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My post did use as the default assumption that the large software companies know their market. If they increase the price, it's because they believe the customers will pay for the increase, though complainingly.
And purchasing software and support does seem to be part of organizational behavior. Open source companies like Red Hat can distribute software with confidence that a sufficient number of customers will pay for the software, calling the line item "support". Those customers have also rejected clones and other free alternatives that would have required more in-house resources.
Some organizations are still even paying others to provide IT resources in order to reduce their investment in people and equipment in-house.
A guess: one reason software companies feel confident they can raise their prices with impunity is because they believe the view widespread that in-house IT resources should be avoided.
Unfortunately.
Also, I expect that third party businesses creating vertical software integration are continuing to find a market. Management of software from disparate sources can be simplified, even if the offerings from any one software company are incomplete. - Posted by: Anton Philidor Posted on: 08/19/08 You are currently: a Guest | Members login | Terms of Use
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