Feeds

Users turn to second-hand Microsoft licences

One careful owner

5 things you didn’t know about cloud backup

Sales of second-hand Microsoft software licences have doubled month-on-month since the market was opened in November 2005, according to the Staffordshire start-up that spotted the opportunity in Microsoft's small print and Britain's insolvency laws.

Discount-licensing.com, the trading name of Disclic Ltd, offers cost savings of 20–50 per cent on licences for older versions of Microsoft titles. The licences are bought in bulk, for between 2–20,000 seats. Buyers may not get exactly the licence they would get from conventional channels because the licence will have been bought before, by a company now insolvent or downsizing.

Yes Telco, a Manchester-based Vodafone service provider, became one of the first UK businesses to take advantage of purchasing hundreds of older Microsoft Office XP licences rather than the latest version. It made a net saving in the region of £10,000. Some international purchasers have saved more than €50,000. 

Approximately 15 per cent of enquiries received by Discount-Licensing.com have been from existing Microsoft resellers as well as other IT outsourcers, according to the company.

OUT-LAW asked Microsoft about the business model when it launched last November. Brent Callinicos, Corporate Vice President Worldwide Licensing and Pricing, responded:

"Microsoft’s license agreements and product use rights provide guidance on how customers may use our software, including the ability to transfer licenses. There are circumstances under which a customer may need to transfer licenses from an entire Open License agreement to a third party. The provisions for such a transfer are detailed in our Open License agreement.  The provision was included to help a company with divestiture. The secondhand resale of a license agreement is not the intended purpose of these provisions."

Copyright © 2006, OUT-LAW.com

OUT-LAW.COM is part of international law firm Pinsent Masons.

Boost IT visibility and business value

More from The Register

next story
Munich considers dumping Linux for ... GULP ... Windows!
Give a penguinista a hug, the Outlook's not good for open source's poster child
The Return of BSOD: Does ANYONE trust Microsoft patches?
Sysadmins, you're either fighting fires or seen as incompetents now
Intel's Raspberry Pi rival Galileo can now run Windows
Behold the Internet of Things. Wintel Things
Microsoft cries UNINSTALL in the wake of Blue Screens of Death™
Cache crash causes contained choloric calamity
Eat up Martha! Microsoft slings handwriting recog into OneNote on Android
Freehand input on non-Windows kit for the first time
Time to move away from Windows 7 ... whoa, whoa, who said anything about Windows 8?
Start migrating now to avoid another XPocalypse – Gartner
You'll find Yoda at the back of every IT conference
The piss always taking is he. Bastard the.
prev story

Whitepapers

5 things you didn’t know about cloud backup
IT departments are embracing cloud backup, but there’s a lot you need to know before choosing a service provider. Learn all the critical things you need to know.
Implementing global e-invoicing with guaranteed legal certainty
Explaining the role local tax compliance plays in successful supply chain management and e-business and how leading global brands are addressing this.
Build a business case: developing custom apps
Learn how to maximize the value of custom applications by accelerating and simplifying their development.
Rethinking backup and recovery in the modern data center
Combining intelligence, operational analytics, and automation to enable efficient, data-driven IT organizations using the HP ABR approach.
Next gen security for virtualised datacentres
Legacy security solutions are inefficient due to the architectural differences between physical and virtual environments.