There are divergent views on these bundled software-hardware hardware deals. Phil Fersht, CEO of HFS Research, said the main reason services firms involve themselves in licensing is to drive more services revenue around the implementation, support and business transformation associated with the application. “Most of these apps are subject to cancellation in the future as superior and lower-cost alternatives come onto the market. In many cases, services firms do not invest in the technical architectures and many of these apps become antiquated, and struggle to be effective in the cloud,” he said.
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