One argument I’ve seen in support of the all-rental software model is that it will rake in lots of cash from those users who aren’t currently customers, i.e. pirates. Here’s an example (Carl Bass, November 2016):
We believe some of these people were previously pirating the software and now have a much more affordable option with product subscriptions. This is consistent with the fact that emerging countries are some of the fastest growing areas for product subscriptions. In other cases, these new users have been using an alternative design tool and could now afford software from Autodesk.
Putting aside the correlation-does-not-imply-causation thing, rental simply isn’t a much more affordable option than perpetual licenses. On the contrary, it’s much more expensive (except for short term use). Repeating an #AlternativeFact doesn’t make it any more true.
The idea that people who had been using non-Autodesk software have switched over to … Full post →
Having established what happens when Autodesk claims to have no plans to do nasty anti-customer things, (it goes ahead and does them), let’s examine another nasty anti-customer thing it hasn’t got around to doing. Yet.
Will Autodesk discontinue the maintenance program that allows customers to keep their perpetual licenses up to date? Let’s see what Autodesk has been prepared to put in writing so far:
There are no announced plans to end maintenance subscriptions.
Here are some statements from Autodesk about not having any plans to do some things. Things that the more paranoid among us suspected were always in the pipeline. Things that seemed to be just joining the dots along a predictable path Autodesk appeared to be taking. Things that later ended up happening. But nevertheless things that were, apparently, unplanned.
How does he go? On a positive note, top marks for creative writing! The general theme is a strained and somewhat Californian analogy in which perpetual licenses are like canned goods (bad), and rental is like fresh produce (good). However, it’s presented well and professionally written. Among the highlights are:
Perpetual software licenses are like high-fructose corn syrup – no, I’m not making this up. Stop laughing at the back there!
This is a change that is simply a better experience for everyone – everyone who … Full post →
Before I get started, I want to clarify the meaning of the word ‘subscription’. For about 15 years, the word Subscription (note the initial capital) meant something specific for Autodesk customers. It meant you had bought a perpetual license and instead of paying for periodical updates, you paid for a year’s Subscription in advance. In allowed access to any new release that appeared during that year plus various other benefits.
That thing that was once called ‘Subscription’ has now been renamed ‘maintenance’ (no initial capital) in Autodeskspeak. So what does ‘subscription’ (no initial capital) mean? Rental. You pay in advance for use of the product for a period and when you stop paying, you stop using the product. This is now the only way to obtain Autodesk software you don’t already own. In addition to access to any new release that appears during the subscription period, it provides other benefits … Full post →
If, like me, you’ve been receiving increasingly eager Autodesk emails urging you to action, you’ll already be aware that Autodesk will end the sale of its last remaining perpetual license software lines on 31 July 2016. The End Time has already arrived for AutoCAD, so the only way you can now buy any form of AutoCAD perpetual license is as part of a Suite, and you must also commit to a maintenance plan. Of course, any Suite is substantially more expensive than AutoCAD, both in terms of initial cost and ongoing maintenance fees. However, if you only buy software and aren’t interested in renting it, this is your last chance to do so. (Or is it? There’s always the possibility that Autodesk will abandon its all-rental strategy in order to stave off its losses, in which case all bets are off).
I have some important information to share with you.
As we continue our transition to a fully subscription-based business, we remain committed to providing you greater value, more flexibility, and a simpler way to access the Autodesk software you need.
On August 1, 2016, we will introduce Autodesk industry collections and end the sale of Autodesk Design & Creation Suites.
Industry collections will provide you access to a wide selection of the essential Autodesk software for your profession. They will offer immediate access to new technology, cloud services, and several licensing options. In short, industry collections will give you the freedom to access the software products you want, when you want them. Learn more about the industry collections here.
In an email to Subscription customers, Autodesk made several announcements about its Autodesk 360 Cloud services.
Subscription users now get 25 GB per seat of Cloud storage, up from 3 GB. Non-Subscription users who create an Autodesk 360 account get 3 GB. The intent here, as with the trebling of upgrade costs, is to get you hooked on Subscription so you become a permanent revenue stream.
More services are now available, apparently, but the list of services looks about the same to me. The table that lists which services are available for which products can be found here. If you’re an AutoCAD user, the only service available is Autodesk 360 Rendering.
The services are now metered. You get a certain number of “cloud units”, and these are eaten up as you use the services. A standard AutoCAD user (with Subscription) gets 100 units. Each render costs you 5 units, … Full post →
Here in Australia, we’re in election mode, so I have even more reasons to avoid watching TV. On those occasions when I do watch it, I am often annoyed by what I see. This is not a novel observation, but one of the things that annoys me about many politicians is their habit of sidestepping questions when interviewed. It also annoys me when interviewers fail to follow up these non-answers and let them slide. Depending on the circumstances (e.g. limited timeframe, more important questions to ask, etc.), there may be valid reasons for journalists failing to chase after legitimate answers in a live interview situation. But I would much prefer to see a non-answering interviewee tied down and not allowed to wriggle free. Squirm, baby, squirm!
For on-line journalists and bloggers, there are few excuses for letting non-answers go unchallenged. There is virtually unlimited time, opportunity and column space in … Full post →
I have a request for follow-up information arising from this interview. I hope you can find the time to provide some answers.
Preamble: Several people have called into doubt your assertion that the simplified upgrade policy affects only a tiny minority of your customers (you seemed to imply a figure of around 3% non-Subscription customers, with 1.5% who upgrade within a year or two). My own calculations based on Autodesk’s latest published financial results indicate that of upgrades represent 21% of the combined income from Subscription and upgrades, which is 7 times greater than the impression you gave in your answer. Please see this post for more discussion.
