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GartnerGroup: The Higher Licensing Cost of Upgrading to Windows 2000

Feb 20, 2000, 00:08 (3 Talkback[s])
(Other stories by A. Bona, N. MacDonald)

"Pricing increases for server and CAL [client access license] upgrades. The list price for upgrades from NT to Win2000 has increased significantly. Microsoft's maintenance prices were already some of the highest in the industry, but they have increased further. ... UA [Upgrade Advantage] pricing increased 121 percent for Win2000 Server and 82 percent for the CAL compared to NT v.4. VUP [version upgrade pricing] also increased."

"Some price increases for desktop upgrades. Depending on the Select level, a version upgrade from NT v.4 Workstation to Win2000 Professional will cost 3 percent to 6 percent more than upgrading from NT v.3.51 Workstation to NT v.4 Workstation. ... For Win9x users... this is still 84 percent more expensive than an upgrade to Millennium Edition, which Microsoft is positioning as a consumer OS. Microsoft is strongly pushing its enterprise Win9x installed base to move to Win2000."

"UA is required to run prior versions of Win2000 Professional. Microsoft's OS licensing agreements dictate that enterprises buying new desktops that want to install a prior version of a Microsoft OS are required to purchase UA... Thus, if an OEM ships new desktops preinstalled with Win2000 Professional and an enterprise overlays this with its own system image based on NT v.4 Workstation or Windows 9x, a UA fee of $157 will be due for each machine overlayed."

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