product and what any upgrade cycle will be. CFOs like monthly expenses more than big capital purchases.
IBM are leading the charge towards "utility computing". You can buy UNIX boxen from them with spare CPUs, where you can ring them up and ask for more processing power for more $/month. They want their software providers to follow suit and, for example, allow users to just increase their application server subscription to another processor on demand.
Sun are just following the market.
Re:Hands up everyone who works for a multinational (Score:1)
Is it just me, or are you people stupid? (Score:1, Insightful)
Someone link me to more information about this "recent subscription pricing plan", please. Karma awaits!
Re:Is it just me, or are you people stupid? (Score:1)
One big difference (Score:4, Insightful)
Since they're now evidently offering companies a greater choice in how they're going to get their product, there is a very big difference between what they're doing and what MS is trying to do. As I understood it, MS was offering NO choice as to pricing model, which was made more onerous by the great leverage MS has over its customers as a result of limited choice in the Windows world.
The fact that Sun customers will have a choice of pricing model means Sun's not trying to bulldoze anyone, and should be praised instead of vilified as the poster tries to do, since subscription plans can make very good sense for some customers. Extending the range of choices is never a bad thing as long as the set of choices always includes the choices you had before.
linux cant go down the subscription-based lane (Score:1)
Subscription is not about making more money (Score:3, Insightful)
In fact, they want to do this so much that they'll sometimes make that option more attractive than purchasing: they're willing to sacrifice a little income if it means it's going to be flowing regularly instead of in chunks.
Confused code names (Score:1)
A few points. (Score:4, Insightful)
2- Orion will not just be selling Solaris, it will "build all of Sun's software into the Solaris OS and offer a yearly subscription for Solaris, Jonathan Schwartz, Sun's executive vice president of software, said at the vendor's Worldwide Analyst Conference here."
That means no more licensing headaches for people using Sun's software for Solaris. Just one subscription for the directory tools, the management tools, etc.. Orion will make business with Sun easy for companies with money to burn and no time to spend dealing with it, and Sun has plenty of customers like that.
Take it or leave it. (Score:1)
Crack? (Score:1)
So... is that new game Master of Orion [moo3.com] a crack for Solaris?
Or is Solaris a planet in Master of Orion?
I'm getting confused...
heh (Score:2)
In other news:
McDonald's announced today that it was increasing the cost of a Big Mac from $1.73 to $1.75. Is this also an "attempt to grab more cash in this nasty economy"?
Project Orion (Score:2, Funny)
Re: (Score:1)
Basic business... (Score:1)
However, as a non-Sun customer, what they should be doing instead is introducing new products that appeal more to me... How about servers geared to small businesses, something that can serve up my local files and host my web page at the same time... That's just off the top of my head. Don't alienate your current customer base.. Cater to new ones.
Ideal way... (Score:1)
of course, apt-move etc should also be implemented.
with apt-get update && apt-get upgrade in cron this will allow to make your systems resonably secure.
Existing situation with jar archives and signed patches is far from being ideal. I don't want to have Java only for being able to patch my server
Orion is much more (Score:1, Interesting)
idiot moderators (Score:2)
Re:MS Compatible Linux Desktop OS (Score:1)
well... I'm dreaming
Re:MS Compatible Linux Desktop OS (Score:1, Interesting)