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Is the New Licensing Option for Windows XP Worth the Cost?

On October 1, Microsoft announced a new licensing option for Windows XP Professional directed at businesses that have discovered that their computers are running allegedly unlicensed copies of the operating system. Dubbed the “Get Genuine Windows Agreement” (GGWA), the program offers interested companies the perhaps superficially attractive opportunity to purchase operating system licenses for their affected computers at a volume licensing discount. However, in order to be eligible for the discount, those companies must sign an agreement including an “acknowledgement of legalization,” a commitment to purchase legal software in the future, and a clause giving Microsoft the right to audit the company’s computers to ensure compliance with applicable license agreements. Moreover, the licenses acquired under the agreement apply only to the computers for which they were initially purchased and are non-transferable. More details on the program are available here.

While GGWA might present a cost-effective solution for some businesses that have discovered the presence of unlicensed Windows XP operating systems on their network, those savings should be weighed carefully against the costs inherent in the agreement’s terms. Interested businesses should take care to ensure that they have an effective software compliance initiative in place before giving Microsoft or any other software publisher the right to conduct a compliance audit in their environment. Businesses should also carefully consider the legal ramifications of signing a written admission that their computers have been running unlicensed software. For many, the incremental cost associated with purchasing licenses under other licensing frameworks may present a better long-term value.

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This page contains a single entry from the blog posted on October 23, 2007 10:36 AM.

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