Autodesk Prior Version Access – A Bad Good Idea

Autodesk recently made a policy change to its prior version usage policy. Previously Autodesk’s policy was to allow customers current on subscription or maintenance to run the current release and the prior 3 versions. However this policy recently changed on November 2, 2020 to allow 5 prior versions.

You can read about that policy here.

One important thing to note however, is this change does NOT affect support. Autodesk Support will only help you with the 3 prior versions.

Because it was likely what customers wanted, it sounds like a good change . But it’s really bad news for the industry. The intent was to help customers who were not able to upgrade for some reason. But this change wasn’t needed to serve that purpose. Autodesk would (and did) grant exceptions from the “3 prior version” terms on an as-need basis. Whenever you needed an exception, just ask your reseller. They could then request an exception from your regional Autodesk rep.

Unintended Consequences

This change is bad because it’s one more reason customers can use to not upgrade. That’s not the purpose of the policy but it will be the result. Because most customers are now on subscription, the policy really doesn’t affect Autodesk’s revenue. As such, it was really not hard for them to do. You still have to be on a subscription plan.

When customer’s don’t upgrade, they don’t benefit from new features and functionality. In the case of MEP, Fabrication Parts are still relatively new to Revit. This means there are significant functionality improvements in newer versions. But because there’s not as many improvements for Architects, they may not upgrade. And because they lead on the project, MEP has no choice but to use the version the project team is on. This easily leads to a significant lost productivity and added cost for MEP contractors.

Policy Summary

VersionOld PolicyNew Policy
2021 (Current Version)Allowed / SupportedAllowed / Supported
2020 (1 Prior Version)Allowed / SupportedAllowed / Supported
2019 (2 Prior Version)Allowed / SupportedAllowed / Supported
2018 (3 Prior Versions)Allowed / SupportedAllowed / Supported
2017 (4 Prior Versions)Prohibited / No SupportAllowed / No Support
2016 (5 Prior Versions)Prohibited / No SupportAllowed / No Support
2015 (6 Prior Versions)Prohibited / No SupportProhibited / No Support

Update: Autodesk Multi-User Licensing – The End is Near

Update:

Since the below article was originally published, the Covid-19 virus has spread into the US. As a result, Autodesk has pushed back the dates. Multi-User Licensing purchases have been extended from May 7, 2021 to August 7, 2020. Retirement of multi-user licenses has also been moved from May 7, 2021 to August 7, 2021.

Interestingly enough, this changes was sold as a means to “simplify” things for end users. Now, Autodesk is pushing back the date because they don’t want to introduce a change during a difficult time. If the change were truly for “simplification” they should implement it anyway. But I suspect they know, it’s not going to simplify anything and its going to cost more.


Original Article follows…

This is the end of perhaps one of Autodesk’s last truly invaluable offerings. Decades ago it was free. Over the years it’s transitioned from a One-Time upgrade cost to an annual fee. Now it’s going away completely for most products.

Anyone that knows me knows I’ve spoken about how Autodesk can do what they want when it comes to Licensing. They’re in the driver’s seat. This is yet another example. All you can do is respond in the best manner possible.

What’s Happening?

Starting May 7, 2020 and renewals after that date, you’ll be offered an option to move to new “Per User” plans at a discounted rate. Much like the “Maintenance to Subscription” offer about 3 years ago, you’ll get discounted pricing that’s guaranteed not to increase more than 5% every other year through 2028.

While that doesn’t sound too bad on the surface, it’s a very shitty deal. I’ll explain why in a bit but it’s a deal you should take it none the less. Why? Because the alternative is going to be much worse.

If you don’t take up Autodesk on the offer during your next renewal come May 7, 2021 and after, you’ll no longer be able to renew those Multi-User plans. You’re done. Your choices are stop using Autodesk products or buy new subscriptions at full MSRP.

Why is the Deal Bad? It’s the Alternative That Sounds Bad.

I describe this as a shitty deal because it’s going to cost you in may ways. Most construction related engineers and architects can run 2.5 to 3 users per license in a multi-user configuration. The deal will allow you to get 2 named user licenses for each single multi-user license you trade in. This is described as being roughly a “similar price to what you’re paying today”. To make up any shortfall, you’ll be buying more “Named User” licenses at full MSRP to make up the difference.

What’s really bad is where a single license serves large numbers of users. Most often because it has very low or occasional use across a wide user base. I’d venture to say, our Point Layout license gets less than 20 hours use a year and it’s spread across 30+ users as it “floats” in a multi-user environment. Nobody will be buying multiple copies and dedicating them to that quantity of users. Your option is to direct all work requiring Point Layout to the few dedicated users. Autodesk licensing policy is now dictating your workflow. That’s not what’s best for your organization.

The only other alternative is to have an administrator log into the licensing portal and un-assign and reassign the license to users as they need. This is not the “Simplified” license management Autodesk says it is. The term they use is “Flexible User Access”. Something that use to just happen automatically is now an administrative task.

Why Are They Doing This?

