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Thursday, August 25, 2005
Jason Stamper earlier scooped about the integration vendor Tibco's plans to roll out a rental-style pricing model last week. Tibco says that this applies to all products and will be made available to all customers - both new and existing. The company is already incrementally rolling out its "Time-Based" pricing model, which enables customers to pay for a bundle of software, services and maintenance over time. Vivek Ranadive insists that it in no way replaces its more traditional license sales model, but rather is complementary. As it already makes substantial% of its revenue from a combination of ongoing maintenance revenue and services – this move is not to be seen in place of Tibco's traditional software sales, but in addition to. This is not a wholesale move to subscriptions - some customers who may prefer to consume software packaged with services on a more utility-style basis, they now have that option.
Category : Time Based Pricing |
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