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Advantages Of Proprietary Software For Businesses

Advantages of proprietary software

Proprietary software developers work on creating software solutions for a range of individuals and businesses. Whether for personal or business use, you’ll have accepted a proprietary software license agreement that limits your use. Proprietary software licenses will make it clear that your use of the software is for personal or business use only, and must not be distributed or modified in anyway.

But what are some key examples of proprietary software from the biggest proprietary software companies? Where can it be used for people and businesses? And what are some of the key advantages and disadvantages of proprietary software? We’ll explore all this and more below.

What Is Proprietary Software?

Proprietary software is a form of software that requires a software license to use. You don’t actually own the software upon purchasing it, and it doesn’t permit you to distribute, modify, or alter the software in any way. You’ll need to accept this before you’re even allowed to use the software.

There are many different types of proprietary software. From proprietary antivirus software to more practical solutions for workplace productivity, there’s countless examples of software which requires a license agreement to use, but allows the proprietary software owners to keep the software as their intellectual property and copyright. Here, the software’s source code is a trade secret and can’t be made available publicly. That means you can’t view, copy, modify or distribute the source code.

Proprietary software differs from open source solutions. Open source alternatives allow the source code to be inspected, edited, and copied as they please. Open source software is very different to proprietary operating systems in this way.

A huge number of companies are developing proprietary software – some as commercial software for the general public, which are then often outsourced to proprietary software vendors to sell – and others choose to develop this software for internal use for companies and businesses that demand software solutions to their problems, but who don’t want their competitors to access it. Almost every type of app or computer software is an example of proprietary software.

Examples Of Proprietary Software

There are plenty of proprietary software options for UK businesses and individuals.

Some of the most well-known examples of proprietary software include:

  • Adobe PhotoShop
  • Microsoft Word
  • Apple iTunes
  • Google Earth
  • Skype
  • QuickBooks

 

Not all of these proprietary software examples are actually paid for. Paying a licensing fee isn’t what makes proprietary software proprietary, rather it’s the terms and conditions you must accept before you can use the software where you agree not to distribute or modify the software at all.

Pros and cons of proprietary software

Pros And Cons Of Proprietary Software

Most businesses in the UK will use at least one piece of proprietary software to get their job done. Microsoft Word is probably the most obvious, but even QuickBooks and similar accounting software are becoming more and more vital to a business’ operations.

There are, of course, advantages and disadvantages to all proprietary software, so it’s worth considering these if you’re questioning whether investing in paid-for proprietary software is right for your business or not.

Let’s take a look at the pros and cons of proprietary software below.

Benefits Of Proprietary Software

There are a huge range of positives to proprietary software – from functionality that ensures a user friendly experience for all businesses, to customer support through more confusing times. But that’s just the start – let’s explore those and more below:

Range Of Functionality

In most cases proprietary software developers focus on making money from their software, meaning they put a lot of effort in to ensuring the software is actually something users want to use, and more importantly, can use. Proprietary software makes money because of its often impressive functionality that makes its use a stress-free experience.

Look at Skype. It’s used by countless businesses across the world, and can often be the main form of communication between business branches in different parts of the country or globe. Setting up an account is easy, the messaging system is simple, and making voice and video calls is intuitive. Its user friendliness sets it apart and makes it accessible to all – which is why it’s so popular for a range of businesses.

Customer Support

Perhaps the best part of paying for proprietary software is that owners of that software often invest in strong customer support so that users can really get to grips with it and make it an everyday part of their business activities.

No matter the issue; installation, updates, or usability, most proprietary software will have a customer service team in place that can guide you through the whole process to get you in a position where you can use the software again in no time. Many even have 24/7 online chats, making access to technical expertise easier than ever.

Reduced Cost Of Upkeep

Open source software often has hidden costs. Whilst there’s usually low or no upfront cost, there is often a requirement to pay for third party support if you need to customise the software to suit you or if you need help with installation or updates. There’s often no support system in place for open source software, making things a little more complicated over time.

Yet with proprietary software, your costs are significantly reduced, increasing cost effectiveness despite the higher initial investment in the software. With regular updates you’ll see improvements in functionality, assistance where necessary, and constant maintenance to improve the software – all for free!

Disadvantages Of Proprietary Software

Of course, with advantages come certain disadvantages of proprietary software, too. Here are some of the main ones you’ll want to consider before investing in proprietary software for your business.

Initial Investment

We’ve touched on it already today, but the popular examples of proprietary software will almost always cost you money. For most proprietary software, you’ll need to purchase a license to use it.

