OpEx – NotCapEx
Upgrading technology in order to increase customer satisfaction or to increase efficiency faces the Return On Investment hurdle. The large capital expenditures needed to purchase the equipment, configure and implement it as well as the added staff and other costs of maintaining it are all encountered before the asset can begin to post an ROI. And investments of these sizes require budgetary planning and executive approval.
Being able to gain access to cutting edge technologies with little or no up-front expense and with all the costs of hardware, software, maintenance and development bundled into a per-minute use cost changes the business model and accelerate the time to positive ROI.
- Minimal to no up-front costs
- Costs are bundled into a per-minute of use price
- Costs incurred during use – as an Operational Expense – not as a Capital Expenditure
- Burden of implementation, scalability and maintenance not on the organization
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