Revenue. Plain and simple. As a publicly traded company, it’s their fiduciary responsibility to shareholders to maximize revenue. Especially when the rest of the software industry is moving in that direction and using similar models. Companies like Adobe and Microsoft. Microsoft doesn’t even consider you to have licenses of anything anymore. It’s all services. Windows is a service. Office 365 is service. The difference with Microsoft is I get a whole lot more for my money. I can get just about everything they offer for an enterprise for less than $100 per user per month. With Autodesk we pay $100/month per user to share PDF’s with Plangrid.

I suspect they also want to take more of an approach like Microsoft where they send you an Email letting you know who your top collaborators are and the number of hours of “focus time”. While those are interesting Emails from Microsoft, I don’t know anyone that’s changed their behavior because of them.

Where Can I Get More Info?

Donnie Gladfelter’sThe CAD Geek” blog gives a good summary. Neil Cross also has a good YouTube video outlining the changes.

Or you can get the details directly from the horse’s mouth along with a lot of misinformation and misleading statements here…

Announcement….
https://www.autodesk.com/campaigns/transition-to-named-user

Terms & Condittions…
https://www.autodesk.com/campaigns/transition-to-named-user/terms-and-conditions

Info-graphic…
https://damassets.autodesk.net/content/dam/autodesk/www/campaigns/tnu/20014-named-user-infographic.pdf

Autodesk Discussion Forum…
https://forums.autodesk.com/t5/subscription-changes/bd-p/6073

What’s Autodesk Saying That’s Misleading?

A lot actually. I don’t begrudge them for trying to maximize revenue. I’d do the same if I were them. Especially in light of an industry moving that way. They’re simply trying to modernize their business and revenue model like others have. Failure to do so would likely lead to more activist investors attempting to hijack the board much like Carl Bass had to contend with toward the end of his CEO tenure there. Activist investors on Autodesk’s board is not a good thing for customers.

What I really take issue with is their explanations and reasons that this is good for you. It’s the equivalent of sitting at the park, enjoying a nice ice cream cone on a hot summer day. All of the sudden a stranger appears. They take a big lick of your ice cream cone and proceed to tell you how they’ve just improved the flavor and you should enjoy it.

The other issue I have is it will eliminate a number of licenses and software for a lot of users. I don’t suspect that’s what Autodesk wants. But they really don’t understand how network licensing benefits users even when it’s not about sharing licenses.

Here’s my breakdown on what’s misleading…

“You’re Not a Number To Us”

Dedicated licensing is being sold as a way for them to give you a better user experience. This is just rubbish. Large customers (+$1M annual Autodesk spend) who have Enterprise TokenFlex accounts use network licenses for their enterprise. Everyone has access to everything, no limits. Network license usage is reported back to Autodesk on a “per user” (not computer) basis to determine the utilization. Simply put, providing an identified user experience can be accomplished without eliminating multi-user licenses. They just choose not to.

No more anonymous serial numbers

I’m not sure what that means. I haven’t had issues managing serial numbers for two decades before they allowed multi-seat standalone serial numbers. The mess back then was a result of poor reseller performance. The few remaining resellers are much more sophisticated today. They do a much better job of guiding their customers.

Streamlined Management

Where I work, I have 5 serial numbers, 7 Products and 50+ users/installs. Which would you rather manage? When they talk about “Flexible User Access”, they’re referring to the ability to log into their portal, un-assign a license and reallocate it to a new user. This use to happen automatically in a network license server environment. It’s now a manual process. That “one” license that floats to everybody, I’ll be performing that reassignment on a weekly basis if not daily sometimes. While folks are waiting for me, others are waiting on them for deliverables. Yet again workflow is interrupted due to Autodesk licensing policy and technology.

With dedicated user licenses I also now review every Email from HR about departures and terminations. Those Emails get reviewed against my user list in PlanGrid, BIM360, and now Autodesk Accounts. This wasn’t required with a multi-user setup.

“No More Managing Complicated License Servers”

They’re not complicated although a lot of folks seem intimidated by them. Resellers will gladly manage them for you. I spend less that 10 minutes a year on it. Once IT hands me a new server, I can stand it up in about 15 minutes.

License servers also allowed me to run a utility like JTB Flex Report and get highly customized data rich utilization reporting. I’ve begged for years for more robust reporting from Autodesk and it’s always been disappointing. Autodesk reporting always appears to provide value but only for those who don’t understand how Autodesk products work. It’s rare it actually provides the insight I want or need. Insight that allows me to gauge new production adoption or training needs or just volume of work types.

If you’re using multi-user licenses, I highly recommend purchasing JTB Flex Report now and start capturing data before your next renewal. This will give you the data you need to understand what to convert and what you can drop. No commissions or kickback to me. Just a long time user and fan.

No More Managing Multiple Deployment Types

Technically true but to be fair, there were only ever two. Stand-Alone and Multi-User. Either could be deployed as needed. Multi-User would just “work”. Stand-Alone would require activation..anyone could be logged in to do it. Now I need to log in “as the user” to get a system setup when on-boarding a new user.

