A new survey conducted by IT provider Probrand has found that a staggering 87 percent of businesses do not have the correct software licences to cover their number of users – meaning they’re either wasting money on over-licensing, or are leaving themselves exposed to legal action from under-licensing.
Probrand believes lack of understanding and the complexity of software licensing contribute to the problem. Time strapped SMBs have the biggest under license issue, says the firm.
“Many businesses are so confused or timer and cash strapped they are allowing software licenses to lapse without renewal,” explains Probrand software department lead, Rachel Campbell.
“Alternatively, businesses are renewing without re-counting the number of licenses they actually need. This leaves them under or oversubscribed using the same license for multiple machines or renewing licences for PCs or users no longer with the business.
“Put simply, 87 percent of businesses are either wasting money on over-licensing or are at risk of court action due to under licensing their user base.”
Larger organisations are more likely to comply with greater resources to manage software licensing, so enforcement organisations and software vendors are now moving their focus to smaller and potentially more defenceless businesses, claims Probrand.
“SMBs in particular have the biggest under licence issue and are most at risk of legal challenge,” Campbell continues.
“The renewal of software or Software Asset Management is a big problem for private and public sectors alike. Indeed growth organisations have an issue when they forget to add seats when they recruit new staff.
“Put simply, from an asset management perspective, the intangible license often gets forgotten. But compliance is critical.”
The survey coincides with Probrand opening a specialist software licensing department and free support line to help businesses tackle the software asset management nightmare.
