Category: Autodesk

Autodesk University 2018

29 Nov 2018 Darren Young

It’s been a couple weeks since Autodesk University so I thought I’d reflect and recap some of my thoughts.

For starters, I don’t often toot my own horn but I was right. 5 Months ago, one of Autodesk’s Technical Marketing Manager’s posted to LinkedIn how Autodesk University was “Joining forces” with the MEP and Structural Fabricators be eliminating the Monday MEP & Structural Fabricator’s Forum Monday pre-conference with the rest of Autodesk University and replacing it with the “Connect and Construct” pre-conference.

I commented then that this was marketing spin, that there would be less focus on Autodesk Fabrication. I was right. I typically run into 120-130 people every year at Autodesk University. This year I don’t think I broke 80. I’d say only 10% of the MEP contractors I typically run into were there this year. As expected, there were many less Autodesk Fabrication sessions and a lot more BIM360 sales pitches.

You can read the original LinkedIn post and my comment here. It did get me a private Email from Autodesk asking why I was negative toward the event that I was speaking at. As I told them, I’m not negative, but I do feel obligated to correct misconceptions they’re spreading. My industry peers are expecting Fabrication technical content as they’d received in the past and they weren’t getting it this year. Most elected to go to Applied Software’s MEP Force conference instead or skip all together.   

There were some compelling keynotes from what I heard  (I skip most, too crowded and I can watch online after if I hear they were good), but if you’re a larger progressive MEP contractor, you really didn’t learn a lot from the Connect and Construct summit IMO. They still are trying to tell people that BIM is something we should be doing and we should be using BIM360 this or that. A lot of promises of what the future holds…mining intelligence from your models. I couldn’t help but think…”We had that with Autodesk Fabrication but you broke it by not finishing Revit’s Fabrication Parts and stopping development of CADmep, ESTmep and CAMduct.   

Overall, I think the week as a whole was better than last year. I skipped many of my scheduled classes as I was busy talking with others in hallway conversations. This is really why I go and where I get the most value.

If you’re interested in reviewing any of the material presented at Autodesk University, all the 2018 sessions are now online at this link. 

Key Takeaways

  • Seems to be a lot of 3rd party activity in the MEP contractor space finally after Autodesk’s acquisition of MAP fractured the market. Both GTP’s Stratus product and FabPro1 are making some compelling workflow applications. I’m also aware of about 5 or 6 different Revit based spooling tools either released or nearing release.
  • Biggest issue for 3rd parties in the MEP contractors space….Autodesk’s lack of enhancing the underlying Fabrication platform. They’e laid off anyone that knows what we need and why…only 4 programmers remain from the original MAP team rumor has it. Most of the 3rd parties have larger teams focused on MEP than Autodesk does now. 
  • Seems to be some increasing acknowledgment by Autodesk that they screwed up a bit with the MEP contractors. It remains to be seen if they do anything about it. There’s several things in play that I can’t speak to (NDA) but I remain hopeful at some point things will start moving again.
  • Seems to me more people looking to get into the ITM content space. Iv’e had so many conversations I can’t recall what I can and can’t say so I won’t go into details. We’ll see how it goes….it’s a tough platform as the content is not agnostic and highly dependent on each company’s configuration. Recall what I said about 3rd parties hampered by Autodesk not enhancing the Fabrication platform? This is a perfect example.
  • Outside of the MEP Fabrication world, lot of talk about automation. Hailing from Manufacturing myself, I’ve seen parallels coming for years. Manufacturing leads construction by 10-20 years in just about everything…Parametric modeling, Lean, Product LifeCycle Management (Mfg’s “BIM”). Nice to finally see after spending most of my career working for Manufacturers of construction products and not working for a construction firm manufacturing. 
  • Most striking takeaway….the large volume of contractors employing their own programmers. One General Contractor of about 3000 employees had 10 full time programmers. And it’s not limited to GC’s….a lot of my peers in larger MEP contractors have full time programmers. I suspect this trend will continue as Autodesk is moving too slow and the data each firm really needs is highly unique to their blended data (in and out of BIM).
  • Forge Devcon (formerly Dev Days) was interesting. The Monday developer conference Dev Days was always my highlight of AU. Then others started piggy backing onto Monday…Conceptual Design Forum, MEP Fab Forum, etc. Working in MEP I had to attend. While I’m disappointed the MEP Fab Forum went away, I’m also glad as I was able to attend some Forge Devcon sessions. That reminds me, I need to start getting back into development.
  • Less technical and more “Whitepaper” or “Customer Stories” than ever. Seems like a lot more sessions showing you what people are doing but not how they are doing it. Maybe this is what people really want but I really miss some of the hard core technical content you use to get. It’s still there but in less quantities….or I’m just bad at selecting sessions to attend.
  • Not sure I’ll speak again after over a decade of doing so. There’s less technical sessions…I prefer doing those as opposed to the philosophical “here’s how BIM should work” type of classes. The products our industry needs and uses Autodesk doesn’t promote and they audience is just not there. I could talk about Revit but it’s the same as it was last year with minor improvements. Nothing that would fill a 60 minute session unless I wanted to show all the 3rd party tools and custom code you need to write to finish where they left off. I’ll likely submit a few proposals next year anyway. We’ll see where it goes.

