Helpful ReplyLifetime Upgrades - Too good to be true?

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jimkleban
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2016/05/20 21:44:17 (permalink)

Lifetime Upgrades - Too good to be true?

I know that many of us have asked this question, "How will Cakewalk survive without a steady revenue stream" by offering lifetime upgrades for as little as $99?   The simple answer is, "they can't" and I think we all suspect that answer.
 
However, perhaps in a new metaphor they still can.  Notice that the lifetime upgrade is for the CORE product. The audio engine, the midi editing, etc.  Will we be charged for the features that are added that aren't considered part of the core product.  Like the ability to change skins on the different views, perhaps that becomes an add on product and if we want that feature we pay extra?  Perhaps, all new development to SONAR will be for NON CORE functionality... if you come to think about it, what new stuff can be added to the core product (they have pretty much nailed the DAW environment and at this point not too much more work needs to be done).
 
I really do not know where the bakers are going with this but we all know that without new revenue, they can't stay in business and if they are not in business, we are not in business.  
 
But, I do have some blind faith and trust in the leaders of the CAKEWALK division in that these next chapters will be leading down some new paths which will create a new and different business model that will continue to generate revenue.  Perhaps they will become PLUG IN masters or sample library or preset creators that will extend the usefulness and features of SONAR.
 
Hopefully, the bakers will reveal where this is heading sooner than later.
 
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Anderton
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Re: Lifetime Upgrades - Too good to be true? 2016/05/20 22:06:47 (permalink) ☄ Helpfulby digimidi 2016/05/20 22:42:38
jimkleban
I know that many of us have asked this question, "How will Cakewalk survive without a steady revenue stream" by offering lifetime upgrades for as little as $99?   The simple answer is, "they can't" and I think we all suspect that answer.


There are always new people coming into the field of recording who want to buy a DAW. Cakewalk is making a concerted effort along two parallel paths to a) keep existing customers happy, and b) attract as many new customers as possible. Growth doesn't come from existing SONAR customers upgrading, that's just maintenance...look at how many people are still stuck on X1 or even 8.5. Those people could have all received free updates for life and it wouldn't have made a penny's worth of difference to the bottom line.
 
But they didn't get free updates for life, because they didn't continue to support SONAR and Cakewalk. The people who renewed Platinum DID. They deserve a reward. I guess in this day and age it's a weird concept to think that a company really appreciates its users. Oh well.
 
The success of Artist shows there are plenty of people getting into this field. As to "revealing" things, the Bakers are not going to reveal their strategy for how they plan to draw more people into the Cakewalk fold, because then bigger companies with more resources could say "Hey, that's a great idea! Why didn't we think of that?" and get to work.
 
Cakewalk has been around for decades. They didn't wake up last week and say "Hey! Let's do something really stupid, and then we'll go out of business!" And there's still plenty of work to be done with SONAR, including tackling some of the more obstinate bugs.
 
This is only the first part of a very far-reaching plan to stay in business and grow, not go out of business. Their core belief is that the happier the customers are, the easier it will be to stay in business. I'm certainly not going to try and convince them otherwise. 
 
 
 
 

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Re: Lifetime Upgrades - Too good to be true? 2016/05/20 22:13:06 (permalink) ☄ Helpfulby Adji 2016/05/23 05:42:44
Agreed

However , I am a satisfied customer , and me personally , I would rather( HAPPILY) pay 99 each year and know I am helping the lifetime of cakewalk .

I AM NOT SUPPORTING THE LIFETIME UPDATE - IAM SUPPORTING THE LIFETIME OF PLATINUM

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digimidi
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Re: Lifetime Upgrades - Too good to be true? 2016/05/20 22:22:31 (permalink)
if Craig thinks it is OK and legit, then I will most likely do it.  Just sayin'...

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Re: Lifetime Upgrades - Too good to be true? 2016/05/20 22:25:35 (permalink) ☄ Helpfulby FCCfirstclass 2016/05/21 11:27:19
By the way, I have been with Cakewalk for a very, very long time, going back to Home Studio and then getting the Pro Audio range, then the Sonar range, the X-Series range, and finally the Platinum series range.  I have been using Cakewal FOREVER!