Get 2 Trade In Licenses for Every Network License

Sounds like a deal until you realize you need more than that to replace the functionality of your multi-user license. Those will be purchased at full cost or you’ll go without. We’ll likely drop our Manufacturing Collection which provided us with Inventor and pick up Solidworks for our needs in construction.

In a construction firm, shop and field staff rotate quickly depending on workload and project phasing. Many “Could” use Autodesk software but don’t need it. They won’t get it any more. I’m not going to pay for multiple full licenses for an hour’s use a month.

The other hit is user training. I’d typically give Multi-User licensed products to everybody. Some would then use breaks and lunch to learn new products like 3ds Max or Inventor. This helps organic growth of Autodesk products. If I have an ambitious user, it helps me add more capabilities and capacity and a lower cost. I’ve never had a contractor approve a 3ds Max license. But when I’ve had a user learn on their own, they magically are in demand once the company sees what they can do. That all goes away on our next renewal.

Option to Buy Premium Plans for Additional Value like Reporting and Single Sign-On (SSO)”

I spoke earlier about loss of meaningful reporting. Technically you’ll be able to get it direct from Autodesk. But you’ll be paying for it. $300 per subscription. For a firm with 100 subscriptions, that’s an additional $30k annually.

Autodesk also has a poor track record of license reporting. Anyone care to explain how BIM360 Docs licensing works? It’s confusing. Back in October 2017 when licensing enforcement of C4R was “Fixed”, project teams all over couldn’t work and reseller’s phones were ringing off the hook.

Today at work, my BIM360 Docs account says I’m using 110 of 30 licenses. Am I out of compliance? No. Just broken licensing and poor implementation of reporting of a confusing and inconsistent license structure.

Single Sign-On (SSO) on the other hand is a welcome and long overdue addition. But again, you only get it if you purchase the additional “premium” upgrade. It also remains to be seen how robust SSO will be. Does it simple enable/disable accounts? Or will I be able to provision licenses to different products using Azure Active Directory groups?

The real value of Single-Sign On is from a security standpoint. When a user leaves, they’re access is shut off. This isn’t really a risk with desktop products. Where it is a risk is with BIM360 and other cloud offerings. It’s unclear of SSO will apply to BIM360 out of the gate. I assume it will at some point.

What’s in it for Autodesk?

There’s a lot of reasons Autodesk might want “User” based licenses. Revenue is obviously one of them. But they’ve never streamlined anything and made it cost less. Instead the complicate things and then charge more to “simplify” them. This has been the cycle for over 2 decades.

I suspect as Donnie pointed out in his Blog, they want to drive insights from users and provide that for a fee. Take away your ability to gain insight yourself and instead you pay them for information about your data.

Quite frankly, I don’t trust Autodesk to provide that insight to our users or workflows. They’ve already taken away our data, it sits on the BIM360 accounts of the architect or general contractors. Not sure how I’m suppose to maintain the operations of an MEP system using BIM360 post construction when I don’t even have the data any longer.

The frequent mass layoffs and pivot from a desktop software company to a platform company really stagnated MEP contractors who use Autodesk Fabrication. MEP Contractors have been using digital models for over two decades. We did “BIM” before anyone else in construction was in 3d. Now, we use 4 year old CAM software because of multi-year defects that are not being fixed. Even if I used the latest version, that CAMduct software which outputs data to my new $1M coil line…guess how I communicate what file the operator needs to load? A black Sharpie marker. The software can’t even report the name of the file it just generated. The only other option is to hire a programmer for most firms who don’t have the capability to do it themselves (most don’t).

The Real Lost Value – Lost Users

Perhaps the real lost value in all of this in construction is the reduction of software access to users. We’ll have less people using less Autodesk software. Think this number is insignificant? My last employer (against my guidance) signed one of those $3.5M/3-Year Enterprise Tokenflex deals. (They’ve since dropped it).

As part of a TokenFlex engagement, you run their licenses for a trial period to gauge usage so you can forecast your purchase for 3 years. Autodesk’s abysmal analysis was simply add 5 of each license over 3 years. Didn’t matter if it was 150 seats of Revit or 1 seat of 3ds Max. They just added 5 to everything.

For this reason, I performed my own analysis. With a company directive to double in revenue, migrating users from AutoCAD/CADmep to Revit Fabrication Parts and rolling out Collaboration for Revit, my forecast was within %0.1 over the next two years.

In short, I know Autodesk licensing VERY well and I know users and their usage patterns EXTREMELY well. We knew our engineers were 2.5-3 users per license. Piping, Plumbing and Sheetmetal detailers were 1-to-1. But there was another 1/3 of our user base that fall into the “part time” or “low usage” category. Their usage was low. Very low. Those ~200 regular users (120 Engineers, and 80 Detailers)….they had another 100 users. One day a month. 5 Minutes a day once every couple weeks. In Autodesk’s new “Named User” model, 1/3 of the users will loose access to licenses.

Any Yet More Cost

Companies that have a dedicated CAD or BIM manager will now need a dedicated license of everything though they rarely use it. No more floating licenses which allow them to fire up a product quick and solve a problem. Or they’ll need to take away the license of a user in need to give themselves access to troubleshoot an issue.

