What IS 0EM Software And Why D0 You Care?

Nordoelum ulist at gs1.ubuntuforums.org
Mon Apr 3 09:05:14 UTC 2006


> OEM, when used to describe 'software'
> (http://en.wikipedia.org/wiki/Software), is used to differentiate that
> version of the software which is bundled with other hardware or
> software from that same software package sold on its own as a retail
> package. The packaging and legal rights that come with the OEM versions
> of a software package generally differ from what is provided with the
> retail versions. The functionality of the software is often the same,
> but it is quite common for the OEM version to be a version with reduced
> functionality. (For instance the OEM version of Cyberlink PowerDVD
> supports two channel audio but not multi-channel sound systems. A
> customer who wishes to play DVDs with multi-channel sound is required
> to pay to upgrade to the full version).
> OEM software may be licensed under conditions requiring that it be sold
> with computer hardware. To avoid contravening the conditions while
> passing OEM software savings on to end users, some retailers will sell
> OEM software with a "token" hardware device of small cost, such as a
> tiny 'SIMM' (http://en.wikipedia.org/wiki/SIMM) or a cable splitter.
> The practice of utilizing OEMs and Value Added Resellers (VARs) in
> today's cost competitive environment falls under the broader category
> of 'outsourcing' (http://en.wikipedia.org/wiki/Outsourcing) - a popular
> business strategy which taps into the original manufacturer's ability to
> drive cost out of production of the product through manufacturing
> economies of scale; thereby being able to pass on a more competitive
> purchase price to the reseller which, in turn, makes each partner in
> the transaction more competitive.


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