Most private individuals are familiar with subscriptions such as newspaper, book, music, film or application software subscriptions. In industry, too, more and more manufacturers are seeing the possibility of using subscription models to respond flexibly to different customer requirements and monetize software usage. "As an alternative to purchasing and the associated high one-off investment, manufacturers can offer their customers the use of their devices and machines at favorable prices depending on time and function," explains Oliver Winzenried, CEO of protection and licensing expert Wibu-Systems from Karlsruhe. "It is possible to purchase additional usage times or additional device functions at a later date."

This has advantages for manufacturers and customers alike: "Manufacturers can gain new customers through lower entry-level prices for subscriptions, and the flexibility ensures long-term customer loyalty," explains Oliver Winzenried. "Technical protection and licensing solutions have been developed in such a way that manufacturers can define the use of their devices and machines according to customer requirements and also bill accordingly."

In production, devices and machines are often isolated from the internet for security reasons. Here it is not possible to activate or adjust licenses online. Wibu-Systems offers manufacturers its CodeMeter technology for both online and offline operation. Manufacturers can implement any sales model - especially subscriptions - and also offer feature-on-demand or pay-per-use models.

Licensing with the CodeMeter technology

CodeMeter License Central is the tool for manufacturers to create, deliver and manage licenses.

© Wibu-Systems

"CodeMeter allows both traditional software manufacturers and manufacturers of devices and machines to set up subscription models and other distribution models," says Oliver Winzenried. First, the complete software or parts of it are automatically encrypted via CodeMeter Protection Suite - or you can use the Core API for this. The buyer receives the CodeMeter Runtime and the necessary usage rights as licenses, which are securely stored in the CmContainer. The manufacturer offers users a choice of three CmContainer types: the industrial-grade protection hardware "CmDongle", the activation file "CmActLicense" or the "CmCloudContainer" with a permanent Internet connection.

For subscription models to work, the manufacturer must define the end of the license term. CodeMeter has the "Expiry date" license option for this, so that the software for a device or machine will no longer run or only run to a limited extent after this date. The manufacturer can warn the user of a possible subscription extension via the software. The license expires automatically if the user does not renew the subscription. Or, due to an agreed automatic subscription extension, the software will continue to run in the device or machine without restriction until the subscription is terminated.

Subscription renewal tool

The "CodeMeter License Central" tool is used to automatically generate, deliver and manage licenses for users. What does a subscription extension look like?

Subscriptionrenewal on the manufacturer side: The subscription contract defines the renewal as well as payments or notice periods - and how the licenses are handled. If the manufacturer uses an ERP system, CodeMeter License Central creates an order including a license and sets an expiration date when the initial purchase is made. Upon renewal, a new license with a new expiration date is issued and the old license is replaced.

Subscription renewal on the user side: If the device or machine is permanently or temporarily connected to the Internet, the license can be automatically renewed in the background. For offline operation, the license must be extended manually by the user transferring an update file with the license update to the isolated device. The user receives this update file directly from the manufacturer by e-mail. Alternatively, the user can collect the activation codes supplied by e-mail from a license portal.

Wibu-Systems at the SPS 2022: Hall 6, Stand 428