What Total Cost of Ownership Really Means

Thursday, January 14th, 2010 at 10:00am -- Morgan GriffithBookmark and Share


When it comes to web content management systems, total cost of ownership (TCO) is a topic of frequent discussion. Unfortunately, the more you research, the more it becomes apparent that the definition of "total" is still up for discussion.

Especially when reading content regarding open source software (OSS), cost of ownership is rarely looked at in an aggregate way. Because OSS systems limit acquisition costs by foregoing the standard licensing fees found with proprietary systems, the initial lack of investment required by OSS solutions is marketed as one of the primary selling points.

The problem with this logic is this: rarely are license fees the only cost incurred when procuring a content management system. Especially when you're dealing with open source solutions, the lack of initial acquisition costs is more than made up for by the heavy investment made on the human side of things.

When you work with a proprietary system--and hence, the vendor that develops the product--you typically get more of a package deal than when choosing an OSS application. Product support, maintenance, and new development are all included in the up-front costs, which your potential vendor should make you aware of. With OSS systems, the burden is often placed on the user to maintain and develop the system.

Furthermore, if you're interested in dedicated product support or professional services to help you get implemented or answer questions, there typically isn't a dedicated resource provided with OSS systems. For example, the Texas state legislature notes that "the money an agency may spend for technical service, support, training, customization, and testing open-source applications may exceed its current known proprietary systems."1

Our suggestion? When you're shopping for a web content management system, above all else, do your research. The key goal here is to easily manage web content while mitigating potential risk when choosing the solution for your organization. You may find that you are able to get what you need out of an OSS and the lack of a dedicated support or services team isn't an issue for your organization. Whatever you decide, be sure to thoroughly evaluate the real potential costs to be incurred when choosing a proprietary solution vs. an OSS solution.

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1Interim Report 2008, House Committee on Government Reform, Texas House of Representatives


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