If you’re in the market for some new software, you may have come across the term “OEM.” But what is OEM software, and can you legally buy it? Here’s everything you need to know about OEM software and where you can get it.
What is OEM Software
OEM stands for Original Equipment Manufacturer. OEM software is a type of software that is produced by a company to be sold to another company for use on its own products or services. For example, a computer manufacturer may produce a OEM version of an operating system to be sold with its computers.
OEM software is pre-installed on a device when it is manufactured. It is typically provided by the device manufacturer and is not available for purchase separately.
OEM software is usually not transferable to another device and is not eligible for support or updates from the manufacturer once the device is sold.
OEMs produce and sell computer hardwares and mobile phones, and the OEM software is pre-installed on these devices. The main benefit of OEM software is that it allows manufacturers to save time and money by not having to develop their own software.
Many companies have restrictions on how their OEM products can be resold.
OEM software is often discounted by online sellers, but it’s important to be aware that this software may not have been authorized for resale by the publisher. This could make the purchase illegal, so it’s important to do your research before buying OEM software from an online seller.
Understanding Enterprise OEM Software
An enterprise OEM is when a software developer (the “licensor”) allows another developer (the “licensee”) to use their code in their own product.
The licensee company can improve its software application by adding new functionality or features, or enhancing existing functionality or features, by embedding the third-party software into its application. This can be a great way for the licensee company to improve its product without having to completely redevelop it from scratch.
Here are a couple of examples:
OEM software is software that is licensed by one company to another company. The licensing company typically develops the software specifically for the licensee. OEM software is often bundled with hardware, but it can also be purchased separately.
OEM technology is often embedded into applications to improve their value to customers. In this case, the licensor of the technology will enjoy a new revenue stream from the sale of the joint solution.
OEM software provides many benefits to the licensee, such as access to specialization and expertise from the licensor. This can result in improved solutions for end-customers. Ultimately, this creates a win-win situation for all parties involved.
There is a difference between software that is sold on its own and that which is sold as part of a larger package. The latter is known as “OEM” or “Original Equipment Manufacturer” software and is embedded inside another program.
The software is sold by OEMs.
If the software is being resold by another party, that would be considered an “OEM” arrangement, not an “reseller” one. Reseller agreements are more often made between manufacturers and resellers, while OEMs usually sell to distributors.
These companies offer a solution and add value by bundling services and reselling the software. They make money on the margins from the software and from the additional services they provide.
Accenture provides a CRM system software that is customizable, offers training, and implementation to its customers. This allows the customer to get the most out of their investment.
Because enterprise software companies are in the business of developing and selling their own products, they rarely sell resale rights. This is not an issue when they choose to only distribute their software products through OEMs.
The licensee will have a superior offering with the value added by the OEMs. The software is integrated either behind the scenes or is brandished within the combined package.
Here are a few examples of enterprise-level (OEM) software solutions that are widely used by small and large businesses alike.
OEM software models are popular within the software industry because they allow large and small companies to leverage each other’s resources. For example, a company might use OEM software from MicroStrategy to help them create better business intelligence tools. Similarly, another company might use TABLEAU software to improve their data visualization capabilities.
The enterprise license management software market is a multi-billion dollar segment in the enterprise software space.
This article is for professionals who want to learn more about how OEMs structure their deals.
The book includes interviews with both buyers and sellers of enterprise software, as well as stories from my own experiences, to provide a well-rounded look at the world of enterprise software.
Before diving into what an “OEM” is, let’s talk about what “enterprise” means.
OEM Software Market: Dell, HPE, and Microsoft
The two largest providers of server and storage solutions are HP and DELL.
The early OEMs included companies like Apple, Cisco, and Insper, along with more contemporary ones such as Lenovo, Inspur, and Sugon.
We explore how Microsoft, HP, and Dell all function today as OEMs.
Dell Technologies Becomes an OEM Partner for DIGISTOR
Dell Technologies is a world-leading OEM software vendor with 11 Gartner Magic Quadrant positions and a presence in 40+ industry verticals.
The DELL TECHNOLOGIES (OEM SOLUTIONS) DIVISION offers a range of products including the popular SERVER APPLIANCES line.
After expanding their client base, military hardware company, Digistor, wanted to continue growing their enterprise software business.
The organization used an OEM partnership with DELL to deploy a dell emc poweredge xr2 and r640 servers.
The partnership between Dell and DIGISTOR has been highly beneficial, with the XR2 server enabling productive operation in challenging use cases at the edge, and the R640 delivering scalable computing power in the data center. This has been a boon for our organization, and we are grateful for the partnership.
HPE and Synamedia
Instead of building your own components, you can license an existing design from another software company.
As for how HP Enterprise’s own software is put to use, the media company, SynthaMedia, provides infrastructure for television, tablet, and phone devices, and reaches 100+ million people every day.
The company relies on custom built HP servers for its video content delivery.
With their applications, HP Enterprise can send out millions of broadcasts a day, automatically shifting between single and multi-cast.
Microsoft Server – The Most Used OEM Software
Although Microsoft has slipped a bit in the server market, the Windows operating system is still the most popular operating system on the market.
Microsoft provides OEM software to hardware manufacturers like Dell, HP, Toshiba, and countless others for their product development. This software is fully licensed and helps these companies create products that are compatible with Microsoft products and services.
Milan-based Inside Technologies has long been a Microsoft partner, and they have used Microsoft software to develop enterprise solutions, infrastructure services, and applications for their global audience. With Microsoft tools, they are able to provide their customers with the best possible experience.
In deciding how they could update their tools, they decided that using Windows server technology, such as Hyper V, was the best option.
The Windows Admin Center is a great tool for managing assets from a single server. With Insight Technologies, you can easily integrate Azure Active Directory and work with PowerShell to manage every detail.
Types of OEM Software
OEM software manufacturers can offer their software in a way that makes the most business sense. For example, software vendors can provide older, or custom versions often referred to as limited edition (LE) or special edition (SE). This type of software is beneficial for businesses because it is usually less expensive than the latest version, and it can be customized to fit the specific needs of the company.
Or, some publishers also offer SEs, which aren’t any different from those available in stores.
Older versions of some types of computer operating systems, such as Windows, can be bought by consumers at discounted prices, but businesses purchasing large quantities of these OSes receive the biggest discounts.
Examples of OEM Software
OEM software is best known for the suite of applications that come pre-installed on devices. While some of these programs may be produced by the vendor, others are often great examples of how OEM software can be bundled into a single product. For example, operating systems, tablet software, and scannerprinter software can all come pre-installed on devices but could have different original manufacturers.
Different types of OEM software can come pre-installed on devices, depending on the manufacturer. For example, operating systems, tablet software, and scannerprinter software could all have different original manufacturers.
Software that is typically provided by specialized manufacturers, such as a camera with a recording microphone, can also be offered as an app.
Certain software applications, such as cameras and audio programs, are available as free downloads online.
Is SaaS OEM Software?
The Cloud has provided us with a myriad of services available with a few simple clicks. We know the subscription cloud services on our smartphones and tablet devices.
In the enterprise, cloud technology has already taken the forefront for many organizations who are taking the leap into digital business.
As software-as-a-service (SaaS) becomes increasingly popular among enterprises worldwide, it’s arguable that certain cloud software solutions can be classified as OEM software. This would mean that the OEM market is more significant than previously thought.
The relationship between software as a service (SaaS) and oem software is closer than most people realize.
Conclusion
If you’re in the market for some quality software at a great price, OEM software is definitely worth considering. Just be sure to do your research first to make sure you’re getting the real deal from a reputable seller.
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