Solidworks price rises

[KQuigley]

And so it begins….
If I am reading the press releases correctly 3DX/Cloud “rental” packages reduce in cost slightly whilst desktop “permanent” licenses of Solidworks increase substantially.

Funny how they wait until 3DX World is over before announcing that…

….prepares for the onslaught of calls from competitors now

[zxys001]

Yep,..pretty slimmy.

[Hansjoerg]

If I am reading the press releases correctly 3DX/Cloud “rental” packages reduce in cost slightly whilst desktop “permanent” licenses of Solidworks increase substantially.

@KQuigley Could you please add the link to the original press releases?

[zxys001]

@KQuigley Could you please add the link to the original press releases?

..here's my email (image)

[HerrTick]

The The pandemic and the Ukraine invasion have caused a worldwide shortage of ones and zeroes. Thus, the price increase.

[zwei]

Did the cost increase due to the increase of bugs?
Or maybe the cost increase because the so call 500 R&D engineer is working on SYWMP instead?

[mike miller]

Interesting how the increase goes in effect on April 1. Especially considering they killed Ye Olde Forumme on April 2 last year.

[AlexLachance]

I think this is the point where I start looking for eventual alternatives, or take the decision to stick forever with SolidWorks 2019, since we already know the bugs and have a few work arounds listed.

[RichGergely]

Pretty well everything is going up in price so really it would be a bigger surprise if there was no price increase.

[Glenn Schroeder]

And so it begins….
If I am reading the press releases correctly 3DX/Cloud “rental” packages reduce in cost slightly whilst desktop “permanent” licenses of Solidworks increase substantially.

Funny how they wait until 3DX World is over before announcing that…

….prepares for the onslaught of calls from competitors now

Thanks for posting that. We just renewed a couple months ago, but I forwarded the info to the boss to see if he wants to extend it before the price goes up.

[zxys001]

Pretty well everything is going up in price so really it would be a bigger surprise if there was no price increase.

Yep, the business my wife is in, their supplier has had 3 price increases within 1 year!

[SPerman]

I understand the need for price increases in this day and age. But the ~20% hit on network licenses seems ridiculous. Considering the cost increase to other licensing options, this also seems targeted at a specific group of customers.

[bnemec]

Depending on which version of PDM you're coming from, updating to 2021 will require purchase of SQL licenses of some kind. So for PDM customers this is a case of "Less is More" in that less product costs more.

[Hansjoerg]

in the forum on the other side there is a similar post:

https://r1132100503382-eu1-3dswym.3dexp ... WmkjSBZrUA

Very interesting in this topic is the post of Ronald van Til:".....I received a mail today that Dassault is focusing on SAAS from now on and therefore the prices for non SAAS Solidworks have to increase...."

Which software modules count as SaaS applications?
Is Solidworks 3d Experience one of them? -> https://www.javelin-tech.com/3d/technol ... ks-offers/
if I understand correctly 3dexperience runs locally, so no Saas solution?

[Shaun]

in the forum on the other side there is a similar post:

https://r1132100503382-eu1-3dswym.3dexp ... WmkjSBZrUA

Very interesting in this topic is the post of Ronald van Til:".....I received a mail today that Dassault is focusing on SAAS from now on and therefore the prices for non SAAS Solidworks have to increase...."

Which software modules count as SaaS applications?
Is Solidworks 3d Experience one of them? -> https://www.javelin-tech.com/3d/technol ... ks-offers/
if I understand correctly 3dexperience runs locally, so no Saas solution?

What a way to treat your customers, focus on a new product and increase the price of the old one to try and force change.

[bnemec]

in the forum on the other side there is a similar post:

https://r1132100503382-eu1-3dswym.3dexp ... WmkjSBZrUA

Very interesting in this topic is the post of Ronald van Til:".....I received a mail today that Dassault is focusing on SAAS from now on and therefore the prices for non SAAS Solidworks have to increase...."