Added License Compliance Risk

Lastly, this is a huge licensing compliance risk. With all software being driven by only an Email address that doubles as an Autodesk ID any user can freely download and install the software at home or on a friends system. As long as they’re employed and have a license, IT compliance will be non-existent. I can’t stop it. I won’t even know about it.

Now it’s true, I can purchase a premium plan add-on and get reporting and SSO. Assuming the user (and their friends) aren’t using a glaringly obscene amount of hours, I simply won’t know. In a large organization, if that part time user wants to setup a friend or another business with your license, you simply won’t know unless you personally know that user.

Even if the employee leaves, a lot will still have access. Especially in union construction firms. Signatory employees in many firms are not handled through traditional IT channels. IT often struggles with terminating account access to IT systems and cloud services because people are Hired and Fired outside IT and HR’s control. Union contract dictates employment process so most HR departments are happy to step aside. Luckily, I don’t have this issue where I am now (our HR does a great job) but it exists in other firms. At my last job, I routinely reported users who weren’t employed but still had access…sometimes for years…when I ran across them.

Is There Any Silver Lining In All Of This?

Perhaps. As I said earlier, I’ve asked for better, more robust and sometimes just any reporting before. Over a decade I’ve attended countless “Customer Sessions” at Autodesk University covering these topics as well as surveys, phone calls and in person meetings.

Nothing has ever happened because lets face it, there will be zero additional customers buying Revit or Inventor because of license reporting. Usage reporting isn’t a purchasing factor. It didn’t have a product owner or a revenue stream and as such, received no attention from Autodesk.

Perhaps that will change now. I don’t want to pay an extra $30k a year just to remain license compliant, secure and informed about our users. But I likely will. And because there’s now a revenue stream behind it, perhaps Autodesk will finally give it the attention it’s long deserved.

Autodesk Multi-User Licensing – The End is Near

Update to the below article located here.


This is the end of perhaps one of Autodesk’s last truly invaluable offerings. Decades ago it was free. Over the years it’s transitioned from a One-Time upgrade cost to an annual fee. Now it’s going away completely for most products.

Anyone that knows me knows I’ve spoken about how Autodesk can do what they want when it comes to Licensing. They’re in the driver’s seat. This is yet another example. All you can do is respond in the best manner possible.

What’s Happening?

Starting May 7, 2020 and renewals after that date, you’ll be offered an option to move to new “Per User” plans at a discounted rate. Much like the “Maintenance to Subscription” offer about 3 years ago, you’ll get discounted pricing that’s guaranteed not to increase more than 5% every other year through 2028.

While that doesn’t sound too bad on the surface, it’s a very shitty deal. I’ll explain why in a bit but it’s a deal you should take it none the less. Why? Because the alternative is going to be much worse.

If you don’t take up Autodesk on the offer during your next renewal come May 7, 2021 and after, you’ll no longer be able to renew those Multi-User plans. You’re done. Your choices are stop using Autodesk products or buy new subscriptions at full MSRP.

Why is the Deal Bad? It’s the Alternative That Sounds Bad.

I describe this as a shitty deal because it’s going to cost you in may ways. Most construction related engineers and architects can run 2.5 to 3 users per license in a multi-user configuration. The deal will allow you to get 2 named user licenses for each single multi-user license you trade in. This is described as being roughly a “similar price to what you’re paying today”. To make up any shortfall, you’ll be buying more “Named User” licenses at full MSRP to make up the difference.

What’s really bad is where a single license serves large numbers of users. Most often because it has very low or occasional use across a wide user base. I’d venture to say, our Point Layout license gets less than 20 hours use a year and it’s spread across 30+ users as it “floats” in a multi-user environment. Nobody will be buying multiple copies and dedicating them to that quantity of users. Your option is to direct all work requiring Point Layout to the few dedicated users. Autodesk licensing policy is now dictating your workflow. That’s not what’s best for your organization.

The only other alternative is to have an administrator log into the licensing portal and un-assign and reassign the license to users as they need. This is not the “Simplified” license management Autodesk says it is. The term they use is “Flexible User Access”. Something that use to just happen automatically is now an administrative task.

Why Are They Doing This?

Revenue. Plain and simple. As a publicly traded company, it’s their fiduciary responsibility to shareholders to maximize revenue. Especially when the rest of the software industry is moving in that direction and using similar models. Companies like Adobe and Microsoft. Microsoft doesn’t even consider you to have licenses of anything anymore. It’s all services. Windows is a service. Office 365 is service. The difference with Microsoft is I get a whole lot more for my money. I can get just about everything they offer for an enterprise for less than $100 per user per month. With Autodesk we pay $100/month per user to share PDF’s with Plangrid.

I suspect they also want to take more of an approach like Microsoft where they send you an Email letting you know who your top collaborators are and the number of hours of “focus time”. While those are interesting Emails from Microsoft, I don’t know anyone that’s changed their behavior because of them.

Where Can I Get More Info?

