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(The alternative to a perpetual license is a subscription - the rental model the flip side to on-premises is cloud-based, with software packed onto a service provider's servers, then accessed remotely.)Īlthough Microsoft defended the changes, including the new pricing for perpetual licenses of Office 2019, saying it wanted "to create consistency and transparency across our purchasing channels" and to get customers to "realize the long-term cost savings by shifting to the cloud," Miller saw it a bit differently. The two terms, although commonly linked, are not synonyms.
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On-premises software is, by definition, installed on an individual's or company's own devices and servers. In other words, the license has no expiration date, and users may run the suite as long as they want.
#Microsoft office price 2018 software license#
The term perpetual license refers to a software license that is paid for with a single, up-front fee, which in return gives the buyer the right to use that software in perpetuity. Microsoft categorizes software by how it is paid for, discriminating between a license that was bought outright from one that is essentially "rented" because it's paid for over time, like a subscription. The last time Microsoft raised prices on the perpetual license version of Office was in 2010, with the debut of Office 2010. Prices for the Enterprise CAL and Core CAL - suites that bundle several separate CALs - will go up by 10%, but the RDS per Device CAL (RDS stands for Remote Desktop Service) will climb 30%, Microsoft said, "to match the per user price."
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Perhaps even more importantly, the CALs (client access licenses) required for personal computers to connect to, and access information on, Microsoft's server software, will jump up, too. Those servers' prices will climb by 10% as well. 1 boost will be prices for on-premise servers, including Windows Server 2019 Standard Edition and what Microsoft dubs "productivity servers," which include Exchange, SharePoint Server and Project Server.
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The application bundle will not be the only component to see a price increase.
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