September 2000

HP is shifting its software and compiler prices as it tosses out tiers

HP dropped four of its seven pricing tiers for its e3000 software products on Sept. 1, increasing the cost of languages like COBOL for some customers while decreasing them for others. Now HP’s software schedule only includes the 310, 330 and 340 tiers, a shift that matches the adjustment made in operating system software pricing last year. The old 315 and 320 tiered systems get the 310 pricing, while 335 systems shift to 330, and 350 machines go to tier 340. A COBOL compiler that cost $2,870 for Series 918 and 928 systems before the adjustment now costs $3,500, but a Series 947 customer also qualifies for the $3,500 price, a reduction of more than 50 percent. HP folded the Series 959 and 967 systems into the 330 tier, cutting the compiler price by $3,400. But owners of the top-end boxes, the Series 979, 989 and 99x, will pay an extra $2,450 for their compilers. The changes also affect software like HP’s Glance Plus and Mirror Disk/iX software in addition to the languages.

HP said the changes took place “to decrease the number of options that customers need to choose from. The resulting ease of sale to the customers will reduce confusion for the customers. Having a consistent infrastructure will reduce any overhead associated with licensing compliance at the customer site, for ISO quality and audit purposes.” HP is also adding a new product number, B9112AA MPE/iX Instant Ignition, to replace its 51453B option 0D1 for factory pre-installed MPE/iX FOS, databases, add-on software products and network link licenses on new 9x8 and 9x9 systems. Customers upgrading from old tiered systems that have been discontinued will get credit for the lower tier system that is closest to their discontinued tier. For example, customers with systems on tier 315 or 320 upgrading to tier 330 will only receive a tier 310 credit. Customers with systems on tier 335 upgrading to tier 340 will receive a tier 330 credit.

HP said that because its hardware and software pricing were on a different models, “these different configurations create confusion in the ordering of products, increase overhead costs for HP, and make it tough for channel partners to do business with CSY.” Details are available from any HP authorized channel partner; the current price schedule is the HP e3000 Business Servers Ordering Guide U.S.(5968-8862EUS), while the new configuration guide is HP e3000 Business Servers Configuration Guide (5968-8860E).


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