Comments on: MSP Software Upgrades: Here They Come http://www.mspmentor.net/2009/12/08/msp-software-upgrades-here-they-come/ Managed Services & Cloud Services Blog for VARs & MSPs Tue, 14 Feb 2012 15:37:02 +0000 hourly 1 http://wordpress.org/?v=3.3.1 By: Joe Panettieri http://www.mspmentor.net/2009/12/08/msp-software-upgrades-here-they-come/comment-page-1/#comment-51203 Joe Panettieri Wed, 09 Dec 2009 06:05:07 +0000 http://www.mspmentor.net/?p=5121#comment-51203 Bob: I think your mention of Windows 7 is an important one. It will likely be the last major monolithic OS update Microsoft ever introduces -- though they've made such claims before. I don't see the entire world switching to SaaS. But we couldn't have built our own business without it. No way. No how. -jp Bob: I think your mention of Windows 7 is an important one. It will likely be the last major monolithic OS update Microsoft ever introduces — though they’ve made such claims before.

I don’t see the entire world switching to SaaS. But we couldn’t have built our own business without it. No way. No how.
-jp

]]> By: bob vogel http://www.mspmentor.net/2009/12/08/msp-software-upgrades-here-they-come/comment-page-1/#comment-51200 bob vogel Wed, 09 Dec 2009 03:47:29 +0000 http://www.mspmentor.net/?p=5121#comment-51200 Joe -- Very interesting post that seemed to mash two separate topics -- upgrades and freemiums -- and I'm still scratching my head to find the connection between the two. But I did want to comment on the whole "Upgrade" thing. I've been in the software industry for longer than I care to admit (remember 5 1/4-inch floppies? I do!) It used to be that you just bought a software application and used it for a few years... as is, bugs and all. Once every few years the company would come out with a new and improved version of the software and literally go out and "re-sell" it to the people who already bought it before as an "upgrade." Typically, the upgrade price carried a deep discount off the regular price, but the cost of sale was so much lower than the new customer acquisition cost, that software companies realized the big profit was in the upgrades. Microsoft is an example of one of the few old-line companies that retains this exact same business model (and marketing approach) with its flagship Operating System software for PCs (can you say, Windows 7?). But S-a-a-S and cloud applications are rapidly taking over as 'the norm' rather than an 'emerging technology.' The concept of a true "upgrade" as we know it is going to disappear. Everyone using an platform like Autotask is working on the same instance of the software, which is always the most current version, and is continuously "upgraded" and improved... and without the headaches of downloads, patches, reinstalls or delivery issues. I think in the future, when people think about "upgrading" they will think about upgrading from one provider of a (software) service to another/better provider. Joe –
Very interesting post that seemed to mash two separate topics — upgrades and freemiums — and I’m still scratching my head to find the connection between the two.

But I did want to comment on the whole “Upgrade” thing. I’ve been in the software industry for longer than I care to admit (remember 5 1/4-inch floppies? I do!) It used to be that you just bought a software application and used it for a few years… as is, bugs and all. Once every few years the company would come out with a new and improved version of the software and literally go out and “re-sell” it to the people who already bought it before as an “upgrade.” Typically, the upgrade price carried a deep discount off the regular price, but the cost of sale was so much lower than the new customer acquisition cost, that software companies realized the big profit was in the upgrades. Microsoft is an example of one of the few old-line companies that retains this exact same business model (and marketing approach) with its flagship Operating System software for PCs (can you say, Windows 7?).

But S-a-a-S and cloud applications are rapidly taking over as ‘the norm’ rather than an ‘emerging technology.’ The concept of a true “upgrade” as we know it is going to disappear. Everyone using an platform like Autotask is working on the same instance of the software, which is always the most current version, and is continuously “upgraded” and improved… and without the headaches of downloads, patches, reinstalls or delivery issues.

I think in the future, when people think about “upgrading” they will think about upgrading from one provider of a (software) service to another/better provider.

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