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Re: Lifetime Upgrades - Too good to be true? 2016/05/20 22:26:27 (permalink)
jimkleban
. if you come to think about it, what new stuff can be added to the core product


· MIDI sends so you can send one MIDI track's MIDI events to multiple soft synths or MIDI in enabled Plugins
· a routing map - a great addition to see where tracks are routed to and what effects are used where... would be useful now we have AUX tracks
 · Controller panes that are not a pain to use (..see what I did there)....  ie, Currently, when you view a track in PRV that has many controllers, all of the controller panes open up in tiny lanes, making them a pain to edit. This could change.
.  Horizontally scalable automation envelopes - currently, if you Horizontally scalable a clip (CTRL drag edge of clip), any automation envelopes that are also selected with that clip do not follow the Horizontally scaling - use have to redraw the envelopes.

This is just to name a few.

I am sure the bakers are working on things we have not thought of that will be included in the core updates....

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phlosten
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Re: Lifetime Upgrades - Too good to be true? 2016/05/20 22:29:32 (permalink)
I think this is a positive direction for Cakewalk Sonar. There is probably plenty of revenue to be made from their other products and continued development without changing the core product. Look at all the added features we have received for the last 12 months or so for really little cost to us at the end of the day. Growth of a business doesn't come from current customers.
 
Also keep in mind Image Line have been doing the free lifetime upgrade dance for quite some time now and I think they are still doing OK as a business (they are still in business and they seem to have a fair amount of users around the place). I have never used it so I don't know if the ecosystem is terrible around it, but I certainly haven't read any horror stories.
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jimkleban
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Re: Lifetime Upgrades - Too good to be true? 2016/05/20 23:18:51 (permalink)
Craig, I think you said the same thing I was poorly trying to say.  I was attempting to be positive but still wondering how this model is going to work? I have been using CAKEWALK at least as long as you have, and I have never wavered away from this platform.  
 
So, I was hoping someone was going to explain the CORE program language, it seemed quite legalize to me.  I am just curious on where this is going and not doubting the direction.  In my mind, new features may not be CORE program and we wind up paying for them if we want them.  And as long as the value is there, I don't see anything wrong with this.  But, hopefully you can see how this raises many questions for the "FOR LIFE" language.
 
Jim
 
 
post edited by jimkleban - 2016/05/20 23:44:54

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Re: Lifetime Upgrades - Too good to be true? 2016/05/20 23:46:37 (permalink) ☄ Helpfulby RD9 2016/05/21 00:14:20
I think it stands to reason that new customer sales create more revenue than existing customer upgrades but they BOTH create revenue. The OP's concern (as I understand it) is: Can Cakewalk continue to service their existing customer base at it's present level without the revenue generated from annual membership payments?
Personally, I'm more than happy to pay $199 Australian Dollars per annum for 12 months of updates, new content and bug fixes etc. Getting a lifetime of updates for as little as $150 Australian Dollars is clearly a no-brainer for the consumer, but when that consumer is both cynical (and a Scottish ex pat to boot) he can't help but harbour suspicions that Cakewalk might have some urgent cash flow leakages that need stemming mighty soonish.....I would love nothing more dearly than to be completely wrong about this.
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Re: Lifetime Upgrades - Too good to be true? 2016/05/21 00:14:13 (permalink)
The post by "exitthelemming" makes some really valid points (although I personally would put an appropriate figure at $100 pa for this software).  I am especially concerned about the Gibson VP's statement that "Growth doesn't come from existing SONAR customers upgrading, that's just maintenance".  This is probably true when there is a small or shrinking user base but if there are enough users and the ones leaving are being replaced by new users then upgrading should be able to pay for improvements.   It makes me worry about whether Sonar is foundering or Gibson is driving Sonar to get a higher return on investment.  Of course they would not articulate this and it may not be the case. 
 
In any case, it seems like Sonar will be going through some big changes over the next few months and I fear that the core functions, which I tend use most of the time, will not be improved, just maintained.
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Re: Lifetime Upgrades - Too good to be true? 2016/05/21 00:22:40 (permalink)
Paying 99.00 a year is even cheaper than the onboard upgrade paths from 6 to 7 to 8 etc which came around every October or so and cost around 149.00 to bump up.
 
I don't really need a new plug or synth as I do (or try to do) pop country. So I am temped to buy in as a lifer.
 
I wonder if the show stopper melodyne temp map dealie would be considered core or extra.
That for me has been the best thing since I said "Look hun, no tape!" wayyyy back when.
 
