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Subscription vs. perpetual licenses

Historically almost 100% of software sold in the SAP space were perpetual licenses. We have for the last five years offered our products in a Subscription license model but it is first recently we experience that our customers are ready to consider if the Subscription license could be an alternative to Perpetual.

Basically, it is a question of disposition and how the cost will impact the operation your company. Anyway, despite the choice of license type we guarantee you the exact same excellent service!

Perpetual Licenses are how most high-end software have been acquired until now. There is an initial cost to purchase a license, plus an annual maintenance cost that entitles the owner to all updates and technical support. With our Perpetual licenses comes a 20% yearly maintenance fee.

Subscription licenses can be thought of as "renting" a software license year-to-year. With Subscription, you pay either a quarterly or annual price that includes software, all updates and technical support.

Software as a Service is an option regardless of your choice of a perpetual license or a subscription license. Both license methods can be delivered as a service through our hosting center at Amazon Web Services (AWS).

In the table below we listed some of the arguments we experience our customers include in their analysis.

License typeAdvantageDisadvantage
Subscription License  
  • Lower initial acquisition costs
  • Increased flexibility
  • Scalable licensing (up and down)
  • Quarterly or yearly invoicing
  • More expensive over time
  • Tradition might be that your company run perpetual
Perpetual License
  • Overall  the inexpensive choice
  • Ownership of the version purchased
  • Up front investment in license
  • Less flexible license scaling
Software as a Service
  • Possible to deliver faster and improved support
  • CN Team will take responsibility of the web-server
  • Probably less expensive than on premise hosting
  • Direct cost for hosting services
  • Your internal protocols might challenge hosting support

Which is best? The decision is entirely up to you. We will be pleased to deliver comparable offers of the two methods for you to investigate. There is no difference in the functionality of the software for the two licensing methods or the support you get from our solution center.

Want to know what a specific license will come to for your company please send us a short email with your question to info@compliancenow.eu or go to the Contact page and direct the question to our Product or Sales Managers. We commit ourselves to deliver back to you a concrete and valid quote within 24 hours.