ARTICLE: How not to change a licensing model

[Josh]

he recession hit everybody and software developers don’t make an exception. Therefore, in order to best deal with this situation, some companies have decided to take immediate action and make some important changes to their licensing model. Now, most companies did this with a sense of ethics... but not all of them, so this article covers the most recent example of how NOT to go about this kind of changes.

First things first though: a company that took notice of the economic changes a long time ago was Slysoft, the developers of the popular AnyDVD. The first measure they took was to switch from dollars to euros.

Of course, as time passed by, new measures were required and so, recently, the company announced yet another change to its licensing program: the switch from lifetime licenses to yearly subscriptions.

Why is this example worth mentioning, you ask. Well, because in both cases, Slysoft not only announced the changes at least a few weeks before making them, but they also offered a 20% discount in the weeks prior to the change. Obviously, all current registered users were not affected by these changes, they didn't have to pay a single cent or change their subscription plan.

How not to change a licensing model

By the way, I also cross-posted this to the Roboform v6 to v7 Upgrade thread

[worstje]

That's a disgusting practice. I read through those comments and they made me sick. It's all in the way they handle their customers; I can understand getting rid of the lifetime updates, but you don't treat the customers who bought your software in at least the last year like that. Nor do you get to be all sneaky and try to force upgrades, make your support people misrepresent the fact there's a free upgrade for very recent customers, and all that jazz. Bah.

[rxantos]

BEGIN_RANT

How about Apple.

You buy a product from their store, you agree to the license.

Later, if you want an upgrade or re-download, YOU MUST agree with the changes or will not be able to download the software you PAID for. And of course, the only way to back it up is with iTunes.

The terms of service changes at Apples will (which changes frequently),and you have NO SAYING on it. I do not understand how this is legal, but I guess law is in the side of whoever has the deepest pocket.

END_RANT

[Renegade]

BEGIN_RANT

How about Apple.

You buy a product from their store, you agree to the license.

Later, if you want an upgrade or re-download, YOU MUST agree with the changes or will not be able to download the software you PAID for. And of course, the only way to back it up is with iTunes.

The terms of service changes at Apples will (which changes frequently),and you have NO SAYING on it. I do not understand how this is legal, but I guess law is in the side of whoever has the deepest pocket.

END_RANT

-rxantos (January 25, 2011, 01:43 PM)

+1

That it is allowed is nuts. It's dishonest and fraudulent. Purchasing under a set of conditions is one thing, but it's very "Darth Vaderish" to change them.

Darth Vader: Calrissian. Take the princess and the Wookie to my ship.
Lando: You said they'd be left at the city under my supervision!
Darth Vader: I am altering the deal. Pray I don't alter it any further.

[wr975]

Of course, as time passed by, new measures were required and so, recently, the company announced yet another change to its licensing program: the switch from lifetime licenses to yearly subscriptions.

I think the writer is wrong about Slylsoft.

Existing customers will keep their lifetime updates. That's why they offered a 20% discount recently... "buy it now, to get your lifetime update license, because if you buy it later, you'll have the new one-year-update license!". If I'm right , there's nothing to complain about Slysoft.

What really sucks is - once again - USB Safely Remove. The lifetime update is still there, but all the work and new features go in a new product, which has to be licensed again. That's like if Rarlab would release "WinRAR Pro" (yearly license) and the normal "WinRAR" (lifetime license) would get stability updates only.

[J-Mac]

Slysoft kept all lifetime licenses in place - no changes at all, no catches. My licenses with them work as they have for almost eight years now! In late 2009 they announced that they were no longer going to SELL new lifetime licenses as of the end of that year. Still got a lot of complaints - not sure from who?!? Us existing license-holders sure weren't complaining; why would we? Plus they offered 20% discount on the lifetime licenses that were still available till the end of 2009. However before the end of the year they relented and actually put off ending the sale of lifetime licenses for a year! Then they offered the same 20% off deal for about the last quarter of 2010.

How can anyone complain about that? IMO it is the perfect lifetime license model.

Thanks!

Jim