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Re: Lifetime Upgrades - Too good to be true? 2016/05/21 00:37:26 (permalink) ☄ Helpfulby Vastman 2016/05/21 02:56:52
FL Studio did it when it was just FruityLoops and it seemed to work out okay for them.
 
I nearly had a heart attack when I read the email (on my phone). As soon as I got home and could read it again I whipped out my credit card and took the plunge. Heck this investment pays for itself in under a year and I can write it off!
 

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Re: Lifetime Upgrades - Too good to be true? 2016/05/21 01:31:14 (permalink) ☄ Helpfulby Vastman 2016/05/21 02:57:26
taccess
Agreed

However , I am a satisfied customer , and me personally , I would rather( HAPPILY) pay 99 each year and know I am helping the lifetime of cakewalk .

I AM NOT SUPPORTING THE LIFETIME UPDATE - IAM SUPPORTING THE LIFETIME OF PLATINUM



 I never treat a business as a charity.  They have many ways of making revenue.  They get a cut of 3rd party stuff sold in the shop.  I'm not sure but their beginner DAW use to be sold in stores.  Then there are also sales from Steam.  Not everyone on the planet owns a license of Z3ta yet.   They also get revenue from the Reason rack extension that Reason users talk highly of.
 FL users feel the same way because they think the free updates is going to be their downfall but the mods tell them it hasn't failed yet after 10 plus years.

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Re: Lifetime Upgrades - Too good to be true? 2016/05/21 01:59:26 (permalink)
I just bought it, really its a no brainer, I reckon.
 I ain't likely to be changing my music software any time soon.
It works and loving the new updates and looking forward to the new themes etc.
 

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Re: Lifetime Upgrades - Too good to be true? 2016/05/21 02:02:36 (permalink)
RD9
I am especially concerned about the Gibson VP's statement that "Growth doesn't come from existing SONAR customers upgrading, that's just maintenance".  This is probably true when there is a small or shrinking user base but if there are enough users and the ones leaving are being replaced by new users then upgrading should be able to pay for improvements.



I was referring to maintenance of the business, not the program - what people call "keeping the lights on." But as I've said in other threads, people need to understand SONAR is the company's flagship program. Any future products will flow from what has been learned developing SONAR. To stop improving SONAR would essentially mean there was no more interest in creating new technology, which I can assure you is not the case. 
 
Don't read too much into the "Executive Vice President of Gibson" title. I've spent the last two weeks involved in the KRK web site re-design, creating videos, working with Dendy Jarrett on some really interesting Harmony Central initiatives, and looking into an improved re-stringing procedure for Gibson's HP series guitars (which are effing awesome, but I digress). I was a SONAR user long before I joined Gibson...from when it first released as a beta, actually. I wield no dictatorial or even executive powers, but I'm just as happy to help the cause as I was before joining Gibson.
 
Cakewalk is truly a partnership with the company and its community of users. I just happen to be associated with both 

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Re: Lifetime Upgrades - Too good to be true? 2016/05/21 03:02:42 (permalink)
I think this is a brilliant move...Core functionality is my primary desire.  I'd rather pick and choose the add ons.  I have toooo much stuff I don't use already!  Then again, before the offer is up we will have a much better idea of the full range of options and what they all mean... There is no need to panic or jump before fully reflecting on information once it's released.
 
The unknown is what's "core" and what's an add on...Themes is a perfect example, as I just love the new one... If I upgrade to Core forever, I'm happy to pay $10 for every new theme someone comes up with, if I like um... In the mobile world, this is an entire main part of some app's revenue streams!  5-10$ here and there?  A couple coffees for a new look?  
 
I'd expect console folders, arranging, and many of the suggestions on the forum fall into "core" programs.  A better arpeggiator module?  Something like Catanya or Kirnu Cream? I'd consider that an "add on" and for purchase.  
 
Just some rambling thoughts... In a slick way it addresses chronic complaints by some about getting things they don't need or want instead of daw stuff they can't get elsewhere.  It allows for choice... in the end, the ala carte might be more expensive if you buy EVERYTHING so the yearly subscription would make sense until you have built up a reservoir of tools you're happy with...
 
One thing ya have to say... the Bakers ain't sittin' on their laurels!  Based on my long experience and the way it folds into Gibson's product line, I don't feel the least bit worried or cynical.  If you DO, stick with the yearly model.
 