Donnie Gladfelter’sThe CAD Geek” blog gives a good summary. Neil Cross also has a good YouTube video outlining the changes.

Or you can get the details directly from the horse’s mouth along with a lot of misinformation and misleading statements here…

Announcement….
https://www.autodesk.com/campaigns/transition-to-named-user

Terms & Condittions…
https://www.autodesk.com/campaigns/transition-to-named-user/terms-and-conditions

Info-graphic…
https://damassets.autodesk.net/content/dam/autodesk/www/campaigns/tnu/20014-named-user-infographic.pdf

Autodesk Discussion Forum…
https://forums.autodesk.com/t5/subscription-changes/bd-p/6073

What’s Autodesk Saying That’s Misleading?

A lot actually. I don’t begrudge them for trying to maximize revenue. I’d do the same if I were them. Especially in light of an industry moving that way. They’re simply trying to modernize their business and revenue model like others have. Failure to do so would likely lead to more activist investors attempting to hijack the board much like Carl Bass had to contend with toward the end of his CEO tenure there. Activist investors on Autodesk’s board is not a good thing for customers.

What I really take issue with is their explanations and reasons that this is good for you. It’s the equivalent of sitting at the park, enjoying a nice ice cream cone on a hot summer day. All of the sudden a stranger appears. They take a big lick of your ice cream cone and proceed to tell you how they’ve just improved the flavor and you should enjoy it.

The other issue I have is it will eliminate a number of licenses and software for a lot of users. I don’t suspect that’s what Autodesk wants. But they really don’t understand how network licensing benefits users even when it’s not about sharing licenses.

Here’s my breakdown on what’s misleading…

“You’re Not a Number To Us”

Dedicated licensing is being sold as a way for them to give you a better user experience. This is just rubbish. Large customers (+$1M annual Autodesk spend) who have Enterprise TokenFlex accounts use network licenses for their enterprise. Everyone has access to everything, no limits. Network license usage is reported back to Autodesk on a “per user” (not computer) basis to determine the utilization. Simply put, providing an identified user experience can be accomplished without eliminating multi-user licenses. They just choose not to.

No more anonymous serial numbers

I’m not sure what that means. I haven’t had issues managing serial numbers for two decades before they allowed multi-seat standalone serial numbers. The mess back then was a result of poor reseller performance. The few remaining resellers are much more sophisticated today. They do a much better job of guiding their customers.

Streamlined Management

Where I work, I have 5 serial numbers, 7 Products and 50+ users/installs. Which would you rather manage? When they talk about “Flexible User Access”, they’re referring to the ability to log into their portal, un-assign a license and reallocate it to a new user. This use to happen automatically in a network license server environment. It’s now a manual process. That “one” license that floats to everybody, I’ll be performing that reassignment on a weekly basis if not daily sometimes. While folks are waiting for me, others are waiting on them for deliverables. Yet again workflow is interrupted due to Autodesk licensing policy and technology.

With dedicated user licenses I also now review every Email from HR about departures and terminations. Those Emails get reviewed against my user list in PlanGrid, BIM360, and now Autodesk Accounts. This wasn’t required with a multi-user setup.

“No More Managing Complicated License Servers”

They’re not complicated although a lot of folks seem intimidated by them. Resellers will gladly manage them for you. I spend less that 10 minutes a year on it. Once IT hands me a new server, I can stand it up in about 15 minutes.

License servers also allowed me to run a utility like JTB Flex Report and get highly customized data rich utilization reporting. I’ve begged for years for more robust reporting from Autodesk and it’s always been disappointing. Autodesk reporting always appears to provide value but only for those who don’t understand how Autodesk products work. It’s rare it actually provides the insight I want or need. Insight that allows me to gauge new production adoption or training needs or just volume of work types.

If you’re using multi-user licenses, I highly recommend purchasing JTB Flex Report now and start capturing data before your next renewal. This will give you the data you need to understand what to convert and what you can drop. No commissions or kickback to me. Just a long time user and fan.

No More Managing Multiple Deployment Types

Technically true but to be fair, there were only ever two. Stand-Alone and Multi-User. Either could be deployed as needed. Multi-User would just “work”. Stand-Alone would require activation..anyone could be logged in to do it. Now I need to log in “as the user” to get a system setup when on-boarding a new user.

Get 2 Trade In Licenses for Every Network License

Sounds like a deal until you realize you need more than that to replace the functionality of your multi-user license. Those will be purchased at full cost or you’ll go without. We’ll likely drop our Manufacturing Collection which provided us with Inventor and pick up Solidworks for our needs in construction.

In a construction firm, shop and field staff rotate quickly depending on workload and project phasing. Many “Could” use Autodesk software but don’t need it. They won’t get it any more. I’m not going to pay for multiple full licenses for an hour’s use a month.

The other hit is user training. I’d typically give Multi-User licensed products to everybody. Some would then use breaks and lunch to learn new products like 3ds Max or Inventor. This helps organic growth of Autodesk products. If I have an ambitious user, it helps me add more capabilities and capacity and a lower cost. I’ve never had a contractor approve a 3ds Max license. But when I’ve had a user learn on their own, they magically are in demand once the company sees what they can do. That all goes away on our next renewal.

