Windows Intune Gives A Glimpse At Microsoft’s Licensing Future

Christopher Voce

With Microsoft's fiscal year end coming to a close today, I wanted to spend some time focusing on future licensing direction. Windows Intune is a significant offering from Microsoft that blends cloud-based management, on-premises tools  from the Microsoft Desktop Optimization Pack (MDOP), and Windows – as a subscription service. Let’s put Intune aside for a moment.

Like all software vendors, Microsoft is keen on pulling customers into an annuity relationship for their offerings – a dependable revenue stream that isn’t as vulnerable to things like economic downturns or anything that might delay a purchase. When Microsoft first introduced the Software Assurance (SA) program, it was primarily just upgrade rights –  while a license was covered under SA, you had rights to deploy any new versions that came out during that time. Over the years Microsoft has refined the program, adding different benefits to incent customers into the program – but the primary focus of value has remained upgrade rights. Unlike other vendors, Microsoft included security patches and updates as part of a license, so their “software maintenance” program has always been something a little different.

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Does Your CEO Care About Green IT? Not If You’re Stuck In The Data Center

Doug Washburn

To quote Forrester’s CEO and Founder, George Colony, during his keynote at Forrester’s IT Forum EMEA event: “CEOs only care about two things: revenue growth and profitability.” How should we interpret this? CEOs do care about green if it is able to drive revenues, reduce costs and mitigate risks — all of which are essential ingredients in delivering long-term profits and shareholder value.

Evidence is mounting around CEOs' rising interest in corporate sustainability initiatives. For example, the United Nations Global Compact-Accenture CEO Survey 2010 published in June finds that 54% of CEOs globally view sustainability as “very important” to the future success of their businesses. And the Economist Intelligence Unit backs this up by finding that companies that rated their green efforts most highly over the past three years "saw annual average profit increases of 16% and share price growth of 45%, whereas those that ranked themselves worst reported growth of 7% and 12% respectively."

So does your CEO care about green IT?

Not without some convincing. And here’s why: While your CEO might care about green, they may not necessarily care about IT. As an indicator of this, Forrester found that only 16% of the world’s largest companies mention green IT in their annual reports. And as a result, CEOs are most likely unaware of IT’s role in enabling their company's green ambitions. The good news, however, is that IT is playing an increasingly central role in planning and executing companywide green strategies which will lead to C-level visibility.

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Office 2010 Will Continue To Succeed With Consumers

JP Gownder

Many product strategists are, like me, old enough to remember software stores like Egghead. Those days are gone. Today, consumer packaged software represents a very limited market – the software aisle has shrunk, like the half-empty one at the Best Buy in Cambridge, MA (pictured).

 

Only a few packaged software categories still exist: Games. Utilities and security software. And Microsoft Office – which constitutes a category unto itself. Some 67% of US online consumers regularly use Office at home, according to Forrester’s Consumer Technographics PC And Gaming Online Survey, Q4 2009 (US). Office is the most ubiquitous – and therefore successful – consumer client program aside from Windows OS.

Office 2010, Microsoft’s latest release, will continue to succeed with consumers. On the shoulders of Office 2010 rests nothing less than the defense of packaged software in general. It’s also the most tangible example of Microsoft’s Software Plus Services approach to the cloud – a term that Microsoft seems to be de-emphasizing lately, but which captures the essence of the Office 2010 business goal:

To sell packaged client software and offer Web-based services to augment the experience.

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The Evolution Of Green IT: A Forrester Video Series, Part 2

Doug Washburn

[Scroll down to view Forrester’s "The Evolution Of Green IT" video… don’t worry, it’s only ~6 minutes.]

As a quick recap, part one of this video series walked through how corporations and governments are using green strategies to achieve their financial and political ends. From there, I gave a handful of examples around how green IT is helping leading organizations — like Sprint, AT&T, and Tesco — save $20m, $12m, and achieve a 17% reduction in fuel consumption, respectively. 

So what can you expect in part two? In ~6:00 minutes, part two of this video series will discuss green IT's quickly expanding scope and approach. What do I mean by this? In short, green IT's scope is evolving beyond the data center into distributed IT and broader business operations. Forrester calls this the green IT 1.0 ("green for IT") and 2.0 ("IT for green") transition. Likewise, the approach to green IT is expanding beyond procuring more energy efficient equipment to also include software, services, people, and process. And the savings from these new approaches are impressive:

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Microsoft Licensing, June 2010 — The Perfect Storm

Christopher Voce

Last week I recorded a podcast on what has recently become a very hot IT research topic at Forrester right now — Microsoft licensing. June 2010 signifies an extremely active and very hectic month for a large number of businesses because it's not only the last month of Microsoft’s fiscal year but also the last month for a large portion of Microsoft's three-year contracts.

The reason for this pileup of Microsoft licensing activity partially stems back to 2000: Microsoft refreshed their volume licensing program and introduced Software Assurance. Microsoft Enterprise Agreements are typically for three years. Facing the initial June deadline in 2001, many businesses switched over to this offering and since then, every three years their licensing agreements need to be reassessed and renegotiated. Now fast forward nine years to June 2010 and factor in several significant new products releases — and  here we are again witnessing what is truly the perfect storm of activity, discussion, and negotiation for businesses and their Microsoft licensing, decision-making personnel.

