I’ve been meaning to post a link to this ZDNet article on the post-merger pricing integration headache going on at Symantec since it came out two weeks ago, but somehow haven’t found the time.
Anyway, the company has admitted that pricing integration is a major challenge which they expect to take at least a year to complete. This isn’t surprising, since pricing tends to be complex to begin with, and planning to put two largely incompatible pricing models* together often escapes merger planning committees. So the strategies, goals, incentives, personnel, and systems are tend not to play well together. That’s the bad news. The good news is that the merger also represents an opportunity to improve pricing across the board. Effective communication of the post-merger strategy, including licensing can prepare customers for changes. High level executive involvement is essential to resolve disputes where two sides can say “this is the way we’ve always done it, and our customers will get mad if we change it” with equal sincerity.
*Veritas prices primarily by CPU, which has already been the subject of several posts. Symantec prices by the application, and also offers various corporate licensing plans.