Different developers of software charge for its use in different ways. Some may ask for an upfront, one off payment which will give you lifetime access (usually for a significant fee). Others instead choose to charge on a monthly or annual subscription license basis, meaning you’ll have access to the software for as long as your business is paying for it, but when that money stops, so does your access.

Regardless, there is an initial investment in this software that must be considered carefully to ensure it’s worth it for your business.

Lack Of Customisation Available

Software with an open source code has a distinct benefit over proprietary software, and that’s that it can be customised to suit you – proprietary software cannot. You get what you’re given with proprietary software and there’s little option when it comes to adapting it to suit your business needs better. It also means if a feature is removed, you lose it, even if it was especially useful for you.

Look at Microsoft Word. You can customise a few options so that your toolbar looks a little different and features the things you use most, but beyond that, you can’t do much.

That’s because the source code isn’t accessible, so you can’t view or edit it. Open source software can, however, be edited by accessing the code, allowing you to tweak the software to suit your business better.

License Limitations

Leading on from this, after paying for access to proprietary software, you’ll also notice restrictions on how you can use it – limiting use to a single computer or just one network of computer systems. That means there are limits to how much you can share that software, even amongst your employees. It could mean purchasing more than one license, increasing cost.

Typically the license terms will state that you can’t redistribute (share) the software – it belongs to the developer and only the developer has the right to share access to it.

Open Source vs Proprietary Software

To really understand the advantages of one piece of software over another, you need to really understand the different types of underlying source code – open source vs proprietary source.

Both proprietary software and open source have their pros and cons of course. Open source software usually comes at a much lower cost initially, but it can cost more to keep it running as maintenance and integration will often need third party support.

On the opposite end of that spectrum, proprietary software will come at a higher cost upfront but will usually have all future updates and support included in that price, so you only need to focus on using the software and getting used to any new features that are brought out. Of course, you’ll have tech support on hand for free to help with all that, too.

With proprietary software often getting much more regular updates than open source, proprietary software is seen as the more secure option, as security patches can be brought out with ease. Malicious users can manipulate the source code much easier with open source software than they can with proprietary.

On the flip side of that argument though, is that if there are any usability concerns or way to improve the software, open source software can bring updates and fix bugs much quicker because the source code is so accessible to the best minds around the globe.

It’s also worth noting that proprietary software is often much more user friendly, and, frankly, is the least frustrating option to use in many cases. Proprietary software developers charge you for the software, so it has to be good and have decent functionality that actually allows you as a business to achieve what you’re hoping to achieve with your new software.

Open source software isn’t anywhere near as controlled, and therefore isn’t always the most sleek or professional solution to a business problem. However, if you have the right staff at your business, they may be able to create something completely unique to you that solves a key business problem that can give you a competitive edge over others in the industry.

Do you have to pay for proprietary software

Do You Always Have To Pay For Proprietary Software?

Most proprietary software development takes place with monetisation in mind, but not all do. Some of the biggest developers like Adobe, Microsoft and Oracle have paid-for and not-paid-for options. Regardless, they all come under proprietary software.

For example, Internet Explorer by Microsoft is a proprietary internet browser. It’s free to use, but you can’t access the source code in any way, which makes it stand apart from open source software. This protects Microsoft from competitors like Google from being able to look at the source code and copy it for their own internet browsers.

Conversely, Mozilla Firefox is an open source internet browser. It’s compatible with a wide range of operating systems and computer systems and can be utilised by more users as a result. Individuals can also view and edit the source code to make the browser more unique to them and their needs.

Related Questions

What is the purpose of proprietary software?

There’s no hiding from the fact that most businesses who develop proprietary software do so to make money. However, this means that proprietary software is usually designed with the user in mind, meaning that the interfaces are usually simple to use and include the features that users crave. Despite the initial investment when purchasing proprietary software, it typically comes with technical support as well as regular updates to add new features and improved security.

Is Linux a proprietary software?

Linux is an open source operating system, and is one of the biggest open source software projects in the world. This means that the source code for Linux is publicly available to view, edit and copy by users across the globe.

What alternative is there to proprietary software?

The alternative to proprietary software is open source software. Whilst proprietary software is usually developed for monetary gain and keeps its source code hidden from the general public, open source software makes its source code freely available for users to inspect, modify and distribute for free.

In Summary

If you use a computer, it’s likely that you own licenses to proprietary software. Some of the most popular pieces of software in use are proprietary, such as Microsoft Word, Apple iTunes and Adobe PhotoShop.

Proprietary software has many advantages, including technical support, usability and functionality, making it a popular choice for a range of businesses. However, it’s also important to note that there are some disadvantages of using proprietary software, and these should be carefully weighed up before making a decision as to the best type of software to choose to solve any business issue you may be facing.

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