Autodesk Acquires PlanGrid

20 Nov 2018 Darren Young

Today, Autodesk announced their acquisition of PlanGrid. You can read the press release from Autodesk here…http://adsknews.autodesk.com/pressrelease/autodesk-to-acquire-plangrid.

This doesn’t really seem like a surprise. PlanGrid has a large and active user base where as competitor Fieldwire seems like they’ve had trouble competing and gaining significant market traction. 

What is a surprise to me, is that typically these types of “big” announcements are typically given in Las Vegas during Autodesk University, not the week following. I suspect that in this case, an announcement of this type would have distracted from the other BIM360 related messaging Autodesk was trying to deliver.

Why Would PlanGrid Sell?

What made PlanGrid strong in the market is the ease of use and field adoption of their platform. Plain and simple, field personnel liked it and used it, It doesn’t really matter what something costs if it doesn’t get used. PlanGrid had a platform that was used. My guess is they sold because what better way to finish than on top. In the end, what were they doing that Autodesk couldn’t do, or soon do with their BIM360 Docs platform? I know several companies that pay more annually for PlanGrid than their entire Autodesk product lines. In some cases PlanGrid renewals were double Autodesk. And for what? Storage and viewing?

As Autodesk continues to build out their BIM360 platforms, and users increasingly adopt services like BIM360 Design (formerly Collaboration for Revit), it wouldn’t take long before people started asking why they were paying so much when BIM360 Design published to BIM360 Docs already and seemingly did the same thing?

Where would PlanGrid differentiate itself? When we take an intelligent model and publish it to a PDF, we’re loosing a lot of information. Any more intelligence PlanGrid would try to add is attempting to recreate what was once there but lost. Not to mention, adding more functionality would start to move PlanGrid away from the core principals that made it strong…simplicity. In the end, I think PlanGrid chose to end on a high note before an eventual decline.

What Does This Mean For Autodesk?

When Autodesk acquires a company, they do it for one or more of the following reasons…

  • Buy interesting technology they don’t have
  • Buy the talent of the firm who’s doing interesting things and employ them to do the same for Autodesk
  • Kill technology that’s driving the market in directions Autodesk doesn’t like
  • Buy the customers

For Autodesk, I don’t really think they care about PlanGrid’s technology or development teams. Not that they aren’t good tools and people, but Autodesk has their own. Instead of having to OCR PDF’s to automatically hyperlink them, you should be able to create the PDF from this intelligence already in Revit. There’s really no point in trying to recreate lost intelligence (PlanGrid) when you already have it captured (BIM360). 

Instead, I think Autodesk wanted the user’s. It’s the quickest way to increase your BIM360 Docs usage which is where I think the users will be migrated to. If not BIM360 Docs, perhaps a more streamlined tool for field communication that uses BIM360 Docs as it’s storage platform.  

What Does This Mean For Users?

Lower software costs. I know, I know. They’s not something you typically get from an Autodesk acquisition but paying double for a PDF sharing platform than all your other Autodesk services certainly won’t continue. I predict the price will drop, they’ll then “realign” duplicate platforms and move everyone to BIM360 because PlanGrid no longer “makes money” and they’re done. That’s what happened in the past in similar situations like Autodesk Fabrication being acquired from MAP software. We in the MEP world know how that worked out…new development halted, fixes released at a glacial pace and updates almost non-existent. Move to Revit or fall behind. I think you’ll see that dynamic play out w/PlanGrid as well. 

For now, I’ll enjoy not paying double to share PDF’s because PlanGrid says we have tens of thousands of sheets on a project we use when the reality is we’re only looking and a handful of sheets for a project team that’s using PlanGrid. While a good product which we do use, our usage numbers have never been what they’ve suggested. I wonder if Autodesk fell prey to some of those technically accurate but misleading usage stats as well. 

