Management Costs Rise for Virtual Machines

A change in Microsoft's licensing models will raise prices for Microsoft's management tools in organizations that use virtualization technologies. The company is moving from a model in which its OS, application, and backup management utilities were licensed per device; instead, it will license them per operating system environment (OSE). The change gives Microsoft a way to monetize the trend toward virtual machines even though its virtual machine management software trails the market leaders. However, customers may balk at higher prices.

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