Reaching for the Sky – Cloud License Management
The introduction of cloud software products not only disrupted the software market, but also the licensing and compliance management of such software. On-premise licensing was pretty cut and dried, with most organizations preferring concurrent or network licensing for most of their software purchases. Initially, the concept of subscription licenses for software accessed in the cloud, whether customers wanted it or not, seemed a simple concept of pay-per-use, which appeared to be cost-effective. The reality is quite different. For the last few years, research among small, medium and large organizations found that 30-35% of users were concerned about their steadily escalating cloud computing costs. There was a general belief that they were overspending on cloud storage and software, but very few companies were doing anything to actually measure and optimize these costs.
Waste. Surprise, surprise, idle licenses do not go away when you switch to cloud, in fact, the situation may deteriorate. So license monitoring and harvesting is just as important as for on-premise licenses. Overprovisioning is also a contributor here, where the licenses acquired have a whole lot of features that are barely used, but affect the pricing. The user could make do with a basic or intermediate license rather than the top of the range option with all the bells and whistles. So all the toolsets you needed for monitoring on-premise licenses are still needed, but they must be able to monitor cloud usage.
OpenLM’s New Cloud Monitoring
Following numerous requests from our customers, as well as our own need to monitor our own cloud-based software (who does not use Adobe?), we have developed a cloud monitoring capability. It is limited to only a few vendors initially, but these are the most critical vendors among our customer base. Two are engineering vendors and two are enterprise vendors.
Monitoring Adobe and Microsoft Cloud 365
While most (although not all) of our customers are in engineering and scientific industries, we know the use of Adobe and Microsoft 365 is so pervasive, that the ability to monitor these vendors using OpenLM will be of benefit to them. Although our main focus is on specialized engineering software, we do understand the need to manage other software, and are gradually expanding our capabilities to manage non-engineering software.
Monitoring Autodesk and ESRI Cloud
Autodesk has been very determined in moving its historical customer base to subscription and cloud-based services. It has created many disgruntled customers, who have invested too much training and intellectual property into using Autodesk products to change vendors. SRI tried similar tactics, but there was too much push-back from their customers, so they backed down. However, they are still intending to move customers to the cloud and a subscription service; it will just take them longer.
Many of our customers are heavily invested in products from these two vendors, and need to be back in control of their licensing costs for their cloud portfolio. As many of them are also still using on-premise licenses as well, the added complexity of a hybrid licensing environment needs to be managed; spreadsheets do not suffice for the cloud software; as indicated above the issues encountered with on-premise licensing still cop up in cloud licensing.
A Brief Glimpse of the Capabilities
There is a lot more to cloud computing that we have not covered here. The growth of the Internet of Things (IoT) and edge computing requires that embedded licenses managing embedded software need to be monitored. Many IoT devices are offline most of the time, but still need attention. We have built capabilities to monitor embedded software, but we will discuss these features in a separate article.
Narrated by Sagi Reuven