© 2012 ibm corporation may 2012 rational token licensing: licensing adaptable to changing user...

© 2012 IBM Corporation

May 2012

Rational Token Licensing:Licensing Adaptable to Changing User Needs


Accelerating Product and Service Innovation | Rational

Agenda

Software Innovation

Licensing Adaptable to Changing User Needs

Token Licensing



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Innovation is increasingly being driven by software

Source: Mobile banking: A catalyst for improving bank performance, Deloitte, 2010; and Jürgen Mössinger (2010), Software in Automotive Systems, IEEE Software, March/April 2010.

Mobile banking will bethe most widely used banking

channel by 2020, if not sooner

Today, electronics drive about 80% of the automotive

industry’s functional innovation, and software is the key to most of it



Transforming software and systems delivery brings about dramatic business results

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Three key actions of transforming software and systems delivery

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Realities can stall software-driven innovationComplexities in software delivery compounded by market pressures

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…You Need the Right Rational Product at the Right Time!



LicensingModels

Over Time

Industry is moving towards more flexible licensingTrends of licensing types over time

IncreasedProductivity and Flexibility

DecreasedTime-to-Market

Capabilitiesand Activities

FUTURESingle System CPUID

Single User;Entitled,

Perpetual License

Pool of Users; Entitled,

Perpetual License

Pool of Users;Fixed Term

Leased License

Pool of Users; Fixed Term;

Pool of Products

Token Licensing – Float across users and across Products!



Licensing Challenges affect Software Delivery Flexibility

Inflexible licensing schemes can lead to loss of productivity

– Not enough licenses may be available during heavy usage periods

• For example: during large performance tests, too few licenses may result in poor test coverage.

– No way to move licenses from product to product as needs change during a project

• Resulting in licenses being temporarily unused for parts of the project – not driving value.

Time to Market increased due to license issues

– Installation of new software typically depends on license availability – if there are no licenses, software is not installed.

– New License acquisition takes time

Budgetary availability and timing concerns may delay license purchases

Fixed License



Advantages of Flexible licensing

Multiple licensing options to your development teams

Identify the best license fit for a given task or project

– Some users may require fixed, permanent license for certain products

• Example: A Developer requiring permanent access to Rational Application Developer

– Other products may be used infrequently, and do not require permanent licenses

• Example: Performance testing may only be done once per iteration

– The usage of licenses may change over time on a project

• Example: Initially, there may be more licenses required for Requirements Management solutions, whereas towards the end of a project, more Functional Testing licenses may be required

Easily trial new software

– New Purchase Orders are not required for software included in flexible licensing schemes – provides a seamless platform to introduce new technologies

Flexible Licenses



Agenda

Software Innovation


Token Licensing



Licensing pool is adaptable to changing budgetary & user needs

Flexible License Pool

Project A Project B Project C

Perpetual License

Fixed Term License

Authorized User Floating User Floating Token User



License types: Perpetual Licenses

A One Time Charge (OTC) or “perpetual” license grants the use of the specific version / release of the software obtained indefinitely, as long as the customer complies with the terms of the license agreement.

– An authorized user license is a type of OTC license that is associated with a single product. An Authorized User is a unique person who is given access to the product. The product may be installed on any number of computers or servers and each Authorized User may have simultaneous access to any number of instances of the program at one time.

– A floating user license is a type of OTC license, associated with a single product, but which can be shared among multiple team members,but the total number of concurrent users must not exceed the number of licenses.

Floating License

Authorized User License



License types: Fixed Term Licenses

A Term License (or Fixed Term License, or FTL) grants the use of the software over a limited time period, or term (typically 12 months) as long as the customer complies with the terms of the license agreement.

– Term Licenses can be of either the Authorized user or Floating User type.

Token Licenses are a form of fixed term license that allow the mixing of different products in real time.

– Token Licenses are Floating User license types.

Term License

Token Licenses



Agenda

Software Innovation


Token Licensing



What is a Token License?