Autodesk Concurrent Usage Restriction

3 Apr 2018 Darren Young

A couple months ago I posted about a “business rule” Autodesk had which restricted a user from using more that 2 titles of their Collection on the same computer at the same time. The original post can be read here. This wasn’t a technical limitation rather a legal restriction. The “rule” essentially stated that you couldn’t run more than 2 products at the same time for the same user on the same computer. This would be like Microsoft saying you couldn’t use Email, Word and Excel all at the same time. I asked several trusted Autodesk resellers, my Autodesk insiders and other industry peers and it seems this restriction wasn’t very well known, In fact, not a single person I asked was aware of the “rule”

Back in January when I first raised the issue, I was in the middle of a contract renewal and it was Autodesk’s fiscal year end. As a result, there were several Autodesk regional reps raising the issue internally at Autodesk. I had hints back then (unofficially) that they were reassessing the policy and would likely remove the restriction. I’m now happy to report that as of March 29th, the policy restriction has been officially removed.

It was reported in the “Moving to Subscription” forum as a followup to my initial complaints and concerns. You can read the entire forum thread here.

If you look at Autodesk’s Collection Licensing support article here, you can see the restriction struck through and updated.

I’m a tough critic of Autodesk’s policies and their sales practices. But I have to admit, this was fairly quick action on their part considering their legal team was likely involved. They historically haven’t made concessions based on customer pressure very often and when they have, it sometimes comes very slow. In the use case I gave them, I discussed how an MEP firm running Fabrication CADmep would need 3 licenses, One license of CADmep, one for the AutoCAD session it was running on and Navis.

The feedback I received through resellers pushing their Autodesk partner managers for answers came back quickly in mid-January exactly how many users globally fell into that scenario. I was impressed how quickly they started analyzing the scope and impact to their company and users. Hats off to Autodesk for squashing this ridiculous rule. For the first time in over 25 years of dealing with Autodesk, their sales and legal teams came together and did the right thing.

Beware: Autodesk Subscriptions, Industry Collections and Trust

19 Dec 2017 Darren Young

Everything Must Change

It’s no secret that Autodesk is moving to an annual subscription model. There’s a number of reasons Autodesk tells you it’s for the flexibility and benefit of the customers. Some of these benefits include…

  • Predictable annual licensing costs
  • Lower initial cost for procurement (no more large initial upfront cost)
  • Flexible licensing model (add/drop licenses as your business needs)
  • Ability to release product updates anytime

All these benefits are true, legitimate reasons a customer would want to move to a subscription model. If you look at the current pricing promotions, converting existing licenses to the Industry Collections looks very financially attractive.

A number of years go, Adobe rolled out subscription licensing. Revenue suffered for a couple years and then rebounded. Customers were no longer making large upfront purchases but as time went by and subscriptions increased, revenue rebounded and higher profits ensued. And because revenue wasn’t tied to an annual “release” cycle of software updates, it’s a more predictable and stable revenue stream. It’s no wonder Autodesk is following in Adobe’s footprints. As a business, they’d be foolish not to and even as a customer, I don’t begrudge them to make a profit and give them more flexibility in running their company.

The Problem

When Adobe made the transition, revenue was significantly impacted and returned in a couple years. Autodesk is seeing the same thing with one key difference. Autodesk has underwent 11 straight quarters of losses. Adobe never lost money. Clearly, Autodesk’s customer base isn’t as understanding and you see a lot of public facing criticism in public forums against being forced into this model.

Part of the problem is the longevity of the data Autodesk customers produce compared to Adobe. Autodesk customers often maintain engineering or product documentation for decades. That pretty marketing graphic made from Adobe products likely isn’t managing product or building data 2 decades later.

The other part is Autodesk’s horrible track record with pricing. Autodesk isn’t a software company, they’re a sales organization and they’re very good at it. They have a history of squeezing the re-seller channel, taking over their major accounts and competing with their third party partners.

