[Info-vax] Alpha to Integrity migration, license options

[Kerry Main]

> -----Original Message-----
> From: Info-vax <info-vax-bounces at rbnsn.com> On Behalf Of Jan-Erik
> Söderholm via Info-vax
> Sent: May 7, 2018 4:24 AM
> To: info-vax at rbnsn.com
> Cc: Jan-Erik Söderholm <jan-erik.soderholm at telia.com>
> Subject: Re: [Info-vax] Alpha to Integrity migration, license options
> 
> Den 2018-05-06 kl. 23:45, skrev Kerry Main:
> >> -----Original Message-----
> >> From: Info-vax <info-vax-bounces at rbnsn.com> On Behalf Of
> >> DaveFroble via Info-vax
> >> Sent: May 2, 2018 2:06 PM
> >> To: info-vax at rbnsn.com
> >> Cc: DaveFroble <davef at tsoft-inc.com>
> >> Subject: Re: [Info-vax] Alpha to Integrity migration, license
options
> >>
> >> Carl Friedberg wrote:
> >>> Speaking as an interested third party, my client bought 3 years of
> >> support
> >>> for
> >>> Integrity 2800 i4 class server. With that 3 year contract, the
> > upgrade
> >> from
> >>> the
> >>> Alpha ES45 (still current) was made a part, with no charge.
> >>>
> >>> YMMV, but this is a deal that's too good to refuse IMHO
> >>
> >> Yes, and if VSI is smart, they will take a payment yearly, or more
> > often.
> >> That
> >> way the customer is used to making support payments, probably
> more
> >> so than if
> >> they asked for another payment after 3 years.
> >>
> >> I'd suppose that someone on support, would just keep doing the
> same
> >> thing when
> >> moving to x86.
> >>
> >
> > While Cust's can bury things like 3 year support when they buy a
> system,
> > it is far more common to renew support agreements on a yearly basis.
> >
> > This is typically true for all platforms.
> >
> > The reasons are simple:
> > - fits into internal Operations budget which is done yearly,
> > - OPS manager does not want a line item support number to be to big
> as
> > this might garner to much visibility. In fact, a 3 year budget
number
> > might cause a budget increase that exceeds a OPS manager's approval
> > authority. Better to bury 1 year support agreement line numbers.
> >
> >
> 
> Or as in our case, a 3-year agreement was signed,
> but it is invoiced quarterly by the reseller. Of course
> it had to be approved for the whole period by someone but
> it is not one whole clump in the budget.
> 

Good point.

The Companies annual budget line item for quarterly (or yearly) payments
to VSI remains the same for 3 years. The company budget allocates only
that amount required for one year.

The reason for (yearly) is that I know one site who paid their annual
maint support costs to Red Hat in one payment at the beginning of the
year. They got a bit better deal from Red Hat with annual payments vs.
quarterly payments.

Like most service companies, RH preferred the annual support payment
paid up front, so they offered additional discounts.