Option to Buy Premium Plans for Additional Value like Reporting and Single Sign-On (SSO)”

I spoke earlier about loss of meaningful reporting. Technically you’ll be able to get it direct from Autodesk. But you’ll be paying for it. $300 per subscription. For a firm with 100 subscriptions, that’s an additional $30k annually.

Autodesk also has a poor track record of license reporting. Anyone care to explain how BIM360 Docs licensing works? It’s confusing. Back in October 2017 when licensing enforcement of C4R was “Fixed”, project teams all over couldn’t work and reseller’s phones were ringing off the hook.

Today at work, my BIM360 Docs account says I’m using 110 of 30 licenses. Am I out of compliance? No. Just broken licensing and poor implementation of reporting of a confusing and inconsistent license structure.

Single Sign-On (SSO) on the other hand is a welcome and long overdue addition. But again, you only get it if you purchase the additional “premium” upgrade. It also remains to be seen how robust SSO will be. Does it simple enable/disable accounts? Or will I be able to provision licenses to different products using Azure Active Directory groups?

The real value of Single-Sign On is from a security standpoint. When a user leaves, they’re access is shut off. This isn’t really a risk with desktop products. Where it is a risk is with BIM360 and other cloud offerings. It’s unclear of SSO will apply to BIM360 out of the gate. I assume it will at some point.

What’s in it for Autodesk?

There’s a lot of reasons Autodesk might want “User” based licenses. Revenue is obviously one of them. But they’ve never streamlined anything and made it cost less. Instead the complicate things and then charge more to “simplify” them. This has been the cycle for over 2 decades.

I suspect as Donnie pointed out in his Blog, they want to drive insights from users and provide that for a fee. Take away your ability to gain insight yourself and instead you pay them for information about your data.

Quite frankly, I don’t trust Autodesk to provide that insight to our users or workflows. They’ve already taken away our data, it sits on the BIM360 accounts of the architect or general contractors. Not sure how I’m suppose to maintain the operations of an MEP system using BIM360 post construction when I don’t even have the data any longer.

The frequent mass layoffs and pivot from a desktop software company to a platform company really stagnated MEP contractors who use Autodesk Fabrication. MEP Contractors have been using digital models for over two decades. We did “BIM” before anyone else in construction was in 3d. Now, we use 4 year old CAM software because of multi-year defects that are not being fixed. Even if I used the latest version, that CAMduct software which outputs data to my new $1M coil line…guess how I communicate what file the operator needs to load? A black Sharpie marker. The software can’t even report the name of the file it just generated. The only other option is to hire a programmer for most firms who don’t have the capability to do it themselves (most don’t).

The Real Lost Value – Lost Users

Perhaps the real lost value in all of this in construction is the reduction of software access to users. We’ll have less people using less Autodesk software. Think this number is insignificant? My last employer (against my guidance) signed one of those $3.5M/3-Year Enterprise Tokenflex deals. (They’ve since dropped it).

As part of a TokenFlex engagement, you run their licenses for a trial period to gauge usage so you can forecast your purchase for 3 years. Autodesk’s abysmal analysis was simply add 5 of each license over 3 years. Didn’t matter if it was 150 seats of Revit or 1 seat of 3ds Max. They just added 5 to everything.

For this reason, I performed my own analysis. With a company directive to double in revenue, migrating users from AutoCAD/CADmep to Revit Fabrication Parts and rolling out Collaboration for Revit, my forecast was within %0.1 over the next two years.

In short, I know Autodesk licensing VERY well and I know users and their usage patterns EXTREMELY well. We knew our engineers were 2.5-3 users per license. Piping, Plumbing and Sheetmetal detailers were 1-to-1. But there was another 1/3 of our user base that fall into the “part time” or “low usage” category. Their usage was low. Very low. Those ~200 regular users (120 Engineers, and 80 Detailers)….they had another 100 users. One day a month. 5 Minutes a day once every couple weeks. In Autodesk’s new “Named User” model, 1/3 of the users will loose access to licenses.

Any Yet More Cost

Companies that have a dedicated CAD or BIM manager will now need a dedicated license of everything though they rarely use it. No more floating licenses which allow them to fire up a product quick and solve a problem. Or they’ll need to take away the license of a user in need to give themselves access to troubleshoot an issue.

Added License Compliance Risk

Lastly, this is a huge licensing compliance risk. With all software being driven by only an Email address that doubles as an Autodesk ID any user can freely download and install the software at home or on a friends system. As long as they’re employed and have a license, IT compliance will be non-existent. I can’t stop it. I won’t even know about it.

Now it’s true, I can purchase a premium plan add-on and get reporting and SSO. Assuming the user (and their friends) aren’t using a glaringly obscene amount of hours, I simply won’t know. In a large organization, if that part time user wants to setup a friend or another business with your license, you simply won’t know unless you personally know that user.

