> -----Original Message----- > From: IBM Mainframe Discussion List [mailto:[email protected]] On > Behalf Of McKown, John > Sent: Thursday, February 04, 2010 4:54 PM > To: [email protected] > Subject: Re: IBM countersues Neon over zPrime accelerator <Snipped> > I agree. The real problem is software cost. Speciality engines and knee- > capped CPs are just a way to try to address that. But, then software > vendors need to make money too. And if they did not charge by MSU (or > "value units" or "cores" or some other power unit), then more and more > companies would consolidate into mega centers run by "outsourcing" > companies, or "co-operatives".
Not a problem if the charge is by LPAR that uses the software rather than by how powerful that LPAR is. Same as for the itty-bitty machines, charge by (logical, in our case) "machine". Moderate OTC per "machine" with a 10-15% yearly maintenance fee per "machine". Result: More LPAR's running your software due to more licenses and a reasonable continuing revenue stream. Nominal version upgrade charges for new-function versions (the difference between the old version OTC and the new version OTC). Your profit is in your volume of licenses, not in the power of your client's "machines". Just not as much commission for the sales droids, that's all. Probably never get done by IBM, because as TJ Watson Jr. (or was that Sam Palmisano?) stated publically to investors and analysts, IBM will never stay in a "commodity" business. High-margin business or no business at all was his (and IBM's) credo. Peter This message and any attachments are intended only for the use of the addressee and may contain information that is privileged and confidential. If the reader of the message is not the intended recipient or an authorized representative of the intended recipient, you are hereby notified that any dissemination of this communication is strictly prohibited. If you have received this communication in error, please notify us immediately by e-mail and delete the message and any attachments from your system. ---------------------------------------------------------------------- For IBM-MAIN subscribe / signoff / archive access instructions, send email to [email protected] with the message: GET IBM-MAIN INFO Search the archives at http://bama.ua.edu/archives/ibm-main.html

