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Microsoft Won't Charge More for Multicore Licenses

esimp writes "According to technewsworld: 'As servers with dual-core processors come closer to hitting the market, Microsoft announced today it will not base its per-processor software licensing charges on the number of cores in a chip, sticking to the traditional price per processor, regardless of its number of cores." Update: 10/20 00:37 GMT by T : One of the identical links to TechNewsWorld's story has now been deleted.

49 of 234 comments (clear)

  1. Both links are the same! by byolinux · · Score: 5, Funny

    Who actually monitors the 'daddypants' account anyway? I know the number of times I've bothered to report errors has been greater than the number of replies I've got or number of errors fixed (ie. none)

    Anyway, um, lovely that Microsoft aren't charging for multicore licenses. I'm still amazed they even charge for SMP licenses.

    1. Re:Both links are the same! by arcanumas · · Score: 4, Funny

      It's a dual core article :)

      --
      Slashdot Sig. version 0.1alpha. Use at your own risk.
    2. Re:Both links are the same! by metlin · · Score: 4, Informative

      For subscriber preview, you have an e-mail address you can mail to if you notice any errors/mistakes that you may see in the story.

      That e-mail address happens to be daddypants @ slashdot.org, hence the parent poster's comment.

  2. Hurray for them! by codepunk · · Score: 3, Funny

    I bet debian does not charge more either. Oh hell I am willing to go out on a limb and suggest that Red Hat will probably not either.

    --


    Got Code?
    1. Re:Hurray for them! by zx75 · · Score: 3, Funny

      Oh yeah? Well I bet they'll both charge double what they're currently charging and we'll see whose right!

      --
      This is not a sig.
    2. Re:Hurray for them! by RAMMS+EIN · · Score: 4, Funny

      Actually, Debian charges twice as much for dual cores. Quadruple cores will receive a discount, and only cost 3.95 times 0.

      --
      Please correct me if I got my facts wrong.
    3. Re:Hurray for them! by ConceptJunkie · · Score: 3, Funny

      What, do they run their billing software on an old Pentium?

      SCO likewise will charge twice as much for Linux running dual-core processors, which means they will also receive 2 times 0 for each copy of Linux.

      --
      You are in a maze of twisty little passages, all alike.
  3. Very similar indeed... by AndyCampbell · · Score: 5, Funny

    That story on technewsworld is very similar indeed to the story on technewsworld.

    1. Re:Very similar indeed... by Anonymous Coward · · Score: 5, Funny

      Looks like the editors decided to simplify things and just put the dupe in the same story as the original, rather than creating a separate article.

  4. Virtualization by superpulpsicle · · Score: 4, Insightful

    Of course not, like everything else is becoming more virtualized. What if someone has 1 xeon counting as 2 processors running windows. Then they install vmware to install many windows OSes for testing. is that still 1 CPU? No lawyer can move at the pace of engineers!!!

  5. Microsoft did the same with Hyperthreading by ajiva · · Score: 4, Insightful

    Microsoft did the same thing with Hyperthreading, where under WindowsXP the number of physical processors determined if you needed to run Home or Professional. Previously, under Win2k if you had a dual HT machine, Win2k saw the machine as a quad processor and forced you to install advanced server to get the full performance. Under WinXP, you only need Professional (or home if you have a single processor).

    1. Re:Microsoft did the same with Hyperthreading by Zeever · · Score: 5, Informative

      There's one difference: HT (Intel's SMT) is a way to use the processor resources more efficiently. Dual Core is like having two real CPU's (not exactly, because they share lots of stuff). The performance difference between HT and Dual Core is abysmal.

      --
      -- Who, you?
    2. Re:Microsoft did the same with Hyperthreading by say · · Score: 3, Funny

      I think he ment deep as an abyss. Which is an interesting use of the english language.

      --
      Roses are #FF0000, violets are #0000FF, all my base are belong to you
  6. In other news... by stienman · · Score: 4, Funny

    In other news, computer manufacturers report sales of multi processor single core machines are down, while customers are clamoring for multi core single processor machines.

    MS is expected to revise it's statement tomorrow.

    -Adam

  7. Breaking News Bulletin by Shakrai · · Score: 5, Funny

    Major US Company with virtual monopoly on product decides not to screw over customers. Details to follow.

    --
    I want peace on earth and goodwill toward man.
    We are the United States Government! We don't do that sort of thing.
    1. Re:Breaking News Bulletin by Coryoth · · Score: 3, Insightful

      The details we won't hear are, of course, the various deals Microsoft cut with Intel and AMD to set their pricing this way. I mean let's face it, in one fell swoop MS could effectively end the chances of multicore processors if they decided to set a different pricing scheme. I wonder what they asked for...

