We are living in interesting times when the best things are available free.

Software as a utility

Software pricing and distribution has evolved in the recent years. In the traditional model, you buy your software as a CD-ROM, to be installed and used on your computer (example: computer games, MS Windows). Later, software pricing and distribution changed. You get paid, free or free-to-try software that can be downloaded from the Internet directly to your computer (example: WinZip). But the emerging popular model now is to look at software as a utility - also known as "Software As A Service". In this model, there is nothing to download, install or upgrade. You point your browser to a website and sign into your account (example: web based emails, online documents etc.,).

On the pricing side, traditional CD-ROM based software as well as "download-and-install" software were largely license price driven which also meant that you only owned the software copy that you bought. If you wanted to upgrade you have to buy a new version, download and install it again. Contrast that with Software-As-A-Service model where pricing is largely usage driven or subscription driven. The other good part of this model is that you don't have to worry about upgrading the software - it is automatically made available to you.

Obviously CD-ROM based software distribution is declining and the future is that of Software-As-A-Service. In a few years, when broadband connectivity becomes ubiquitous, most software you use will live on the Internet and made available anywhere, anytime at the click of your mouse. However it is hard to decide which model is better. It depends on how you use it, how comfortable you are to access software purely over the Internet and the total cost of ownership. Sometimes, years of subscription costs may outrun cost of owning it.

Hidden cost of software

When it comes to software that we buy, traditionally there are layers of costs involved. The initial purchase price is just the beginning. Then follows the annual maintenance fee. In some cases, there are upgrade fees as well. However, the biggest but most hidden cost is the training and the time you or your employees put in learning and using it. People typically overlook other costs beyond the initial license fee. Over a period of time they realize that it's all about the "total cost of ownership".

When software becomes cheaper than water!

Matching the rapid evolution of software distribution is the fast declining software prices. We are living in interesting times when the best things are available free. Price tags do nothing more than build user resistance. Software companies are building their business models around "freemium" (free basic version with limited functionality, pay for extra features), ad-supported free websites or limited-time-free offers to attract users to use their software. Even though free, these software can be high quality and many times better than the comparable paid software.

FREE Business Software

Following is a list of FREE business software that you can use to manage your business. (For a list of free personal software, visit my blog at www.girisaballa.com).

A  Email: No business can run without email. There are many free web-based personal email providers. However for your business email Google Apps Small Business Edition provides you the best solution.

Google Apps Small Business Edition

1. www.google.com/a

2. Software as a service (no software to download or install)

3. Basic use is free - more than sufficient for most small businesses. Paid versions are also available

B. Office Productivity Tools: Like email, businesses rely heavily on software like MS Office. But today there are good options that are free.

Google Docs

1. http://Docs.google.com

2. Software as a service (no software to download or install)

3. Free. You can use it along with Google Apps Small Business Edition to share documents with your colleagues

Open Office

1. www.openoffice.org

2. Download and install

3. Free. Provides comparable features to MS Office (Word, Excel and Powerpoint)

C. Collaboration Tools: Businesses today have to be fast and adaptive. Good collaboration tools like instant messaging/chat, voice chat, web conferencing provide that competitive edge

Google Chat

1. www.google.com/talk

2. Software as a service; download and install version also available

3. Free. Works along with Google Apps SBE to communicate with your colleagues

Yugma (web conferencing)

1. www.yugma.com

2. Software as a service

3. Basic version is free. Subscription based upgrades lets you do more.

Skype (Voice chat)

1. www.skype.com

2. Download and install

3. Computer-to-computer calls free. Paid plans to phones and mobiles.

D. Project Management: A good project management tool is essential for successful tracking and execution of your customer engagements.

nineMotion

1. www.ninemotion.com

2. Software as a service

3. Free to create and track projects. Manage tasks, team, issues, documents, collaboration and even send status to customers. Integrated online services marketplace allows businesses to sell their services or outsource to other providers.

E. Sales Management: Healthy pipeline of leads and deals is critical for growth. Efficiently managing and tracking that information is essential for businesses' survival

SugarCRM

1. www.sugarcrm.com

2. Download and install

3. You have to host their opensource software yourself. They have a software-as-a-service option for a subscription fee.

F. Other software: You need these software tools and utilities to help manage or protect your technology infrastructure

AVG Anti Virus

1. http://free.grisoft.com

2. Download and install

3. One of the best and free software that helps you protect your computers from viruses.

Ad-Aware Anti Spyware

1. www.lavasoftusa.com

2. Download and install

3. Use it to scrub your machine of spywares

The above list is by no means exhaustive. You can search on google for more such software or go to www.sourceforge.net or www.download.com for other free software.

Feel free to email me at bala.girisaballa @ninemotion.com if you would like more information on any of the above or if you happen to know other free software that you found useful.

(Disclaimer: Author is a co-founder of nineMotion.com - one of the software listed above) 

Bala Girisaballa serves as Vice President Marketing & Strategy at nineMotion. He has strong experience in software products marketing and taking global software products from concept to launch. Bala is an alumnus of IIM, Ahmedabad and Osmania University, Hyderabad.

Issue BG80 Nov07

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Comments (1)

	1. 15-01-2008 11:00
	Very useful article. The small startups who want to leverage the internet for their business can definitely use the tools suggested and make a decent beginning.  Thanks to Bala for publishing this.  Prasad. Registered Report

Prasad VSV

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