A “Token” is a base unit of license value

Tokens can be exchanged for the right to use specific Rational software

Token Term is normally 3 to 5 years

A software application requires 1, 2 or more tokens to run

There is no restriction on which entitled application can be installed or used on a given machine

There is no limit on the number of entitled applications that can be run concurrently, or on which machines they can run, up to the total number of tokens purchased

Project C

Token Pool



Teams use any mix of specific products after purchase from Token Pool

Token license agreements allow organizations to “rent” licensesfor a given period of time with no entitlement rights at end of term

Token licenses can float across users and across products

A token constitutes a unit of value which can be repeatedly exchanged via server for a mix of software licenses - Essentially unlimited substitution

How does token licensing work?Licensing resilient to changing budgetary and user needs

Organization purchases product specific tokensbased on projected product usage = Token Pool 21

Rational Team Concert= 7 tokens

Rational DOORS= 10 tokens

Rational System Architect= 9 tokens

Token Pool



Organization purchases new tokens and maintains active Subscription and Support (S&S) on a set of “inactive” OTC Rational products in exchange for a fair market value enhancement of additional tokens on the OTC products

Teams use any mix of specific products after purchase from Token Pool

Leverage your current Rational investmentToken licensing flexibility enhancement from OTC products

Token Flexibility Enhancement is an additional token agreement, executed by Passport Advantage site, where “OTC” (perpetual) licenses become inactive for a fixed period of time and enhanced to tokens

OTC licenses that are inactive contractually must remain under active S&S. Customer offered “flexibility” pricing leveraging active S&S costs

At end of term, customer may begin using OTC licensing again, initiate another token term.

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Rational Team Concert= 7 tokens

Rational ClearCase= 5 tokens

Rational System Architect= 9 tokens

Prior Active Rational

Purchases

e.g. ClearCase, ClearQuest, etc.

Token Pool



Token Licensing provides an added layer of flexibility

Flexible use of Rational solutions

– Use the right tool at the right time during the lifecycle of a development project

Streamline License Management

– Help eliminate the concept of temporarily “unused” software as the project moves from one development phase to the next

Simplify License Purchasing

– Allow customer access to specialty software during the project, without the hassle of a new PO or evaluation process

Address Budgetary Concerns

– Replaces a less predictable spending model that has large spikes with a uniform spending model with incremental increases as needed



Agenda

Software Delivery Challenges


Token Licensing



Summary

Flexible Licensing allows software delivery teams to maintain productivity and reduce time to market

IBM Rational provides innovative licensing approaches to help your software delivery teams succeed, including new token licensing

Investment in a token strategy can provide optimal use of Rational solutions based on an organization’s development lifecycle

Practitioners can utilize the right Rational tool at the right time during the development lifecycle

Rational tokens allow great flexibility in configuration: allow for current product use as well as factoring additional tools that might be needed later in the lifecycle.

Many Rational solutions can leverage token licensing today.



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© Copyright IBM Corporation 2012. All rights reserved. The information contained in these materials is provided for informational purposes only, and is provided AS IS without warranty of any kind, express or implied. IBM shall not be responsible for any damages arising out of the use of, or otherwise related to, these materials. Nothing contained in these materials is intended to, nor shall have the effect of, creating any warranties or representations from IBM or its suppliers or licensors, or altering the terms and conditions of the applicable license agreement governing the use of IBM software. References in these materials to IBM products, programs, or services do not imply that they will be available in all countries in which IBM operates. Product release dates and/or capabilities referenced in these materials may change at any time at IBM’s sole discretion based on market opportunities or other factors, and are not intended to be a commitment to future product or feature availability in any way. IBM, the IBM logo, Rational, the Rational logo, Telelogic, the Telelogic logo, and other IBM products and services are trademarks of the International Business Machines Corporation, in the United States, other countries or both. Other company, product, or service names may be trademarks or service marks of others.

www.ibm.com/software/rational

© 2012 ibm corporation may 2012 rational token licensing: licensing adaptable to changing user...

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