Software Licensing

As the world faces digital transformation and companies are online more than ever in the past, software vendors are looking for new options for their software licensing solutions.

This is an exciting transition for software companies, as they are able to give their customers more options and to be flexible with their online software licensing. The world is shifting from traditional licensing methods including disks and downloads to subscription models, floating feature licenses, and cloud-based licensing.

But first, software vendors must examine their needs in order to find the right software licensing vendor.

What is a software license?

A software license is a legal way of distributing (or redistributing) software to customers and clients who are interested in using it. Software licenses are needed because all software is legally copyrighted (under U.S. law). In recent years, software licensing online has become more popular and commonplace, allowing software developers and distributors to provide more flexibility to customers based on their specific needs and requirements.

Every piece of software has a license. Back in the day, you would purchase a new piece of software and typically receive a disk. You would install the software on your computer and in certain cases pay a fee for continuing service on a yearly basis (or not, and then lose access to upgrades, etc.). This is called a perpetual license and is the most traditional model available.

The good news is that today, software licensing vendors give software creators the opportunity to increase revenue and customer satisfaction by providing a host of options when it comes to software licensing systems. This is largely because the software industry has shifted to the digital age. Gone are the days when you get disks in the mail or at the store. By choosing the right software licensing solution, software vendors have the opportunity to provide flexibility and dynamic licensing opportunities to customers and users.