Wednesday, April 1, 2009

New pricing structure coming next year

Autodesk has announced that starting next year they will be going with a new ‘simplified’ pricing model for upgrades and cross-grades.

Once 2007 becomes retired (as of March 16 2010), Autodesk will no longer offer a 3-tier price structure for upgrades / cross-grades to the current version at that time. Rather, all upgrades and cross-grades to the current version from previous versions will be 50% the cost of a new license, while cross-grades from a current version to another product will be about 20% the cost of a new product license. Legacy versions (versions older than 3 versions back) are not included in this and the Legacy program will continue at 30% discount of the price of a new product license when Subscription is purchased.

So let’s look at an example to illustrate this:

THIS YEAR
AutoCAD 2007 to AutoCAD 2010           $1795
AutoCAD 2008 to AutoCAD 2010           $1195
AutoCAD 2009 to AutoCAD 2010           $595

NEXT YEAR
AutoCAD 2008 to AutoCAD 2011           $1998
AutoCAD 2009 to AutoCAD 2011
          $1998
AutoCAD 2010 to AutoCAD 2011
          $1998


As you can see, this is a lot of different cost to you especially if you are only 1 or 2 versions behind.

So why is Autodesk doing this, well, it is to encourage users to put their licenses on Subscription.  In the example above, Subscription costs $450 a year - multiple that over 3 years and you have paid $1350 versus the $1998 upgrade cost. That's a huge difference in cost to net you the exact same product in the end.  Now, also remember all the extra benefits Subscription includes - extra software extensions, e-learning, web support access, license management, etc.

Autodesk has announced an aggressive promotion to help 'transition' you before next year's changes - details of which can be found at
http://usa.autodesk.com/adsk/servlet/index?id=7176852&siteID=123112.

In summary, it goes like this:

    Phase 1:    May1 – July 17

                     30% off with Subscription

                        20% off without Subscription

    Phase 2:    July 18 – October 16

                    20% off with Subscription

                        15% off without Subscription

    Phase 3:    October 17 – January 15

                     10% off with Subscription

                        reg price without Subscription

This promotional pricing is applicable to upgrades and cross-grades from 2007, 2008, and/or 2009 going to a 2010 product.

NOTE: that the best period is between May 1 and July 17

All prices above are based on US$ MSRP.



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