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MARKET 2005
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DECEMBER 2005 |
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ITRESELLER (SWITZERLAND): GOOD BUSINESS SECOND-HAND SOFTWAREThe swiss branch magazine "iTReseller" reports about "Good Buiness: Second-Hand Software", in its edition 22/05. The new business model includes an enormous saving potential for many companies, since the cost for "used" licences is up to 50 percent lower than the new price. Furthermore, the ever-stricter Inspections lead previously underlicenced companies to begin to purchase licences, du to concern regarding legal consequences. The offerings from usedSoft presented an inexpensive and troublefree alternative. Even Switzerland has become an important market for usedSoft, the leading German used software reseller, reported the magazine. The company based in Munich already earns 20 percent of its total turnover in its neighboring country.
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DECEMBER 2005 |
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NETZWOCHE (SWITZERLAND): "PURCHASE SOFTWARE LESS EXPENSIVELY IN A SECOND-HAND LICENCE SHOP"The Swiss IT sector magazine "Netzwoche" addresses trading with used licences in detail in its cover story. In the article "Purchase software less expensively in a second-hand licence shop" the author explains usedSoft's business model and calls attention to the possibility of inexpensive elicencing through used software: In this manner, previously under-licenced companies can avoid the pressing legal consequences. In particular, usedSoft's commitment in Switzerland, that already comprises 20 percent of the Munich licence provider's total revenue, is refered to. On top of that, solicitor David Rosenthal, specialised in IT sector questions, clears up questions concerning Swiss copyright laws: Here the law that explicitly allows the resale of software that has been sold by the developer is refered to – independent from any possible conflicting clauses in the End User License Agreement.
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DECEMBER 2005 |
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COMPUTERWOCHE: "COLUMN: USED SOFTWARE MAKES MARKET GAINS – FROM CHIEF EDITOR CHRISTOPH WITTE"The Chief Editor of Computerwoche, Christoph Witte, underlines the advantages of dealing with used software licences, in his Column in edition 48/2005. He specifically explains that this is absolutely not a legal gray area, rather a legal right: "Whoever purchases used software, deals absolutely legally," he stated. It is a fact which, due to the legal situation, can't be impeded by software vendors. For this reason Witte suggested that one look at those aspects, which are most advantageous to software vendors. When a user looking to change systems, for example, sells his used licences, he can utilise this money to invest in new applications. Furthermore, the reduction in purchase costs will increase the pool of potential customers and the opportunity for upselling. Fundamentally, Christoph Witt predicts that the retail of used software will cause an increase in the willingness to invest, from which software vendors can undoubtedly profit.
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NOVEMBER 2005 |
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PROFITS: "SOFTWARE AT SECOND-HAND PRICE"Profits, the business magazine from the Sparkassen-Finanzgruppe, recommends, in Edition 6/05, that its readers purchase used software licences. In the section "Rat und Tat" (Advice and Action), usedSoft's business model is presented and heartily offered to savings-oriented managers as a very good savings possibility.
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NOVEMBER 2005 |
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SÜDWEST PRESSE: "INEXPENSIVE HITS OUT OF BITS AND BYTES"Hardware gets cheaper and cheaper every day, but the software remains at its higher price. That was stated by the Südwest Presse in its online article from November 3, 2005 "Inexpensive hits out of bits und bytes", also offering a tip on how one can go easy on his wallet: Companies can save up to 50 percent, as compared with new licences, when they purchase "used" software licences. And they receive absolutely the same products. It is no wonder then, that the market is booming. Alongside serious traders - such as the market leader usedSoft, who ensure originality and completeness and can, therefore, guarantee the legal security for their clients - black sheeps are also cavorting in this market: Experts are warning especially against rash purchases through eBay. Offers of simple update or recovery versions, which are often completely useless to the customer are common.
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NOVEMBER 2005 |
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IS REPORT: "BUSINESS EXECUTIVES ARE LIABLE FOR ILLEGAL MP3 FILES ON THEIR SERVERS".In its November edition, the branch magazine "is report" reported about the CIO Congress in Munich, in its article "Business executives are responsible for illegal MP3 files on their servers". At this congress, which was presented by usedSoft in cooperation with F-Secure, legal representative Wilfried Reiners detailed the legal consequences, which can be levied against business executives in conjunction with IT security and copyright infringement. Should these executives fail to implement antivirus or antispam software, for example, the insurance companies are not liable for any damages occuring from these threats. Should there be a suspicion that illegal MP3 files exist on the company servers, the Attorney General is required to confiscate these for up to 18 months. But just how long can a company survive without servers? Attorney Reiners offered many tips on how one can avoid these consequences for his company.
