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OEM licenses are significantly larger deal sizes than direct to end-user contracts because the licensee is usually pushing out the software to their entire customer base or a large portion of their customer base. One OEM contract can give thousands or tens of thousands of end-users access to the licensor’s software. Exclusivity.
OEM licenses are larger than direct to end-user contracts because the licensee is usually pushing out software to their entire customer base or a large portion of it. One OEM contract can give thousands or tens of thousands access to licensors software. Licensing OEM software Sellers. New OEM Software Structure. Exclusivity.
This immediately boosts both revenue and profit, which the company can utilize to expand marketing and distribution, as well as cover R&D costs. When price skimming is their tactic, companies know that their marketshare will be small to start. Doesn’t make sense: contracting, consulting, and professional services.
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