1. Jon didn't "throw out numbers until the vendor smiled", HP (specifically
Jeff Vance) first mentioned the $500 figure.

2. As has been discussed at length, there is 3rd-party software which is a
fundamental part of MPE for which royalties must be paid. I doubt anyone
outside of HP and the 3rd parties involved will know what the royalty fees
are as I am sure they are confidential, as is standard practice in this
industry.

3. In any case, vendors rarely justify pricing on the basis of cost.

At 07:12 AM 12/19/2002 -0600, Chuck Ryan wrote:
> >         On the topic of MPE licensing, there has been some
> > really good discussion
> > but I don't believe I've heard anything or anybody
> > overwhelming saying the
> > $500 ballpark for new MPE license (one time cost) is flat-out
> > unacceptable.
>
>The $500 ballpark for new MPE license (one time cost) is flat-out
>unacceptable.
>
>I have seen nothing to show that this, or any other amount, is backed up by
>cost information. To put it more bluntly, did you pull this number out of
>some dark crevice or do you know the licensing fees HP is paying for each
>new license and have decided to keep this tidbit "secret"?
>
>I find it hard to beleive anyone would negotiate a contract by simply
>throwing out numbers until the vendor smiles and says "ok I guess we can
>accept that".

--------------------------------
Tom Brandt
Northtech Systems, Inc.
130 S. 1st Street, Suite 220
Ann Arbor, MI 48104-1343
http://www.northtech.com/