Hello all,
Some of you may remember the sayings from your parents. "There is no such thing as a free lunch" which may seem to contradict with "The best things in life are free", but I suggest that they go hand in hand. Because since nothing is free, the best things in life are not available.
I was recently approached by someone from outside a particular business. who resells their consulting services. They asked to have software installed on the network, because "It's FREE!"
I immediately responded, "Really, it's free? GREAT, then you can host it for us for FREE then, right? And train us for free, right? Since it really doesn't cost anything, you can do it all for us for FREE.....GREAT!"
"Well, the software is free, but you have to install it"
"I charge $175 per hour, but you told me it is FREE?!?! I have to buy a server and use my electricity? You mean I have to update it and take care of it too? Now, it is not free? So what is it, free or not free?"
I had a pretty good time with this because this particular technology professional really doesn't know much about technology, but proclaims that they do. It gives me personal satisfaction when I am able to expose that the King is wearing no clothing. The bad part is that the King has powers and has used those power to make my life difficult.
The discussion progressed as we talked about this Free software. So we began to add up the costs together.
Dedicated Server to host the Free Software: $4500 (replace after 3 years)
Install and configure Free Software: 4-6 hours at $175/hr. ($875)
Annual maintenance/updates to Free software: 10-20 hrs at $175 ($2625)
Annual system break/fix and user training for FREE software: 10-20 hrs at $175 ($2625)
Added bandwidth/network/security/firewall costs for FREE software: $2500
Electricity/AC/rack space for FREE software: $2400
My time arguing you about FREE SOFTWARE: PRICELESS
Now, you can add it all up on how much this free software is going to cost. Free software isn't free at all. It never is free.
Turns out, this particular company was selling their consulting services for this FREE software at a substantial cost. So I responded..."Since the software is "free" shouldn't your services for this software also be free?"
Turns out, if I was asked, we already have similar products that do the same thing, and in some cases better than the FREE software.
There is NO such thing as a free lunch, a free puppy, or FREE Software!
So, when you evaluate the cost of software, you must factor in ALL the costs of the software. I believe that when you do that, you will find that many or most of the hosted SaaS software, while appearing more costly, is actually cheaper and may provide more services and features than a FREE puppy/software.
What are your experiences?
Tom
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