Trend Report

Yes We Can (Cut Our Software Maintenance Costs)

IT Sourcing Executives Can Take Advantage Of Increasing Flexibility To Obtain The Cost Savings They Need

Duncan Jones
 and  one contributors
May 08, 2009

Summary

It's one of the unwritten rules of software that maintenance costs only go up — never down. But we used to say that about house prices too. Today, software vendors are coming under increasing pressure from customers to cut maintenance bills, but the vendors are robustly defending their lifeblood with age-old, inflexible policies. However, enterprises' imperatives to reduce cost and the contrasting flexibility of new commercial models such as software-as-a-service (SaaS) are making the perpetual licensors realize that they may have to change their ways if they are to be in place to win new business when budgets return. Success in a tough discussion about sacrosanct maintenance revenue isn't simply a matter of negotiation skills. Vendor managers that adopt a solid vendor-specific negotiation strategy can achieve savings by convincing their suppliers of the long-term benefits of giving ground now.

Log in to continue reading
Client log in
Welcome back. Log in to your account to continue reading this research.
Become a client
Become a client today for these benefits:
  • Stay ahead of changing market and customer dynamics with the latest insights.
  • Partner with expert analysts to make progress on your top initiatives.
  • Get answers from trusted research using Izola, Forrester's genAI tool.
Purchase this report
This report is available for individual purchase ($1495).