HCL announce 15% price rise in software licensing

IBM

HCL announce 15% price rise in software licensing

The following analysis was compiled by Piaras MacDonnell, IBM license expert at License Hawk in response to the recent announcement of a 15% HCL price rise.

HCL price rise

Yet another of the tier 1 software publishers have announced a price rise. HCL announced on their website a 15% uplift in both support and list price to take affect from the 15-July-2023.

HCL are best known for taking ownership of many of IBM’s legacy products including Domino and BigFix. The announcement HCL Software Renewal Statements was made via the customer support portal.

No detail was provided on whether all products would be impacted or if there would be differences by country. The general statement on price variations was provided:

“prices and uplifts may vary depending on the unique selling scenarios, including multi-year renewals, expansion license sales, cross-selling a new product into the customer portfolio, conversion to term licensing, and other selling and promotional opportunities”

HCL has followed the lead of IBM, Microsoft and SAP with significant increases in support and list prices since the start of 2023.

Next Steps: How to combat the HCL price rise

An organisation should first check if they are using HCL products. Special attention should be given to any legacy products from IBM. Also when the enterprise agreement renewal date is due.

The license position for each HCL product should be refreshed with costs added so the impact of the price increase can be modelled. Add any planned purchases to the model.

Identify if there are products that can be reduced, substituted or support cancelled.

Now the business can evaluate options in advance of negotiations with their HCL account manager.

Resources

• HCL Software Renewal Statements – Recent Announcement
• HCL Software Support Guide
• HCL Product Lifecycle to research HCL products

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