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NOVEMBER 2005 |
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BILANZBUCHHALTER UND CONTROLLER: "ALTERNATIVE TO NEW PURCHASE: SECOND-HAND SOFTWARE"In its issue 10/2005, the sector magazin "Bilanzbuchhalter und Controller" reports about the increasing pressure for companies to reduce costs. In the article "Alternative to new purchases: Second-hand software", the reporters recommend the purchase of used software, as a substantial means, as their prices are between 25 and 50 percent under the prices for new software. The experts point out that not only the purchasing of used licences is on the rise. There is also a dramatic increase in the number of companies that are recognising their unused licences as stagnant capital and are offering these licences to licence marketers, such as usedSoft. Concerning the legal security, the authors utilise the "Exhaustion Rule" and highlight this in conjunction with the notarial certificate, that is exclusively offered by usedSoft.
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AUGUST 2005 |
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SÜDDEUTSCHE ZEITUNG: "SOFTWARE DOES NOT WEAR OUT"The difference between used cars and second hand software is, for example, that second hand software remains like new. That is also the point made in the article “Inexpensive Software from Second Hand Dealers“, in the Süddeutschen Zeitung on August 2, 2005. In their portrait about usedSoft, not just the economical advantages, but also the legal foundation of used licence sales are presented. The company, based in Munich, has been dealing with the issue of used licensing rights since 2003 and which counts mainly mid-size companies, such as Edeka or Bauer Verlag Das Münchner Unternehmen, among ist customers, is assured of the great potential of dealing in used software and has set ambitious goals, accordingly. By 2010, usedSoft’s turnover should have reached the 50 Million Euro barrier. In that line, public officials should be more directly and intensively addressed in the future.
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JUNE 2005 |
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IT-BUSINESS NEWS: STEEP INCREASE IN THE GROWTH FOR LICENCE RESALEThe IT-Business News reported about the situation of the second hand software market in their Edition 25, of June 20, 2005. An example in the article "Second-hand software instead of new purchases", usedSoft busies itself in large part with the future potential of used licence marketing. Since more and more companies are taking advantage of the savings potential between 20 to 50 %, as well as the decrease in the concerns associated with the legal situation since the BGH (Federal Court of Justice) judgement of 2000, usedSoft predicts a steep increase for the near future. Much more than the sales, the aquisition of used licences will present a huge challenge for the future, according to Thomas Huth, a founding partner of usedSoft. The reason being, that most companies are largely unaware of their excess licences.
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JUNE 2005 |
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COMPUTER RESELLER NEWS: USEDSOFT PAVES NEW PATHS IN SOFTWARE TRADEIn a portrait of usedSoft, in edition 20/05, Computer Reseller News reports about the clever alternative of used software in reducing costs. Companies can save at least 25 % by purchasing used licences or sell unused software licences and make extra capital liquid. The Artikel "Handel mit 'Secondhand'-Software" makes it clear that the company, based in Munich, is the first to establish itself in this innovative market and will also be cooperating with many resellers and system houses, in the near future.