In my recent interview of Autodesk Subscription VP Callan Carpenter, he made these statements:
…there is a very small fraction of our revenue that comes from upgrades at this point in time.
We’re down to very low single digits of customers who upgrade, and of those only half of those upgrade 1 or 2 years back. So we’re talking about approximately 1.5% of our revenue that comes from customers upgrading 1 and 2 versions back.
…[customers who upgrade] 1 or 2 [releases] back, a very small percentage of our customer base, less than 2% of our customer base that was buying those upgrades.
Others are calling those numbers into doubt. Deelip Menezes (SYCODE, Print 3D) estimated the numbers of AutoCAD users not on Subscription at 66% (or 43%, depending on which bit of the post you read), by counting the AutoCAD releases used by his customers … Full post →
This 5th post concludes the Callan Carpenter interview series. For the record, this interview was done in real time over the phone, with no prior notice of the questions.
SJ: The 12-month cycle that you have for most of your software has come under some criticism from all sorts of people, especially me. Once you have your customer base practically all on Subscription, what’s the incentive for the 12-month cycle to persist?
CC: In what way have you criticised the 12 month cycle?
SJ: In that it damages the product. In that there’s not enough time to release a properly developed product within that 12-month cycle. This is an observation that many people have made going back many years. That’s the basis of the criticism; not that, “Oh no, you’re giving me more software”. Well, there are people who complain about that but I don’t think that’s a valid criticism. … Full post →
SJ: There is always the fear that once you have all of your customer base on Subscription, you’re not going to need to offer those benefits any more. Can you assure people that that’s not going to be the case, that you are going to keep being “nice” to your customers?
CC: Absolutely. I think my team and I spend as much time and brain energy trying to figure out how to enhance the program as anything else. Our goal is to make Subscription a compelling value proposition; to make it not only cost-effective but valuable in other ways. An example would be the Advantage Pack program. We had a history of Subscription including extensions and other little technology bonuses for subscribers. But last year, we said we’re going to do something different with that. One of the problems with our historical technical … Full post →
SJ: In one of my blog posts, I was pretty cynical about one of the phrases used in the press release: “the streamlining of upgrade pricing based on feedback from customers and resellers”. Was I wrong to be cynical about that? Did your customers really ask for upgrade prices to be increased to some nice round number?
CC: What our customers have asked for is simplified purchasing. We have a very complex price book and it leads to thousands of prices items, maybe tens of thousands when you have all the permutations across all the different geographies in which we sell software. A lot of that complexity came from having multiple-step upgrades, multiple-step crossgrades. There is a cost to maintaining that kind of a system. So our resellers certainly were asking for simplification and streamlining explicitly. Our customers were asking to find ways … Full post →
SJ: Is there anything specific you want to say about what I have written in my blog?
CC: There are a number of things we can do to put Subscription questions and Simplified Upgrade Pricing into context. I think the first thing we need to recognise is that there is a very small fraction of our revenue that comes from upgrades at this point in time. For the last 8 years or so, our customers have fairly well self-selected to either prefer to be on Subscription and have the latest version and technology available to them, or to not do that, in which case they tend to upgrade 3 years or more after the current release. We’re down to very low single digits of customers who upgrade, and of those only half of those upgrade 1 or 2 years back. So we’re talking … Full post →
It was good to see Autodesk react to criticism of AutoCAD 2011’s browser-based Help with an acknowledgement of the problems and an attempt to provide a workaround by making a zip file of CHM files available for download. That’s much better than ignoring people’s concerns, denying the validity of those concerns or shooting the messenger, which has been known to happen in the past.
However, there are some holes in the workaround, only some of which can be filled.
Under 64-bit Windows 7, the Search pane is blank, as it is in the CHM Help for earlier releases on that platform. This is stated on the download page. Index works well, but Search doesn’t. As Search is one of the worst aspects of the browser-based Help, this is a rather unfortunate.
There is no obvious way of making the CHMs provide contextual help. Don’t bother pointing at acad181.chm … Full post →
I’m still looking for your questions about Autodesk Subscription and upgrade policies and pricing. No matter what you think about that, you have to admit that Autodesk’s current policies are less anti-customer than those inflicted on SolidWorks users.
Disallowing bug fixes for non-subscription customers is reprehensible, no matter what kind of spin is put on it. Not only that, it’s clueless. So you’re annoyed at Autodesk for whatever reason and are looking for alternative software from a company that doesn’t mistreat its customers? You know not to even bother looking at SolidWorks, don’t you?
Apparently, AutoCAD 2011 has been available for download for the best part of a day.
Here’s my experience so far. As a Subscription customer, I can see a bright new Get Your Upgrade button, and if I click on that I get an AutoCAD 2011 English link to click on. So far so good. If I click on that link, I get only this:
Error Message You are currently not authorized to download from this Account.
I have contacted my reseller to try to work out what is going on. In the meantime, I’d be interested to know if any of you are having the same problem.
What has your download experience been like? Did it work? If so, how long did it take? Any issues with Autodesk download manager or your own? Did you do a Subscription download or the trial version? Did you choose to … Full post →
While a lot of you are running one of Autodesk’s current-model products, there will be a very large portion of you that are using something older. This post is addressed to the latter group. Even if you’re on Subscription and have the current release available, but have chosen to keep running an older release, this question is still addressed to you. In fact, even if you’re now using the current release but have avoided installing some releases in the past, so at some stage you didn’t use the current release, I’d still be interested to hear your answer to this question.
I’d like to hear your experiences with the support that is part of the Autodesk Subscription package. My own experiences have been mixed, but I’d like to hear from you rather than push any particular barrow. Have you used it? Good, bad, indifferent, all of the above? Is it timely, efficient, knowledgeable, clearly communicated?