Here’s a few examples…

  • Autodesk tells their re-seller channel they’ll partner with them on major accounts. The fact is many find themselves frozen out of the discussions, especially if there’s any hint of looking out for the customer’s interest.
  • It was very common to be able to “upgrade” your annual maintenance contracts to higher end software. To go from AutoCAD to AutoCAD Mechanical or AutoCAD MEP or was cheaper or only slightly higher than staying on AutoCAD. When your maintenance contract was up for renewal a year later, you then see the deferred price increase you just were hit with. If you wanted to “downgrade”, you paid a fee, typically the cost difference between the two products.
  • When Autodesk stopped selling the Revit MEP Suite, they rolled out the Building Design Suite. If you were already on the Revit MEP Suite, you were grandfathered in could maintain your contract. It was during this time the sales channel was running a “promotion” to upgrade and telling customers they should act fast before they were enforced to upgrade at a higher price. The problem, a) The Design Suite promotions ran almost continually to show vertical product sales increases to Wall Street and b) They would “uplift” customers to the Design Suites for free a mere 6 months later. One company I worked with, Autodesk tried to sell over $300k in upgrades this way only to get them for free months later. They claim they didn’t know but how could they not? I’m just a dumb customer, I knew…because it’s happened before.
  • Autodesk had their sales staff and resellers promoting selling Perpetual licenses “while you can still get them”…and customers did. All the while I suspect they knew they’d just increase the maintenance subscriptions to more than the annual subscriptions. Your “savings” in cheaper annual renewals just was wiped out.

If you look at the various changes has made over the last 2 decades, rolling out maintenance subscriptions and finally making them mandatory to replace upgrade charges or rolling their new annual subscription model, you’ll notice a common theme. All of these changes create an “Artificial Crisis” for customers which results in collecting as much as they can while delivering as little as possible,  Given their track record of deceptive and misleading sales, it’s no wonder customers have a lack on trust and are resisting these changes.

What Should You Do

Customers like to think they have control. Autodesk likes them to think that as well. But the fact is, you don’t. I hear a lot of talk from customers about maintaining their existing perpetual licenses and resisting the move to subscription, Personally, I think that’s misplaced.

Autodesk wants you on subscription and that’s where you’ll go, sooner or later. You don’t have a choice without switching software, Want to Upgrade, Downgrade, Cross-grade to another product, move from Standalone to Network Licensing, you’ll have to go on subscription. Unless you don’t want to pay more annually to maintain your perpetual licenses than it would to go to subscription, you’ll move…sooner or later.

Willing to stick it out? Feel free but in industries like construction that are really evolving with new technology workflows and require all team members to be on the same page to leverage collaborative project workflows it’ll be tough to do. Even with the evolution of technology to the cloud and big data analytics, other industries are going to be hard pressed to not upgrade. How many people do you know running AutoCAD r14 or even 2008 for that matter?

Still not convinced and plan on hanging onto your perpetual licenses forever? Good luck. That “Navisworks Manage” you have you’re free to run forever as long as you can find the hardware that will run it. In fact, you can’t even buy a maintenance subscription anymore because we at Autodesk stopped making it. You’re welcome to buy a subscription to our new “Navis Quantum” anytime however,

If you’re really dead set on maximizing that initial investment you paid for your perpetual licenses, you really have only one option…stop paining maintenance subscription now. Ride it out a couple years and buy subscriptions when you need them. They’ll be running a promotion sooner or later. With a fiscal year end of January, the new years is always a good time to negotiate pricing.

What’s the Future Hold?

So let’s just assume you’re on annual subscriptions down the road. What can you expect next?

Because you can add/drop licenses easily with annual subscriptions, they’re easy to scale with your business. When business is good, so is Autodesk. But what if there’s another recession and people start dropping licenses?

While most resellers and Autodesk are promoting Industry Collections, there’s a little know catch that every contact I asked either in the reseller channel or at Autodesk didn’t know (and I asked many). The Industry Collections limit you to running 2 concurrent products for the same user on the same computer. If you’re in the Mechanical Electrical and Plumbing construction industry, it’s common to run AutoCAD, with CADmep (runs in AutoCAD) and Navisworks at the same time…maybe ever Revit too.

You literally can’t find information on the FAQ’s regarding this restriction and the sales people are telling you that you can drop your Navis and CADmep licenses and migrate your Revit/Acad to an AEC Collection and save money and licenses without disclosing this restriction.

The only place you find information is on the Knowledgebase (if you search for “concurrent usage”)…

https://knowledge.autodesk.com/search-result/caas/sfdcarticles/sfdcarticles/Industry-Collections-Licensing.html

Or in a single Discussion group post by Autodesk…

https://forums.autodesk.com/t5/installation-licensing/industry-collection-licensing-basic-information-amp-licensing/td-p/7250896

It’s not found in the other countless pages and links your most often referred to. Reading closely, you’ll notice, one talks about the restriction generically and the other only pertaining to network versions. Autodesk re-sellers don’t have access to Collection licenses (only individual products) and can’t even test. So hows this work and how does it apply?