Even if the employee leaves, a lot will still have access. Especially in union construction firms. Signatory employees in many firms are not handled through traditional IT channels. IT often struggles with terminating account access to IT systems and cloud services because people are Hired and Fired outside IT and HR’s control. Union contract dictates employment process so most HR departments are happy to step aside. Luckily, I don’t have this issue where I am now (our HR does a great job) but it exists in other firms. At my last job, I routinely reported users who weren’t employed but still had access…sometimes for years…when I ran across them.

Is There Any Silver Lining In All Of This?

Perhaps. As I said earlier, I’ve asked for better, more robust and sometimes just any reporting before. Over a decade I’ve attended countless “Customer Sessions” at Autodesk University covering these topics as well as surveys, phone calls and in person meetings.

Nothing has ever happened because lets face it, there will be zero additional customers buying Revit or Inventor because of license reporting. Usage reporting isn’t a purchasing factor. It didn’t have a product owner or a revenue stream and as such, received no attention from Autodesk.

Perhaps that will change now. I don’t want to pay an extra $30k a year just to remain license compliant, secure and informed about our users. But I likely will. And because there’s now a revenue stream behind it, perhaps Autodesk will finally give it the attention it’s long deserved.

Autodesk Licensing & Price Increases

It’s no secret that Autodesk regularly changes their pricing structure. Here are some upcoming changes you should be aware of….

  1. NEW “Multi-User” Subscriptions for “Collections” will increase an estimated 33% on February 7, 2020.
  2. NEW “Multi-User” Subscriptions for “Single Products” will increase an estimated 14% on February 7, 2020.

It’s my understanding that existing multi-user licenses that are renewed are not subject to the price increase.

Reading between the lines, it appears Autodesk is slowly trying to eliminate network licenses. Obviously, they would rather sell you two licenses as opposed to have you share onE between two users.

Based on over a hundred hours of license usage research in my last two employers in the MEP Engineering and Construction space, here’s the breakdown I’ve seen…

  • 2 to 3 Engineers can share a single license (this is what Autodesk wants to reign in)
  • 1 to 1 User to License ratio for trade detailers
  • 1/3 of company users fall into the very low usage…”once or twice a month” or “once a week for a half hour” category (if you have enough network license capacity)

What Autodesk fails to realize (or ignores) is that there are a couple reasons network licenses are important even if you can’t share a license. Those are the last two of the above bullet points.

1) Very Low Usage

Users who “Would” use products but don’t “Need” then get access. This can lead to future sales if usage increases. It can also help promote product knowledge to a larger audience.

2) Licensing Usage Analytics

If you’re trying to migrate users from AutoCAD to Revit, or implement other product roll outs, analytics are important to gauge adoption. It also helps you plan for the future.

Yes, Autodesk has some analytics but they’re completely inadequate for anything truly meaningful. In fact, they’re often misleading which lends itself to over licensing…which they like. For a better reporting tool, check out JTB Flex Report.

A Word About Perpetual Maintenance Subscriptions

There’s still some folks hanging on to their old perpetual maintenance licenses. Let me tell you here and now that’s a waste of time and money. On August 31, 2019, Autodesk ended support for 2010 and older versions. There’s no guarantee your old products will activate into the future.

As a lot of customers are finding this year, 3 years in to subscriptions, it’s cheaper to convert to subscription than maintain a perpetual seat. Perpetual seats are anticipated to increase another 20%. Additionally, if you convert to subscription now, it’s still cheaper than a new subscription. Autodesk has announced that Perpetuals converted to Subscription will not have any more than a 5% increase every OTHER year through 2028. This means you’re converted seat will be cheaper than a new subscription for a long time.

Yet another reason is that Autodesk controls licensing. It’s 100% in their control. Let’s take Navis Manage as an example. You could keep hanging on to it but all they have to do is say it’s no longer a valid product…it’s ends of life. And your only option is to buy a full new subscription of this new “Navis Quantum” product (I just made that up….just like they can) that replaces it.

The last reason to switch to subscription now, it’s your last chance. I’m hearing that in May 2020, you’ll no longer be able to convert your perpetual license to subscription. This means they can jack up the perpetual maintenance as high as they want and if you don’t like it, you’re left dropping it and buying a full subscription seat. If you’v been around long enough, you know they’ll run a promotion here and there offering a discount to convert to the few remaining holdouts. But the promotional discounts typically only applies to the first year…every other year you’re paying the full subscription costs.

If you’re still on maintenance, consider switching before May. For more information on Maintenance to Subscription, check out this Autodesk FAQ.

PS: Autodesk’s Fiscal Year End is January 31. Now’s the perfect time to make the changes to your licensing. I always structure mine to renew in January for that reason.

Subscription Discounts – Not the Deal You Think

Autodesk has always offered software discounts. There’s typically always a promotion running that your reseller can ell you all about.

Back in the day, discounts made sense. Software was sold as a perpetual license with a high upfront cost. It didn’t matter if you needed the software next week or 10 months from now. You always had that large, upfront cost. With this pricing model, it typically made sense to but before you needed to get a discount. This was particularly helpful during the end of Autodesk’s Quarter or their Fiscal Year End (Jan 31).

