Is IBM Tailored Fit Pricing a Good Fit For You?
Overview: With it’s new Tailored Fit Pricing, IBM moves toward individual price customization with two pricing models centered around consumption and capacity, respectively. An upcoming webcast will explain the models and help you decide if they’re right for you.
In its latest pricing design, IBM has moved further in the direction of individual customization of price with Tailored Fit Pricing, i.e., “only pay for what you need.” From its history of charging a set price for software licenses based on your total hardware capacity to the more recent Rolling 4-Hour Average (R4HA) schema, IBM has moved in the direction of trying to look more cloud-like. For many shops, this looks like good news. The R4HA model meant careful architecting of Sysplexes to try to limit costs; the effort was time-consuming and often didn’t yield the cost-savings people hoped for. In addition, “capping” often resulted in impacts to user experience, a dreaded consequence given the need for maximum responsiveness of your customer-facing systems.
Tailored Fit offers two options: Enterprise Consumption Model and Enterprise Capacity Solution. Both eliminate capping which means you don’t have to manage so carefully to meet your service level agreements (SLAs). No one has the time to micro-manage their LPAR software usage anymore. The options also include increased capacity for development environments. Finally, the pricing model is aggressive for any type of workload growth without the necessity to gain approvals or track changes.
The Enterprise Consumption Solution works by measuring MSU consumption hourly then charging based on the number of MSUs consumed annually. This approach smooths out the inevitable seasonal variations or workload changes based on new product/service offerings by your company.
The Enterprise Capacity Solution charges based on the estimated mix of workloads though there is flexibility to vary actual usage. It takes into account the actual size of the physical environment. Fixed monthly costs include increased capacity for development and test work along with a reduction of the cost for all types of workload growth. If aggressive growth is anticipated, this might be the perfect model for you.
Given the cost, time and challenges of frequent hardware upgrades, these offerings may appeal to a lot of companies who are looking for some of the flexibility and simplification they enjoy in the distributed world. It further reduces the reasons to migrate off the mainframe and lets companies continue to enjoy the many benefits attributed to mainframe environments, such as: security, availability, performance, and scalability.
Compuware’s Glenda Lyon, Global Mainframe Performance Solutions Director, and Scott Chapman, CIO & Director of Software Design & Development, Enterprise Performance Strategies, will present, “What You Need to Know About IBM Z Tailored Fit Pricing” on Thursday, March 26, 2020 at 11:00 AM EDT. Join them to get the lowdown on these new models so you can determine whether Tailored Fit Pricing will fit your environment. Bring your questions; Glenda and Scott look forward to helping you make the right “design” choice.
Tailored Fit Pricing may not be for everyone, but it could be the perfect solution for you. Register here.
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