Upon much research by myself, my industry colleagues and Autodesk, come to find out it’s not a “technical” limitation rather a “policy” that’s not enforced with technology. So, what happens if/when…

  • They start enforcing the policy?
  • They perform your next license audit and see you use more products that you should concurrently?
  • The economy slows and their revenue drops so they implement a “no concurrent usage” policy?

As you can see, Autodesk is in complete control and your only option once on subscription is to pay or or stop using the software. There is no longer a perpetual license to fall back on.

Ok, fine, you can just buy an extra Navis or Revit subscription. But those need to be assigned to a specific user who also has access via the Collection. Or if you’re preference is network licensing, forget it. Revit and Navis are no longer able to be purchased with network licensing unless on a subscription.

If you don’t think it’ll happen, think again. For the second time in just a few short months, Collaboration for Revit isn’t enforcing licensing. The first time this happened, when they turned it on many users were left without access to their projects and unable to work. They should have had licenses, true but C4R configuration and setup is not straight forward. It’s common to grant access to people in a project. They may not realize you also need a license provisioned in another system. In fact, it’s very easy to have multiple licenses assigned to the same user from different companies essentially giving Autodesk double revenue and you’ll never know.

Given their misleading tactics in the past, how do you know this disabling of license checking isn’t intentional in an effort to get people to start using and depending on the software only to force a purchase down the road? It’s well known that AutoCAD was as popular as it was due to the easy of piracy back in it’s infancy.

So in summary, there’s really only a few practical options,..

  1. Give in and move to subscription, you’ll be there anyway eventually.
  2. Drop your maintenance subscription now if you can and ride it out a few years
  3. Move to another product/vendor.
  4. Maintain your perpetual contracts and pay more than any other option,

 

30 Days of Free Autodesk training on Lynda.Com

3 Dec 2017 Darren Young

Lynda.Com is offering a 30 day free trail for over 350 different Autodesk related courses. You can sign up here…

https://www.lynda.com/Autodesk-training-tutorials

Lynda also as a lot of other courses for many topics. Before you spend you money on a subscription, check with your local library. Many library systems have agreements with Lynda.Com to offer courses for free to their members. King Country Library System (Seattle Washington), Multnomah County Library (Portland, Oregon) and the Salt Lake City Library (Utah) are just some of the many libraries offering these courses on Lynda.Com for free.

 

Applied Software acquires long standing CADmep reseller TSI

10 Aug 2017 Darren Young

And then there was one….

TSI – From Startup to Market Domination to Decline

Long before Autodesk acquired UK based MAP Software LTD, their products were not well known in the US. Technical Sales International (TSI) was started by some folks with a long history at QuickPen. They left and went out on their own to become the US reseller of CADduct, CADmech, CAMduct and ESTmep. It was through their efforts that what we now know as the Autodesk Fabrication product line became a major force in the market place for MEP sub-contractors.

But with all things, times change. Autodesk acquired MAP Software in the end of 2011 and soon opened up the Autodesk sales channel. This eliminated TSI’s exclusive right to sell the software in the US and other territories and many customers moved their software subscriptions to other resellers who they likely already had an existing relationship with for many of their other Autodesk products. It was Autodesk’s fragmentation of a small niche market that started TSI’s decline.

Enter Applied Software

While other resellers could now sell Autodesk Fabrication, another well establish Texas based reseller DC CADD saw an opportunity. DC CADD quickly snapped up some of the top talent as TSI downsized. DC CADD made the investment in staff and marketing and position itself well. DC CADD later re-branded itself as Enceptia as they went from regional reseller to a national player. Ultimately, Enceptia’s owner was looking to retire and sold to Applied Software.

With the market fragmentation caused by Autodesk, TSI’s owners started focusing on their own product called SysQue which runs inside Revit. This focus and their SysQue product ultimately created a conflict of interest as they were taking a different direction than Autodesk for Revit Fabrication in the MEP trades. As SysQue started to gain traction TSI’s owner’s ultimately led them to split off SysQue as a separate company and sell their stake in TSI to one of the employees. This allowed them to focus exclusively on their product and not be distracted with the requirements Autodesk places on their resellers.

An Uphill Battle Lost

Ultimately, I suspect the marketing power of Applied Software, combined with the fragmented customer base was a tough battle for TSI. The MEP market is a pretty small community where everybody knows everybody and many of the familiar names nationally and globally recognized as “Experts”, were working for Applied Software or moved over to the SysQue company (who themselves were later acquired by Trimble).

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