Subscription Changes Everything

Since Autodesk moved to a subscription pricing model, software discounts…”The Deal”…is in large part irrelevant now. With subscription software, there is no large upfront cost. You pay an annual fee. You can also prorate your purchase so it expires and renews with all your other Autodesk software.

To put in another way, in the old days, if you needed an additional license 6 months from now, you’d still pay the entire full price…leveraging the discount saved you money. With a subscription, if you don’t need your license for 6 months, you can buy it prorated so it’s 1/2 the cost. At 50% price to buy for the last half of a year, it makes no sense to but early to get only a 20% discount.

When Does a Discount Make Sense

To better understand when a discount makes sense, I’ve put together a spreadsheet listing full price and discount price of several different products. The below image shows the cost breakdown between various packages with and without as discount. Looking at a 1-Year subscription term…

We add the discount in cell A2. Here its 20%, which is what a recent Autodesk promotion offered.

Looking at the last row (Row 17) this lists the maximum number of months you can sit in your license without using it before you loose money with the discount. In this example, if you don’t use your software for more than 3 months, you’ve lost money using the discount.

Row 18 shows the inverse. It shows the minimum number of months of usage you need to save money. Again, in this example, 9 months.

So, a 20% discount, your 12 month breakdown in 3/9. For a 3-Year term (not shown) the breakdown for 36 months is 8/28. If you don’t stat using your software within 8 months, you’re going to loose money on the discount.

If you want to do your own analysis, I’ve attached the spreadsheet below. It contains a tab for 1-Year and 3-Year Subscription terms. Simply enter the discount in Cell A2. You can also update with your own products that you may use however, it really doesn’t matter the product or cost, the saving/cost breakdown is the same.

Critical Update for Older Autodesk Products

If you’re using 2017 or older Autodesk products, your software may stop working on June 15th, 2019. Newer versions will continue to work but may have intermittent issues with any of their cloud related services. Exact services and product versions vary.

Many products and services use Transport Layer Security (TLS) 1.0/1.1. Due to known vulnerabilities, on June 15, 2019, Autodesk will be updating their systems to no longer support this protocol. This service is what’s used for Autodesk to determine your “Identity” when providing access to your products and services.

You can read more about the affected products and versions here. This article is specific to which older products will stop working completely. It does not cover newer products that have services which may stop working.

https://knowledge.autodesk.com/search-result/caas/sfdcarticles/sfdcarticles/Transport-Layer-Security-TLS-Updates-Required-to-Maintain-Software-Access.html

A fairly comprehensive description of the issue was also posted to the Autodesk forums. You can read it here…

https://forums.autodesk.com/t5/installation-licensing/transport-layer-security-updates-required-email-notifications/td-p/8798819

What You Really Need to Know

This issue isn’t nearly as bad as it seems. Based on Autodesk’s information you only need to be concerned if…

  • Login access to use your core product will be affected subject to the following
    • You are NOT using Perpetual Licenses
    • You are NOT using Network (FlexLM) Licenses
    • Your product IS using Single User Subscription Licensing
    • Your product IS listed in the Knowledge Base Article
  • Newer products (2018-2020) Not mentioned in the Autodesk articles are also affected subject to the following….
    • Ancillary related services and newer products have their own security updates
    • Access to core product is Not an issue
    • Ancillary cloud connected services May be affected such as…
      • Revit Cloud Worksharing
      • Personal Accelerator (PAC) for Revit Cloud Worksharing
      • Communicator
      • Energy Analysis
      • Dynamo Package Search/Upload
      • P&ID Modeler
    • Licensing type of product does NOT matter

Most products have updates available however there are a few that do not. Autodesk Fabrication products in version 2014 or 2015 do not have updates. So unless you’re using those version with a Single User Subscription, you don’t need to worry. If you are using a product that does not have an update, you will need to upgrade to continue working.

Revit 2018.3.0 Update

Autodesk released update 2018.3.0 for Revit on 2018.04(Apr).08. Click here to see a listing of the issues fixed in this and previous updates for Revit 2018,

To download and install the update, refresh your Autodesk Desktop App and updates should appear if you have an active subscription (maintenance plan or annual subscription). The Autodesk Desktop App icon is located in your Windows System Tray if it was installed.

You can also access them from the Product Downloads section of the Autodesk Accounts portal if you are a contract manager or software coordinator in your account.


AutoCAD 2018.1.2 Update

In case you missed it, Autodesk released update 2018.1.2 for AutoCAD a couple weeks ago. Click here to see a listing of the issues fixed in this and previous updates for AutoCAD 2018,

To download and install the update, refresh your Autodesk Desktop App and updates should appear if you have an active subscription (maintenance plan or annual subscription). The Autodesk Desktop App icon is located in your Windows System Tray if it was installed.

You can also access them from the Product Downloads section of the Autodesk Accounts portal if you are a contract manager or software coordinator in your account.


Beware: Autodesk Subscriptions, Industry Collections and Trust

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,