By 2020, more than 80% of software vendors will change their business model from traditional license and maintenance to subscription, regardless of whether the software resides on-premises or in the cloud.
This business-model transition is significant and requires enterprise-wide strategic planning and execution, because it not only changes the operational approach, it also overhauls the sales structure of the business.
Providers embarking on the transition to subscription-based licensing have to radically change their business operations into new, agile and flexible departments with a holistic and current view of customers that is difficult to get under a license/maintenance model.
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Gartner, Market Trends: Prepare Now to Smooth the Inevitable Transition to a Subscription-Based Business Model, Laurie F. Wurster, 19 April 2017.
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