As you might expect, we receive an ever-increasing number of inquiries related to this subject as we continue to get closer to the aforementioned June 30th deadline. Clients bring a range of questions like whether or not they should renew their enterprise agreement (EA), if Software Assurance holds enough value to justify the commitment, or what IT upgrades and migrations impact their decisions. My first response to these questions is. . . there is no easy answer. Each company has their own set of requirements, cost limitations, and future strategic plans that affect which decision is right for them.

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Management Software Sleeping Giants Awaken

Glenn O'Donnell

Many industry watchers, including me and my Forrester Research colleagues, often highlight an elite group of management software megavendors commonly known as the “Big Four” that consists of BMC Software, CA Technologies (as it is now called), HP Software, and IBM Tivoli. These four have dominated the management software business for well over a decade. They are big by just about any measure, each with a broad array of product families and annual revenues exceeding one billion US dollars. Because of their stature, they are generally positioned as anchors in most enterprises' management software portfolios. An anchor vendor becomes a strategic partner to the enterprise and is usually the default first choice for a particular need.

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Why Windows 7 Needs A Hit Tablet

JP Gownder

Sarah Rotman Epps and I have just published a new report: “The Windows 7 Tablet Imperative.” Dell gained some publicity this week with its release of the 5-inch, Android-based Dell Streak device – but that device has more in common with mobile Smartphones (or even the iPod Touch) than it does with the iPad.

What we’re watching closely is the next generation of tablet PCs – larger form factor devices that make up a fourth PC form factor. Regardless of OS – the iPad itself runs iPhone OS, but we see it as a PC – these tablets will be used by consumers for media, gaming, light communications, and casual computing in new rooms in the home.   

To compete with the iPad, these devices must embrace Curated Computing as their design approach – tablets that work exactly like laptops don’t make sense.  Without Curated Computing, a tablet would take away features (keyboard, mouse) while not fundamentally tailoring the user experience to the tablet form factor.

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The Evolution Of Green IT: A Forrester Video Series, Part 1

Doug Washburn

[Scroll down to view Forrester’s “The Evolution Of Green IT” video… don’t worry, it’s only 3:30 minutes.]

At Forrester, we’re always exploring new ways to connect with our clients and fit into their busy schedules. And as an analyst on Forrester’s IT Infrastructure & Operations (I&O) research team, I’m well aware of how time-pressed our clients can be. The I&O professional is oftentimes characterized as the “fire fighter” of the IT organization, dropping everything at any hour of the day to ensure their business’s critical IT infrastructure – from servers to PCs to mobile devices – is running without a hitch… and on-time and on-budget.

With that said, I’m particularly interested in “testing” out video to supplement my published research and my blogs on the Forrester.com website. To that end, below is part one of a two part video series on “The Evolution Of Green IT” – a topic I am increasingly receiving client inquiries on as organizations try to determine their green IT maturity and future trajectory.

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As The Economy Recovers, Spend Your Time On “PPT” (And I’m Not Just Talking About Fancy Presentations)

Doug Washburn

Whether you love it or hate it, Microsoft PowerPoint — aka slides, deck, .ppt or PPT (which I prefer) — is arguably the de facto medium for communicating complex information using charts, graphics and bullet points. And we’ve all been the victims and perpetrators of PPT eye charts and spaghetti diagrams … this of course excludes Forrester analysts (wink).

But this over reliance on PPT is a rising cause for concern — not just from the good people of BOTOX® warning us about the wrinkle damage caused by squinting to read small text — but from our armed forces. In a recent article in The New York Times, Gen. Stanley A. McChrystal, the leader of American and NATO forces in Afghanistan, explained that PPT is “dangerous because it can create the illusion of understanding and the illusion of control.” He banned the presentations when securing the northern Iraqi city of Tal Afar in 2005, and even likened them to an internal threat. The most infamous of these “spaghetti” diagrams depicts the complexity of American strategy in Afghanistan, which General McChrystal remarked, “When we understand that slide, we’ll have won the war.”

So what does PPT have to do with making IT infrastructure and operations investments (I&O)? Everything. But in this case, the PPT I’m referring to is People, Process, and Technology – and excess is encouraged.

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CMS Pockets Of The Truth Or CMDB Unified Ambiguity?

Glenn O'Donnell

I've had many discussions with clients and others about CMDB (configuration management database), not surprising as I am coauthor of a book called The CMDB Imperative. These discussions almost always come back to questions about how this thing called a CMDB looks. How is it built? What tool(s) do I use? Which "database" is best? There are many more.

My first response is usually, "I hate the term CMDB, so let's try to kill it off in favor of the ITIL v3 notion of a CMS." If you pursue a CMS (configuration management system) as opposed to a CMDB, a few things become evident:

  • The CMS implies a distributed (federated) model consisting of many management data repositories (MDRs). Each of these MDRs hold data relevant to the scope of coverage for the tool that encompasses that MDR (e.g., a network discovery tool is a network domain MDR and an application dependency mapping tool is the key MDR for the application domain).
  • While a CMDB can certainly be formed in a similar federated fashion, the term "CMDB" has become tainted by the implication that it is a database. The natural assumption here is that this database is one big monolith that holds every detail being tracked. This is unwieldy at best and almost always destructive.
  • The CMS has a more complex structure, but because it enables a divide-and-conquer approach to the overall system, it is a more pragmatic approach. You can bite off each piece and gradually build out your CMS. A "big bang" is not needed and certainly not recommended.
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