Hi,
just to make an illustration about my objections over cost I will give our own situation as an example.
Autodesk have prevented the uptake of desktop subscription as an option themselves by setting the price proportionally high. Now forcing the move is basically ripping customers off.
Before I joined this company we did not take up maintenance subscription, but typically upgraded every 5-7 years. We had several releases in use depending on when a particular users license was purchased.
Using AutoCAD as an example. desktop Subscription is £1480/year. a perpetual license is £3700
On subscription 5 year costs are £1480 x 5 = £7400
Over 5 years subscription vs perpetual licenses
£7400 - £3700 = £3700
Literally twice the cost!!!
Now lets assume I also take maintance with the perpetual license.
5 years maintanance £535 x 5 = £2675
total cost over 5 years £3700 + £2675 = £6375
Over 5 years subscription vs perpetual licenses with maintenance
£7400 - £6375 = £1025
not as much, but a saving not to be missed!
Now lets look at the costs on a more ongoing basis
This table ilustrates the cost of subscription vs perpetual licenses with maintenence. the bottom line being the saving for staying with perpetual licenses.
license cost | £3,700 | | | | | | | | | | | |
subscription cost | £1,480 | | | | | | | | | | | |
maintanance cost | £535 | | | | | | | | | | | |
years | 1 | 2 | 3 | 4 | 5 | 6 | 7 | 8 | 9 | 10 | 15 | 20 |
total maintenance | £535 | £1,070 | £1,605 | £2,140 | £2,675 | £3,210 | £3,745 | £4,280 | £4,815 | £5,350 | £8,025 | £10,700 |
perpetual cost | £4,235 | £4,770 | £5,305 | £5,840 | £6,375 | £6,910 | £7,445 | £7,980 | £8,515 | £9,050 | £11,725 | £14,400 |
subscription cost | £1,480 | £2,960 | £4,440 | £5,920 | £7,400 | £8,880 | £10,360 | £11,840 | £13,320 | £14,800 | £22,200 | £29,600 |
saving | -£2,755 | -£1,810 | -£865 | £80 | £1,025 | £1,970 | £2,915 | £3,860 | £4,805 | £5,750 | £10,475 | £15,200 |
Keep in mind this is the cost difference for a single seat. Here we have a number of AutoCAD users and Design Suite users.
The next table illustrates the cost subscription vs perpetual without maintenance
license cost | £3,700 | | | | | | | | | | | |
subscription cost | £1,480 | | | | | | | | | | | |
maintanance cost | | | | | | | | | | | | |
years | 1 | 2 | 3 | 4 | 5 | 6 | 7 | 8 | 9 | 10 | 15 | 20 |
total maintenance | £0 | £0 | £0 | £0 | £0 | £0 | £0 | £0 | £0 | £0 | £0 | £0 |
perpetual cost | £3,700 | £3,700 | £3,700 | £3,700 | £3,700 | £7,400 | £7,400 | £7,400 | £7,400 | £7,400 | £11,100 | £14,800 |
subscription cost | £1,480 | £2,960 | £4,440 | £5,920 | £7,400 | £8,880 | £10,360 | £11,840 | £13,320 | £14,800 | £22,200 | £29,600 |
saving | -£2,220 | -£740 | £740 | £2,220 | £3,700 | £1,480 | £2,960 | £4,440 | £5,920 | £7,400 | £11,100 | £14,800 |
Also note that this is new license pricing rather than upgrade pricing so in reality the saving would be higher.
The final table illustrates the cost of perpetual without maintenance vs perpetual with maintenance
license cost | £3,700 | | | | | | | | | | | |
maintanance cost | £535 | | | | | | | | | | | |
years | 1 | 2 | 3 | 4 | 5 | 6 | 7 | 8 | 9 | 10 | 15 | 20 |
total maintenance | £535 | £1,070 | £1,605 | £2,140 | £2,675 | £3,210 | £3,745 | £4,280 | £4,815 | £5,350 | £8,025 | £10,700 |
perpetual cost | £3,700 | £3,700 | £3,700 | £3,700 | £3,700 | £7,400 | £7,400 | £7,400 | £7,400 | £7,400 | £11,100 | £14,800 |
perp with main | £4,235 | £4,770 | £5,305 | £5,840 | £6,375 | £6,910 | £7,445 | £7,980 | £8,515 | £9,050 | £11,725 | £14,400 |
saving | -£535 | -£1,070 | -£1,605 | -£2,140 | -£2,675 | £490 | -£45 | -£580 | -£1,115 | -£1,650 | -£625 | £400 |
I found this excercise quite interesting. It illustrates for me that there is no actual saving for being on maintenance subscription. The only advantages being that all users are on the same version and you get updates every year as opposed to 5 years. I also note that subscription is only financially beneficial if you would otherwise upgrade every 3 years.
I think the maintance vs license cost are a little steep, but otherwise fairly comparable and reasonable.
The cost of subscription however is quite simply a joke.
Autodesk, drop in to my office and I will show you how calculators work and even excel spreadsheets so you can work this stuff out reasonably for yourselves.
I hope some of you found this useful.
Have a great day
Kenny