      Jedidiah.

    2. Re:Breaking News Bulletin by Ahnteis · · Score: 3, Insightful

      It is in Microsoft's best interest to keep people on the upgrade path. New computer = new Windows license. (Most consumers do NOT build their own computer.)

      The frequency speed increases seem to be slowing down. Multi core chips are the current best hope for keeping us on the upgrade cycle.

  8. Smart move by metlin · · Score: 4, Insightful

    Nevertheless, software vendors have proceeded cautiously on the core question, with rivals IBM, Oracle, Sun, Microsoft and others waiting to see how the others approach the issue, partly to learn what works and partly to have the opportunity to counter, according to DiDio.

    Good to see that atleast MS is brave enough to go ahead and do what they will. As much as I do not like their policies, atleast they didn't sit around waiting for others to show the way.

    She said IBM is in a different situation since it makes money not only from software and services but also from hardware.

    Ofcourse! This would mean that IBM would take up a position that hurt's Microsoft's stance :)

    Should prove interesting.

  9. Will licensing costs remain the same? by ffattizzi · · Score: 5, Interesting

    While this seems like good news, I suspect after multi core server become common (or sooner) it will cost more per processor to license these applications.

    -Frank

  10. Common Sense by fembots · · Score: 4, Insightful

    It's just common sense. Imagine if Ford built a twin-engine car and the government wants to charge twice the road tax....

  11. Bummer by timeOday · · Score: 5, Funny

    Admit it, we Penguinistas are dissapointed :)

  12. Multi core processors, or multi processor cores? by tonsofpcs · · Score: 3, Interesting

    So why don't I just take a bunch of processors, link them together, and claim it is all one processor with multiple cores, and force Microsoft to set its price down to the single processor price???

    After all, a multi-core processor is really just multiple processors in one package, isn't it?

    --
    ./Amiga/.

  13. In related news by thisissilly · · Score: 4, Funny

    I heard that Linux will charge TWICE the current amount as much for Multicore GPL licenses. :)

  14. Thank God by bigberk · · Score: 4, Funny

    Not charging per core, whew, thus reducing our enterprise's total cost of operation!

  15. Key MS quote shines light on thinking.... by Anubis333 · · Score: 4, Insightful

    "...will base the pricing on the number of processors the operating system shows present in the machine"

    1. Re:Key MS quote shines light on thinking.... by kubrick · · Score: 4, Insightful

      Soon it might be like the RIAA and CD burners... "Well, you have a *very* fast processor, so we treat it as 32 processors".

      --
      deus does not exist but if he does
  16. Re:Stupid question by Anonymous Coward · · Score: 5, Informative

    In a quick nutshell.

    Essentially a chip with more than 1 CPU on it.

    Instead of having a dual CPU with 2 fully seperate Xeons (for example), you now (in 1-2 years) will have a single Xeon that looks to the OS like 2 seperate CPUs.

    The part of the CPU that contains the real logic is called the core, and the cache and interface stuff is well the non-core. So, they put the heart of 2 CPUs on a single chip and wrap 1 non-core cache & bus interconnect around it, and call it a dual-core CPU, or multi-core to be generic.

    They make some changes in the bus interconnect to support this of course.

    You'll see it in high end server chips at first and then it'll work its way down to the desktop. Business care about the per CPU licensing because that is usually how they pay for software.

  17. Re:What's today's date? by Anonymous Coward · · Score: 4, Informative

    Is today April 1?

    No, it's October 19th. It's clearly marked right below the subject.

    {and if the mods mark this informative i'll kill my self}

  18. Re:Stupid question by rborek · · Score: 4, Informative
    A multicore processor is a processor with more than one processor core in a single die. So, an example of a multicore processor would be putting two Pentium 4 processor cores in the same processor die, thereby giving the operating system two processors to work with, instead of just one. This is roughly the same as having a dual-processor system, except that because the processor cores are side-by-side they can interact at processor speeds, rather than bus interconnect speeds. It's one method of creating faster computers without having to create new processors, or continually speed up the processor by increasing the frequency.

    The Xeon processors will be the first Intel chips to use multicore processors, and will eventually make its way into mainstream chips.

  19. Re:Obviously by slash-tard · · Score: 4, Informative

    Redhat ES vs AS server are based on CPU.

