Re: Software Subscription Question

At 10:06 AM 7/30/98 -0400, you wrote:
>I am still confused about upgrade to 4.2 with Software Subscription.
>Probably Al Barsa could answer this or if any one else knows.  We installed
>2 new AS/400's in January of this year and upgraded from Version 3.2 to
>Version 4.1.

Software subscription is IBM's solution to get revenue for software updates
without the hassle of having new Versions.  Clearly the chargeable
Versioning strategy was almost the undoing of the AS/400.  Most shops saw
the Versioning charge as a capital expense, and this left many people on V2R3.

>Question 1:
>Now I want to install version 4.2.  My local rep is telling me that I have
>to commit to software subsription before they can place the order.  My
>understanding is that I have 30 days after placing software order.

IBM has gone out of their way to make this process simple.  However there
are so many "But ifs..." that it has actually gotten very complicated.  The
bottom line is yes, you have to be on software subscription to get V4R2, or
any future release.  If you elect not to do software subscription, there is
a "currency fee" that you would have to pay to get the next release.  The
currency fee is high enough that in a court of law it would be referred to
as "extortion".

>Question 2: Since I had Version 4.1 installed before 2/28/98, don't I get
>4.2 without having to pay the upgrade charges on the products still at V3R2
>level.  This is my understanding of an offer that IBM had.  My rep is
>telling me that this program went away when software subsrciption was
>announced.

Yes, your rep is correct that it want away, however I don't think it was
associated with the Software Subscription announcement.  The bottom line
here is that you had to have ordered V4R2 before 6/30/98.

>Question 3. My local rep is telling me that if I don't have V4R2 installed
>by Sept 30, 1998 then I will have to pay the upgrade charges of the V3R2
>products to Version 4, and still have to pay for software subsription.  Is
>this correct?

I don't know.

>What I wanted to do way wait until dec 98 to commit to software
>subscription, but the Sept 30 date will cost me a lot of money if I let it
>pass.  Approx 60 K.  Since this is new we did budget for FY98 and I am
>attempting to make the best financial choice.

I suspect that some of the sales folks in my organization will know this
stuff, as we do act an both an agent for IBM and as an IR.

Al




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| Private mail should go to barsa@ibm.net.         |
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Al Barsa, Jr. - Account for Midrange-L
Barsa Consulting, LLC.  
400 > 390

Phone:  914-251-9400
Fax:    914-251-9406

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