You obviously don't dial in to the NTAP conference calls. Likewise you also don't understand how margin is calculated. Costs to develop, maintain and extend the functionality of WAFL and ONTAP are included in the margin costs. Years ago, before about 2004, NTAP offered something no one else could offer, and could demand extremely high margins (70+ %). Today there are too many commercial alternatives, which offer excellent support and cost far less over time. IMHO NTAP stock is suffering because of their Draconian strong arm techniques which cause old equipment to become worthless because of the cost to relicense it. It's time NTAP management reevaluate their licensing practices and figure out ways to get new customers using their equipment. Failure to do so will be at their peril, and will lead them down the path of other great companies such as DEC.
----- Original Message ---- From: Glenn Dekhayser gdekhayser@voyantinc.com To: Scott Baker buyandsell2k5@yahoo.com; "Darragh, Stephen J (CSC) (US SSA)" stephen.j.darragh@baesystems.com; toasters@mathworks.com Sent: Thursday, April 24, 2008 8:39:37 AM Subject: RE: Licensing Question
Message Margins are one thing; more important and telling is the net, which reflects the costs Netapp incurs to maintain and support ONTAP, as well as continue to develop new feature sets that benefit their paying customers. And remember that Netapp is not a .org. They are entitled to make a profit. If you don't like that, go download linux and whatever other free software you like, just don't expect to get the kind of support Netapp provides.
Again, no enterprise software developer (SAP, Oracle, etc) that I know of allow the uninhibited transfer of license ownership and/or support. Why should Netapp be any different?
Glenn
From: owner-toasters@mathworks.com on behalf of Scott Baker Sent: Tue 4/22/2008 9:06 PM To: Darragh, Stephen J (CSC) (US SSA); toasters@mathworks.com Subject: Re: Licensing Question
In order to raise the price of NTAP stock.
As soon as the hardware is traded-in it's useless, unless you put a new license on it and pay up the wazoo for that new license. Why do you think their margins are so high. Read the annual reports.
----- Original Message ---- From: "Darragh, Stephen J (CSC) (US SSA)" stephen.j.darragh@baesystems.com To: toasters@mathworks.com Sent: Tuesday, April 22, 2008 8:54:49 AM Subject: RE: Licensing Question
Hello,
Why wouldn't you allow the software to move with the hardware even if its not the original owner?
I am sure you have valid reasons and it would be nice if you could convey those to all these people who use your product.
Thank you Stephen Darragh
-----Original Message----- From: owner-toasters@mathworks.com [mailto:owner-toasters@mathworks.com] On Behalf Of Warmenhoven, Dan Sent: Monday, April 21, 2008 10:14 PM To: Kryder, Andy Cc: ScottUCE@aol.com; toasters@mathworks.com; voiperster@gmailcom; Roach, Steven Subject: RE: Licensing Question
Hi Andy,
As General Council, would you please ensure that none of our software licenses are transferable, and if any have been transferred illegally that the people responsible are dealt with in a appropriate manner.
Thanks
Dan
From: ScottUCE@aol.com [mailto:ScottUCE@aol.com] Sent: Monday, April 21, 2008 7:02 PM To: Warmenhoven, Dan; Roach, Steven; voiperster@gmail.com; toasters@mathworks.com Subject: Re: Licensing Question
Union Computer has been selling discounted and used NetApp systems and add-ons, including filers with transferable software licenses, for over ten years.
Of the nearly 300 companies to whom we have sold NetApp hardware during this time, dozens have been purchasing used filers for which Network Appliance, Inc. is obligated to transfer the software licenses -- free of charge.
Nonetheless, it is true that most NetApp filersʼ licenses cannot be transferred to new users; as such, many of these units will sit in our warehouse until they can be sold for parts, maintenance sparing, testing and backup.
Scott
Scott Fischmann Union Computer Exchange, Inc. 7600 West 27th Street Building B1 Minneapolis, Minnesota 55426 scott@unioncomputer.com 952.935.7282 - Office 952.240.6835 - Mobile (urgent calls only)
"Helping our customers make each dollar go further - since 1991!"
In a message dated 4/21/2008 7:51:00 PM Central Daylight Time, DanWarmenhoven@netapp.com writes: None of NetApp's software licenses are transferable, and they never have been in my 14 years as CEO.
Dan
Dan Warmenhoven Chairman & CEO NetApp, Inc. 1-408-822-6600 Direct dan@netapp.com www.netapp.com
From: ScottUCE@aol.com [mailto:ScottUCE@aol.com] Sent: Monday, April 21, 2008 4:29 PM To: Roach, Steven; voiperster@gmail.com Cc: toasters@mathworks.com Subject: Re: Licensing Question
Peter:
Some used NetApp filers DO have transferable ONTAP licenses. We have been providing them for many years and would be happy to answer any questions you might have.
Scott
Scott Fischmann Union Computer Exchange, Inc. 7600 West 27th Street Building B1 Minneapolis, Minnesota 55426 scott@unioncomputer.com 952.935.7282 - Office 952.240.6835 - Mobile (urgent calls only)
"Helping our customers make each dollar go further - since 1991!"
In a message dated 4/21/2008 9:27:37 AM Central Daylight Time, Steven.Roach@netapp.com writes: Peter,
If all you wanted was access via FCP that is the only license you would need, a software subscription also would be needed so you can download the Data OnTap.
A hardware subscription would not be a bad idea. Not sure how much the cost is, I would certainly have a conversation with your local NetApp Sales guy or a Channel Sales rep.
On 4/20/08 10:33 PM, "Peter Rosenthal" voiperster@gmail.com wrote:
Thanks Steven,
Is the FCP license all that is required or is there some sort of base license. Any ballpark figure on the license cost?
Thanks.
2008/4/21 Roach, Steven Steven.Roach@netapp.com: Hey Peter,
Resetting a password is very easy, During the boot hit Control + C to enter in to Special Menu and one of the options there will allow to you to reset the password.
Licenses are a whole other story. Licenses do not transfer with Used equipment. If you buy a used FAS270 will have to buy an "FCP" license to access it over Fibre Channel.
From: Peter Rosenthal [mailto:voiperster@gmail.com] Sent: Sun 4/20/2008 6:36 PM To: toasters@mathworks.com Subject: Licensing Question
Hello,
We are considering getting some used netapps equipment. I am mostly concerned with the pitfalls of licensing and would be grateful for any pointers.
Specifically we are currently looking at a FAS270. We want to connect it via fibre channel to a FC switch and then two FC HBAs on different hosts. I do not want to end up with a door stop product and therefore I would like to know if:
Will I have any problems resetting any existing passwords that might exist on the filer? Is the license required to access the filer via fibre channel optional or will any licensed filer support it?
Thanks.
NetApp Steve Roach Mobile (215)237-1660 Support (888)463-8277
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