  20. Re:Good, less copyright violations by lowe0 · · Score: 5, Insightful

    If you hate MS' copyright, why not use software which doesn't impose such a restriction?

    It's not like Bill Gates is holding a gun to your head and forcing you to install Windows. If a free alternative exists, then you have no excuse - you're just freeloading scum.

  21. Re:Obviously by Martin+Blank · · Score: 4, Informative

    Fewer pissed-off home users who don't have to pay an extra fee to use the second 'CPU,' I would imagine.

    But why is this news? Microsoft confirmed this back when Hyperthreading first came out. They were charging on the basis of sockets, not cores.

    --
    You can never go home again... but I guess you can shop there.
  22. Marketing Fluff by null+etc. · · Score: 5, Interesting
    I just ran the linked news article through my Marketing Cut-N-Paste Detector(TM), and have displayed the results below. All phrases in bold are determined to have been directly cut-n-paste from previous marketing articles.

    ... Analysts have warned that software makers might license their server products at double the price for double the number of cores, but many have also indicated that software companies have little to gain from multicore price increases.

    ... Although some vendors have hinted they may charge more for software licensing on multicore processors, most have moved closer to Microsoft's announced stance, which seeks to maintain the status quo without charging more for multicores.

    "Microsoft software that is currently licensed on a per-processor model will continue to be licensed per processor, not per core, for hardware that contains dual-core and multicore processors," the company said in a statement.

    Microsoft said its multicore licensing decision is aimed at driving higher volume and better value with the advent of dual-core and multicore server processors from both AMD (NYSE: AMD) and Intel (Nasdaq: INTC) , which are expected in hardware beginning next year.

    ... "Our customers want to understand software costs as they evaluate the return on investment of new technologies, such as multicore processors," said Microsoft vice president of licensing and pricing Brent Callinicos in a statement.

    ... According to Gartner analyst Martin Reynolds, the fear has been that software vendors would double their prices for dual-core processor coverage, creating big cost jumps for enterprise customers. Gartner recommends customers attempt to negotiate software licenses that count a single-chip device as one processor, regardless of how many cores it carries.

    While some vendors, including IBM (NYSE: IBM) and Oracle (Nasdaq: ORCL) , have signaled they might charge more in licensing for dual-core and multicore products, Microsoft confirmed what many analysts had predicted -- that the addition of processor cores was by no means an opportunity for software vendors.

    Yankee Group senior analyst Laura DiDio told TechNewsWorld that Microsoft was making a proactive move to address the issue, but was also signaling to its customers that it is not a hardware vendor and could not lower software prices along with the dip in hardware costs that comes with the efficiency of multicore chips.

    DiDio said that while customers might benefit from more efficient processors and interaction with the software, they will pay the same rate they've been paying to license Microsoft products with the new hardware.

    "This multicore technology really illustrates the dichotomy between the rapid advancement of hardware capability, which is in turn making issues with how software companies license the technology," DiDio said.

    [Editor's note: I admit that the previous three paragraphs come from an alternate universe in which everyone speaks marketing lingo, and understands each other.]

    Referring to the complexity of per-processor licensing, even without the addition of dual-core technology, DiDio said software makers do not want to be seen as raising their prices, for fear of losing customers.

    Nevertheless, software vendors have proceeded cautiously on the core question, with rivals IBM, Oracle, Sun, Microsoft and others waiting to see how the others approach the issue, partly to learn what works and partly to have the opportunity to counter, according to DiDio.

    She said IBM is in a different situation since it makes money not only from software and services but also from hardware.

  23. Re:Obviously by Vaevictis666 · · Score: 4, Informative
    As mentioned on The Register, they're not doing this so much for the OS side of things, but for the server software. Oracle charges per core, but is MS SQL Server charges per processor, that's half the cost right there. If Oracle or whoever switched models, that's more or less half gross revenue from that product gone.

    Suggested reasoning for this was that we didn't charge more when processors increased in speed by upping the clock rate, so why do it when processors increase speed by adding more cores on the die?

  24. They do, sort of by Anonymous Coward · · Score: 3, Informative

    ...not engines, but axles.

    Many toll roads charge by the axle. So if you have three (ie, you're towing a trailer or you have a big truck) they charge you more.

  25. This just in... by Anita+Coney · · Score: 3, Funny

    General Motors has decided to charge the same price whether you drive on two or four lane highways.

    --
    If someone says he and his monkey have nothing to hide, they almost certainly do.
  26. Re:Multi core processors, or multi processor cores by Carnildo · · Score: 4, Informative

    With multicore, the CPUs are sharing a single memory bus. At the two-core level, this isn't too much of a performance hit, but by the time you hit four cores, you lose most of the benefit of that fourth core to the lack of memory bandwidth.

