Why secondary software pays off for municipalities: Stability and savings without cloud pressure

Lucie Zarembová, COO of Forscope, explains proven and reliable perpetual licenses, especially if procured through the secondary software market, remains the most advantageous choice for the public sector.

In today’s world, the digitalization of public administration is often narrowed down to a single path: an immediate move to cloud subscriptions. However, for many towns and municipalities, this model represents an unexpected financial burden and a loss of control over their own assets. What many public institutions don’t realise yet is that there is an alternative that can be significantly more budget-friendly while providing the same functionalities: perpetual licenses procured through the secondary software market.

Perpetual licenses vs. subscriptions: What is the difference?

In the software world, there are two basic approaches to licensing. The first is the perpetual license (permanent license), which an organization buys once and it becomes their property. You can use this software for as long as you need, and within the EU, you can legally resell it if you no longer use it.

The second model is the subscription, where you essentially rent the software as a service. The license is never truly yours, and as soon as you stop paying monthly or annual fees, you lose the right to use the software.

Although the purchase of a subscription may at first seem like the better option due to its relatively low entry costs, perpetual software licenses still provide certain benefits over the “renting” model. The key is to find the most cost-efficient sourcing option.

Secondary software as a path to budget savings

For many public organizations, the secondary software market (used software) is the most sensible route. Administrative agendas do not change dramatically overnight, and the priority is stability and predictability rather than chasing the latest features.

The benefits of secondary software are clear:

Significantly lower price: Purchasing office suites or operating systems from the secondary market saves a substantial portion of the budget.
Monetization of redundant software: When transitioning to new systems, a municipality can sell its surplus perpetual licenses and return funds to the budget.
Predictability: Unlike the cloud, where prices can fluctuate, with perpetual licenses, you know exactly how much you have invested.

How to avoid risks on the secondary market?

The secondary market offers great opportunities but requires caution. A common pitfall is the sale of “product keys” without actual licensing rights or the use of forged documents regarding the origin of the software.

If a deal is suspiciously cheap and the supplier cannot demonstrate a clear chain of title, it is better to walk away from such a transaction, even if it looks like a “super deal” on paper.

In public tenders, it is not just about IT functionality, but also about reputation and the risk of sanctions or corrections. A quality supplier must be able to prove the origin of every license and provide complete documentation that stands up to an audit.

When to start planning purchases?

Most investment decisions in the public sector peak in the fourth quarter (Q4). To avoid stress and errors, it is ideal to start a license inventory as early as spring.

Mapping out what the municipality actually uses, what is lying idle, and where support is ending (e.g., Windows 10) allows for the design of an optimal mix of solutions. For older hardware that does not meet the requirements for Windows 11, solutions such as the Windows 10 LTSC (Long-Term Servicing Channel) edition from the secondary market or the ESU (Extended Security Updates) program may be the answer.

Find out more about ESU and Windows LTSC in our article: The October 2025 End-of-Support Business Dilemma: Upgrade, ESU, or alternative options?

What does cooperation with Forscope bring to municipalities?

Financial Savings: Significantly cheaper purchases and the possibility of selling unused licenses.
Legal Certainty: Licenses are fully documented, transferable, and audit-ready.
Sustainability: Extending the lifespan of software and hardware reduces the production of e-waste.