Microsoft Testing "Pay-As-You-Go" Software

seriouslywtf writes "Microsoft has quietly rolled out a pay-as-you-go software system in a few countries (South Africa, Mexico, and Romania) to test out how the public reacts to software rentals. Part of the current service includes a ~$15 fee per month to use Office 2003. If the service goes over well, Microsoft is considering extending the program to include other software or other countries. From the article: 'Are we moving towards a rental model for software? Despite the success of programs like Software Assurance, and the FlexGo program, it doesn't seem as if the traditional model of software sales is ever going to go away. Consumers still like the option of buying complete software packages. However, for places where the price of software keeps obtaining legitimate versions out of most people's reach, a rental program may be a useful alternative.'"

Comments

1 Year=$180

[morgan_greywolf]

So, we take $15*12=$180. Office 2003 Small Business can be had for as little as $145. If you use Office at least once a month, then 'pay as you go' is simply not cheaper. Yet another example of 'cheaper is not always cheaper.'

Not exactly a surprise

[Dr. Manhattan]

"I remember saying [...] that people would spend more money on software than on hardware. We certainly haven't passed that milestone by quite a margin. But particularly as software as a service becomes a reality [that might change]." - Bill Gates, Newsweek, September 18th 2000