    Intel's Xeon chips are running into this problem already. A single Xeon CPU has better memory performance than a single Opteron, but a four-way Opteron system, with a separate memory controller and RAM bank for each chip, blows away a four-way Xeon system, since the four Xeons have to share the memory controller and memory.

    --
    "They redundantly repeated themselves over and over again incessantly without end ad infinitum" -- ibid.
  27. in other news... by pizza_milkshake · · Score: 3, Funny

    in other news, Microsoft is switching to a per-transistor licensing scheme.

  28. A sigh of relief... by ConceptJunkie · · Score: 5, Funny

    A sigh of relief rose from the collective pirates of the world, who realized they would not have to spend the extra half-hour hacking Microsoft OS activation for machines with multi-core processors and could instead catch a Simpsons rerun.

    --
    You are in a maze of twisty little passages, all alike.
  29. Re:Obviously by Kehvarl · · Score: 4, Funny

    You forgot about SCO. $699 per procesor, what a highway robbery.

  30. This has to do with Intel, not Microsoft... by GFLPraxis · · Score: 5, Insightful

    I'd expect that this has more to do with Intel than with Microsoft.

    Intel has hit a brick wall. They're having a hard time increasing processor speeds. At some point, they'll realize that the best way to get a processing speed boost is to slap a second core in the processor and call it a Pentium 5 or Pentium 4 Ultra or something like that, and sell it in high end desktops like Alienware.

    Guess what happens if Microsoft charges per core? Intel won't be too happy with them...

  31. Cool, but not necessarily "good" by Lord+Kano · · Score: 4, Interesting

    I'm sure that a part of the decision was not making Linux more attractive for low to mid end servers.

    It's already less expensive than Windows, if they charge more for dual or quad cores, the will really jack up the Windows TCO.

    Microsoft is a business, they want to make money. Sometimes you can make more money by selling things at a lower price.

    LK

    --
    "Hi. This is my friend, Jack Shit, and you don't know him." - Lord Kano
  32. This is why microsoft has been sucessful by twfry · · Score: 4, Interesting
    As much as people don't want to hear it, they have always been smart with how the price licenses. Most other high-end software vendors, such as Oracle, are pricing their software based on the number of cores.

    But microsoft is being smart and realized that 1) 1 proc 2 cores != 2 proc 1 core and 2) people will be happier upgrading their systems under this system.

  33. Re:Obviously by tepples · · Score: 3, Informative

    when you buy windows, the basic version allows 2cpu

    Last time I checked, Windows XP Home Edition allowed 1 socket and Pro allowed 2 sockets.

  34. Choose! by Sampy · · Score: 4, Funny

    Update: 10/20 00:37 GMT by T: One of the identical links to TechNewsWorld's story has now been deleted.

    Yes, but can you guess which one?

  35. Re:Hmmm by sharkey · · Score: 5, Funny
    then again, how many M$ products can you name that DO work ? :)

    Windows 95 (all CD editions)
    Windows 98
    Windows 98se
    Windows Me
    Windows NT4
    Windows 2000
    Windows XP
    Windows 2003
    Office 95
    Office 97
    Office 2000
    Office XP
    Office 2003
    SQL Server 6.5
    SQL Server 7
    SQL Server 2000
    Exchange 5.5
    Exchange 2000
    SNA Server 2.0
    Publisher 98
    Publisher 2000
    Project 98
    Project 2000
    SMS 2
    SMS 2003

    All do a fabulous job of preventing rings from forming on my coffee table.

    --

    --
    "Outlook not so good." That magic 8-ball knows everything! I'll ask about Exchange Server next.
  36. Re:Obviously by Tinik · · Score: 3, Informative

    Yes. WIndows XP counts physical processors. Windows 2000, however, counts logical processors.

  37. But if I rip a CD or DVD on a system with by multiplexo · · Score: 4, Funny
    a multi-core CPU how many pirate burners will the RIAA / MPAA count it as?

    --
    cheap labor conservatives - they want to keep you hungry enough to be thankful for minimum wage.
  38. Sad news. by Fortress · · Score: 5, Funny

    Slashdot readers today mourn the death of their longest standing member, Anonymous Coward. Loved ones say he was driven to suicide by repeated +1 Informative moderation. Cause of death was self-inflicted registration. His fortune of karma, mostly gained from posting the full text of articles from slashdotted servers, is held up in court as no legal will was on record.