Which software modules count as SaaS applications?
Is Solidworks 3d Experience one of them? -> https://www.javelin-tech.com/3d/technol ... ks-offers/
if I understand correctly 3dexperience runs locally, so no Saas solution?

From what we could figure out, everything is SaaS except for the Solidworks connected to platform for file storage/pdm. It provides an add-in to Solidworks thats like the PDM add-in except it connects to the DSS cloud instead of local PDM servers.

My perception is the "3D Experience Platform" falls into the somewhat new term of PaaS (Platform as a Service), completely cloud based. Where there is a suite of applications (SaaS) that are grouped together along with non application things such as data storage, reporting, etc. I think of it this way, Google and Office 365 are PaaS, you get a word processor, some spread sheet, some presentation thing, etc. Because the apps are on the cloud the data may as well be on the cloud, so that's part of the platform. Then since most of us don't work all by our selves there's some functionality of sharing the data that is part of the platform; it is not an app, not storage but some other function that has code to support it, like a cloud equivalent of a network shared folder, but different. Other application type stuff can be into this platform such as discussion boards or project management, if it's all in the same platform then it becomes simpler to link the objects where discussions can be indexed based on data objects. It appears to me that DSS sees some grand platform where design-manufacture-marketing companies can use the DSS platform for everything from messaging, design, validation, customer data, customer orders, shop orders, inventory, logistics, CNC data; every 0 and 1 that the company lives on, DSS wants that on their servers.

[Tom G]

I don't pay for buzzwords.
They are pricing themselves towards the more stable competition.
It doesn't entirely matter when, but they will lose this customer. I am not alone.

[SPerman]

I feel the same way. It is no longer a matter of if, but of when.

[RichGergely]

If the 3D experience platform was good and the CAD user could see clear benefits (that coupled with everyone having 100% solid constant internet access) it would all make sense what DS were doing.

Unfortunately the answer to all those questions is a total fail.

[jcapriotti]

I think its a result of market saturation and Dassaults desire to get people on subscriptions leases. Most of the mechanical market has gone to a 3D software. For 25+ years SolidWorks rarely messed with the price except for bumping network licenses a few years back. They have to increase revenues each year for their investors and if you can't find more customers, raise the price on the existing customers.

Sad day:

[dave.laban]

Which is frankly insane that they didn't at least raise prices to account for any kind of inflation on a year to year basis. Using https://www.usinflationcalculator.com/ then $3995 in 1996 is $7224 now. The $1295 becomes $2340. Expecting something to cost the same as it did almost 30 years ago seems wildly optimistic.

[jcapriotti]

Which is frankly insane that they didn't at least raise prices to account for any kind of inflation on a year to year basis. Using https://www.usinflationcalculator.com/ then $3995 in 1996 is $7224 now. The $1295 becomes $2340. Expecting something to cost the same as it did almost 30 years ago seems wildly optimistic.

I can think of few reasons:

1. 2D to 3d transition starting in the late 90s meant a lot of user market growth potential.
2. No physical product costs (materials and manufacturing), just employee and overhead.
3. Most larger customers pay subscription so steady year to year revenue.
4. No physical product means you can't sell off an old version, thus new customers have to buy in. Not true with physical products where a new business can buy used equipment.

Now that the market is saturated, number 1 is no longer true which leaves us where we are now.

• There are fewer new sales as there is no one left to sell to.
• Switching CAD/PDM system is a pita so stealing customers is difficult.
• Investors demand more profits, thus milk your customer base for more money.
• Attempt to beat your customers into submission and tie and their data to you so tightly they can never leave. (Cloud vision - a.k.a. the battered wife syndrome)

[zxys001]

I can think of few reasons:

[*]Investors demand more profits, thus milk your customer base for more money.
[*]Attempt to beat your customers into submission and tie and their data to you so tightly they can never leave. (Cloud vision - a.k.a. the battered wife syndrome)
[/list]

Ditto-Ditto!