Cisco licensing optimization saves broadband provider $16M
Summary
Customer overview
Our customer is a family-owned broadband provider that delivers reliable internet and communications services to residential and business customers in the Midwestern U.S.
The challenge
Our customer’s networking infrastructure investment had grown substantially, with Cisco equipment and software forming the backbone for its services. However, annual operating expenditures (OpEx) for Cisco infrastructure had continued to rise year over year, making the cost of supporting and maintaining Cisco assets unsustainable.
Furthermore, from an administrative standpoint, the Flex consumption model was complex, and our customer found Cisco licensing optimization, administration, and renewals unclear and time-consuming.
GDT solution: Consolidated buying program and Cisco licensing optimization
To help resolve our customer’s Cisco licensing challenges, GDT kicked off the engagement with our Cisco lifecycle assessment. This assessment combines an automated review of a customer’s Cisco estate with GDT’s deep Cisco buying program expertise. The goal of this assessment is to surface opportunities to streamline and save money by consolidating Cisco software and maintenance contracts into enterprise agreements (EAs). The assessment also allows GDT to identify opportunities to achieve outcomes like Cisco licensing optimization, standardized support, and streamlined software asset management.
Based on the assessment, GDT worked with the customer and Cisco to design a new buying program around Cisco’s IOS-XR product families. A five-year Integrated Purchase Agreement formed the cornerstone of this solution, which included a Service Provider Network Agreement for routing, service and support, and expanded hardware discounting. By structuring the agreement this way, GDT was able to consolidate our customer’s software and maintenance agreements under a common renewal date, align Cisco’s program flexibility with the customer’s financial objectives, and simplify procurement.
The approach
GDT’s partnership demonstrates how an experienced advisor with deep Cisco buying program expertise can deliver measurable business outcomes beyond technology deployment. By simplifying licensing, optimizing support, and aligning with corporate cost-reduction goals, GDT helped our customer protect its Cisco investment while reducing OpEx by $16 million over five years.
Our customer praised GDT’s ability to analyze and interpret its historical purchasing data, which far surpassed what the company could have achieved internally. Leaders also appreciated GDT’s ability to guide them through multiple theoretical scenarios over a two-month evaluation period. By modeling different outcomes and comparing the new program to their previous approach, they gained the insights and confidence they needed to move forward with the new approach.
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The results
Save 15% or more across your Cisco estate
Are you making the most of your Cisco investments? GDT has helped countless customers save and streamline through Cisco EAs and spend optimization. Our process begins by gaining a deep understanding of your environment and business objectives through a complimentary Cisco lifecycle assessment. We collaborate closely with you to build a plan that offers better pricing, better coverage, and better management, all in alignment with your financial strategy and technology roadmap. By consolidating a la carte investments into cost-effective EAs, we’ve found that the average customer can save 15%.
Get started today. Schedule your complimentary Cisco lifecycle assessment.
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