The concept of a software license, is evolving to better adapt to our increasingly multicloud world.
Like so many other things in technology, the cloudification of software licensing creates both benefits and challenges for organizations of all sizes. Cloud-based licensing is the process of licensing software or services in a cloud-computing environment. For companies expanding their cloud presence, it is particularly important to understand the pros and cons of licensing in the cloud.
Key Takeaways:
- The benefits of cloud-based licensing can spur the decision to undergo modernization through cloud migration, though this may require a significant upfront investment.
- The ability to place software licenses in any cloud based on cost and performance goals can be a boon to businesses struggling with cost management.
- The sheer freedom of universal cloud-based licenses can empower unbridled decision-making when deploying workloads to the cloud.
What Is Universal Licensing?
Universal licensing is a model that offers the flexibility of using licensed software or services across platforms, whether on-premises or in the cloud, or moving between locations in a hybrid setting.
A platform that offers fully portable licenses allows the operator to move software seamlessly across clouds based on changing performance, cost, and data sovereignty needs. A universal license is not always synonymous with license portability, however, so you need to choose a cloud platform that can guarantee the full portability of licenses.
Flexibility and versatility are always boons to business, but it is crucial that IT decision-makers fully understand the untold benefits and challenges of universal licensing before committing to an investment.
1. Cloud Migration
Cloud migrations entail the relocation of legacy applications to cloud-based infrastructure. This is an attractive prospect for many businesses due to the convenience of cloud-based licensing and the overall shift toward the cloud in the IT industry.
In fact, Gartner forecasts that end-user spending on public cloud services will increase to nearly $679 billion in 2024. This growth is due in no small part to the innovative and scalable nature of the cloud, but it also indicates how enterprise operations naturally gravitate toward solutions that facilitate operational freedom with minimal resistance.
Other benefits of embracing universal licensing for a cloud migration project include cost optimization, flexibility, enhanced security, improved compliance, and stronger backup processes.
The untold challenge of cloud migration, especially for organizations steeped in legacy architecture, is the training and research that goes into understanding cloud solutions at a company-wide level.
2. Cost Management
IT leaders must always weigh the cost implications of any decision, so it stands to reason that cost management will factor into the universal licensing discussion. This typically means weighing the potential profits of going to the cloud and ensuring that there will be a healthy return on investment.
Universal licensing makes it possible to effectively balance costs by providing freedom in decisions regarding storage type, resource allocation, and service sizing. In this way, the adoption of cloud-based licensing can itself be a cost management measure rather than a potential liability.
The cost-related challenge of adopting universal cloud-based licensing is the upfront expense necessary for first-time cloud migration.
It is worthwhile to consider, however, that adopting cloud infrastructure has the potential to yield many benefits beyond the promise of cloud-based licensing. Those on the fence about cloud migration due to cost concerns should also factor into the decision the improvements to security and overall simplicity.
3. License Decision-Making
Universal licensing offers a great many choices on how to deploy workloads, especially when license portability is also an option. With nearly infinite permutations to consider, it can be difficult to build the right licensing strategy for your enterprise.
This freedom of choice does, however, make it possible to create an ideal and custom-built licensing strategy tailor-made for your organization and its unique needs. Optimally placing data and apps at the ideal locations for maximizing their performance and cost-efficiency can yield amazing results, and license portability allows you to revisit those decisions as often as necessary.
When this prospect of universal licensing seems like an overwhelming task, do not hesitate to reach out to your platform or license provider. The right license provider is a knowledgeable and cooperative vendor that is willing to work with you to build the right licensing strategy for your enterprise.
Make the Most of Universal Licensing With Nutanix
Embracing cloud-based licensing allows enterprises to harness the power of the cloud while also managing costs and taking control of license placement. Complications can arise, though, when too many options add complexity to the decision-making process.
The Nutanix Cloud Platform simplifies infrastructure management at every level so that you can freely reap the benefits of cloud-based licensing to the fullest. Nutanix also stands out from the competition by offering fully portable licenses across clouds.
An emphasis on freedom and accessibility through a single, easy-to-understand control plane lends to the Nutanix platform’s ability to address the challenges of universal licensing. By enabling you to optimally place software anywhere and move it across clouds as priorities change, your cloud platform can facilitate strong growth and innovation through scalability and flexibility.
Learn more about how to capitalize on cloud native computing after a cloud migration as well as how you can further innovate on workloads in the cloud.
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