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JUNE 2005 |
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FRANKFURTER ALLGEMEINE ZEITUNG: COMPANY PORTRAIT AND SUCCESS STORY OF USEDSOFTSince 2003, the Munich-based usedSoft has been dealing in used software licences – with continuously growing success. usedSoft CEO Peter Schneider explains why bold courage was necessary during the implementation of this innovative business model in the German newspaper Frankfurter Allgemeinen Zeitung from June 6, 2005. In the article "Der Gebrauchtsoftwarehändler" (The Used Software Dealer). Schneider recalls that his company was confronted with threats from large software vendors. usedSoft didn't really worry too much about it, however. After all, the legality of licence resale had been decisively determined in the year 2000 by the German High Court, through the so called "exhaustion principle". No misgivings, as far as the legal aspects of purchasing second-hand licences is concerned, even for usedSofts customers – among which are very well known companies such as Dohle, Edeka and Markant. For them the primary reason for purchasing used software is the 20% - 50% savings, as compared with the original price. usedSoft feared its competitors as little as it did any retribution from the software vendors. The reason: unlike usedSoft, most of the competition doesn't have the capital to purchase a certain pool of usedSoft licences to keep on hand and dealt, therefore, exclusively on a procuration basis. |
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MAY 2005 |
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CIO MAGAZIN: MORE AND MORE COMPANIES USE THE SAVING POTENTIAL OF USED SOFTWARE LICENCESThe number of companies that are deciding for the clever alternative of software licences, and thereby purchase less expensively, is growing rapidly. For Bernd Hilfers, the IT Manager for Edeka in Northrhine-Westphalia, the enormous saving potential was also a determining factor. In total, he was able to save 66% of the costs by aquiring a large sum of second-hand Microsoft licences from usedSoft. On top of that, he was convinced by the notarised certificate, with which usedSoft validates used licences. The reason: In contrast to other providers of used licences, that deal directly with the vendors, the sale or purchase goes through absolutely without hassle or complications. Direct cooperation with international vendors, on the other hand, is not always easy, as CIO Magazine reported in its 5/2005 edition in article "Echte Schätzchen aus zweiter Hand". Even though the legal security of trading in used software licences has already been difinitively clear for five years, which was confirmed by a highly controversial BGH(German High Court) decision.
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MARCH 2005 |
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SÜDDEUTSCHE ZEITUNG: USEDSOFT MAKES DONATION FOR SZ ADVENT CALENDAREvery year, many companies pay large sums of money for Christmas cards for their customers, with these cards generally landing in the wastebasket. Last year, usedSoft decided to use this money for a much more sensible purpose. They did away with the usual, impersonal Christmas greetings and, instead, supported the "Advents Calendar for Good Will" from the Süddeutschen Zeitung“ with a donation of 2,000 Euros. In total, a sum of almost four million Euros were collected, for this charitable activity that has already been held 56 times, that can now be given to needy people in Munich and the surrounding areas. In an official "Thank You Advertisement" in March of this year, the Süddeutsche Zeitung made the names of all contributing schools, clubs and companies public.
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FEBRUARY 2005 |
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IT-MITTELSTAND: UNUSED SOFTWARE IS WASTE OF CAPITALAbout the tremendous possibilities to save money and the doubtless legitimacy of trading with used software licences, the journal "IT-Mittelstand" reports in its edition 1-2/2005. Representative of Microsoft as well as of SAP confirm in the article "Unvermutetes Tafelsilber" that the trading with used software licences is completely legal. This is also confirmed by the executive director of usedSoft, Peter Schneider, who checked the legality of his business already 5 years ago. The experts also agree that due to the tremendous cost reductions by purchasing used software and the additional benefit by saling no longer used software the demand on this new service will grow very soon and rapidly.
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JANUARY 2005 |
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VENTURECAPITAL MAGAZIN - HOW STARTUP COMPANIES ACQUIRE FIRST CUSTOMERSIn the sixth part of its "How-to ... - a plan for entrepreneurs" series, the "VentureCapital Magazine" proclaims what company founders should pay attention to while aquiring new customers. Along with other founders, usedSoft CEO Peter Schneider also clarifies in his article "The first customers win" how important it is to make the usefulness and competetive advantage of a product more transparent to customers as well as to appeal to the correct target group. In this manner, usedSoft began by concentrating on strictly calculated retail companies. The projected 25% savings resulting from the decision to purchase used software was a convincing argument and provided the first reference customers.
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Top 5 Articles
Computerwoche Online
Edition 10/2006
"Court Decision confirms Resale of Microsoft Volume Licences"
Zeitschrift für Urheber und Medienrecht
Edition 04/2006
"Used software and exhaustion rule: Frame conditions of a second-hand market for software"
Computer Zeitung
Edition 26/2006
"Companies want Second-Hand licences"
Computer Zeitung
Edition 6/2006
"An artificial differentiation"
Deutscher Vertriebs- und Verkaufs-Anzeiger
Edition April 2006
"Why does software have to be expensive? No wearout guaranteed: " Used" software"
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