Dilbert: Software License and It Will Never Work Video. By Scott Adams. [Video file]. Retrieved from http://www.youtube.com/watch?v=_y7Jcqfhh4s.
Although this is a just a silly clip of Software Licensing, it shows an interesting example of how software licensing is sort of this comically long, cover-all-your-bases, agreement. But in reality if these licenses were not in place, it would be very difficult to protect the rights of the software developers. The rest of this post is just some basic information about Application Software Licenses.
EULA---(End User License Agreement)---This is a contract that states how software can be used. The EULA not only protects the creator's rights but also the rights of the user. Below is an example of an EULA agreement for Microsoft Word that I captured using Jing.
Many times a user agrees to the EULA by simply running the software, other times the user must check a box that accepts the terms of use before they are allowed to finish installing the program. Some programs even require the user to use special hardware dongles (a dongle is a piece of hardware that acts as a licensing agreement for certain programs). In order to use the program the user must attach the hardware to their computer...this is a great option for people who want to use the program on multiple computers.
There are a number of different types of licenses to be aware of...
Commercial Licenses---Basically software that is for sale.
- Individual License---Can only be installed on 1 computer.
- Multiple Users---There are many different options for multiple users.
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Per-Seat License—Buying a license for each person using the software.
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Site Licenses—This license covers all installations at a given site (great for large businesses).
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Per-CPU Licenses—Only a few computers need the software (good for really expensive software).
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Trial License—Trying a program for free (this can be in the form of limited time or limited features).
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Developer License—Type of trial license made specifically for developers.
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Freeware—Type of license that is completely free (these licenses are used to arouse user interest).
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Shareware & Donationware—Free to try and then users are “encouraged” to purchase (these programs are usually low cost).
Open Source Licenses--- This is software that is distributed (usually for free) with access to the application's source code. Users can modify code and then re-sell the program. Some examples of Open Source Licenses are: Open Office, Linux, Mozilla Firefox, 7-Zip, and WordPress.
Open Source software usually has excellent community cooperation. What I mean by community cooperation is that, not only do online communities help each other solve problems with the existing software, they are also constantly trying to make the software better and easier to use.
Enforcement of Software Licenses---There are several options for enforcing software licenses.
A great article at eHow.com discusses some of the different steps you can take to enforce software licenses. Some of the suggestions are using encrypting software, enabling a fail-safe component, and creating an authentication system for programs. You can read the article for yourself at... http://www.ehow.com/how_2102715_enforce-software-license.html
Recently, the government has stepped up enforcing fines and punishment for software piracy. According to an article from the Better Business Bureau on the penalties for software piracy, “Criminal penalties include fines of as much as $250,000 and jail terms of up to 5 years”. Read the entire article here at...http://www.bbb.org/us/article/computer-software-piracy-406
Knowing the different types of software licenses available to a company and the importance of using that software within the permitted rights, is an important tool for a manager. Once a manager learns the different options available to them, they can not only save their company money, but avoid legal penalties as well.
