Enterprise software giant SAP has announced that it will be increasing flexibility for customers with on-premise licenses, where businesses will now be able to replace existing on-premise licenses and maintenance with alternative on-premise solutions.
In a separate announcement released today, SAP said customers that do not want to take advantage of the flexible licensing options being put forward will be able to abandon usage rights of certain existing software licenses and request the corresponding maintenance termination – without purchasing new SAP on-premise or SAP cloud solutions.
SAP said that a request to part-terminate a licence “will lead to a re-discounting of the customer’s individual maintenance base for the product family in which the reduction is requested. This will span across all contracts in which the product family is included.
“This re-discounting will be done based on volume list price discounts only.”
However, SAP admitted that it “cannot predict the economic attractiveness of this model, as original contract terms may vary substantially. Customers will need to work directly with their SAP account team to assess this option.”