 
 
 

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Re: Lifetime Upgrades - Too good to be true? 2016/05/21 04:23:58 (permalink)
Yeah I think the devil will be in the details and we're going to need to wait and see what in fact you actually get for the lifetime upgrade vs the existing subscription model and if there are pricing changes coming to the latter. We'll know on June 1.
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Bassman002
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Re: Lifetime Upgrades - Too good to be true? 2016/05/21 05:23:25 (permalink)
HI:)
 
I'm not sure what to do, I think we should know what's inside and outside Life Time Upgrade!
 
Bassman.
 
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jpetersen
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Re: Lifetime Upgrades - Too good to be true? 2016/05/21 05:39:08 (permalink)
jimkleban
If you come to think about it, what new stuff can be added to the core product

A look inside the Feature Requests and (especially) Problem Reports forums could answer that.
 
But as Noel said, it is new features that gets people reaching for their credit cards, not bugfixes.
 
If regular update fees really are only a small part of the overall income stream, this deal is not such a big hit on revenue. And since FL is doing this already, it seems to work?
 
I use Sonar a lot and I skipped versions because bugs in 8.5 were not fixed. I am primarily bugfix driven and moved to SPlat mainly for fear of being left totally behind.
 
But I still wonder what will happen to the admittedly insignificant bit of leverage my annual payment gives me to nudge the Bakers to fix those bugs that annoy me every day if I take the Lifetime deal?
 
I'm inclined to wait for the 1st June and get the full details before jumping. We have 2 more months to act (foreshortenings notwithstanding).
 
H'm.
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Re: Lifetime Upgrades - Too good to be true? 2016/05/21 06:15:08 (permalink) ☄ Helpfulby Skyline_UK 2016/05/22 02:51:39
digimidi
By the way, I have been with Cakewalk for a very, very long time, going back to Home Studio and then getting the Pro Audio range, then the Sonar range, the X-Series range, and finally the Platinum series range.  I have been using Cakewal FOREVER!


Good point! I wonder, what lifetime are we talking about? User's lifetme? Company's lifetime? PC Lifetime? Or product line lifetime?
If this update plan actually means flagship product of the company for user/company lifetime then it's quite an offer. If it's something else I'll probably stick with annual updates.

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Re: Lifetime Upgrades - Too good to be true? 2016/05/21 06:57:18 (permalink)
KiteKrazy 1

I never treat a business as a charity. They have many ways of making revenue. They get a cut of 3rd party stuff sold in the shop. I'm not sure but their beginner DAW use to be sold in stores. Then there are also sales from Steam. Not everyone on the planet owns a license of Z3ta yet. They also get revenue from the Reason rack extension that Reason users talk highly of.
FL users feel the same way because they think the free updates is going to be their downfall but the mods tell them it hasn't failed yet after 10 plus years.

Platinum to me is more than a business it's apart of who i am ,I will stick to supporting them in the best way for the long term ,I hope that everyone's concerns are CORRECT and there main revenues is secure , but for me it's $99 per year with a smile (: .

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Re: Lifetime Upgrades - Too good to be true? 2016/05/21 07:33:51 (permalink)
I'll wait for the announcement 1.6.2016. First I want to see what Cakewalk plans.
Then I can decide to 31.08.2016 for lifetime upgrade or not.
 
 

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Re: Lifetime Upgrades - Too good to be true? 2016/05/21 10:03:16 (permalink)
jimkleban
I know that many of us have asked this question, "How will Cakewalk survive without a steady revenue stream" by offering lifetime upgrades for as little as $99?   The simple answer is, "they can't" and I think we all suspect that answer.
 



This is true, they can't.
 
Anyone remember "lifetime" memberships to a gym? vacation clubs? magazines?
"Lifetime" memberships can not work for the user's lifetime. See the law of diminishing returns.
From a purely "business analysis", it is a last ditch effort to get an influx of cash. It has been obvious, the existing "membership" model did not generate the anticipated revenue. As the "introductory" pricing was never replaced with a higher "permanent"  price model. Now, after what, 15 or so months, a "new" pricing strategy. I'm not very positive on the long term survival of our beloved Sonar. I just hope the "maintenance" releases eventually get us a rock solid version before the money runs out.
 
[Okay fans, this is where you tear me a new one for being so negative]

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Re: Lifetime Upgrades - Too good to be true? 2016/05/21 10:40:25 (permalink)
There are several online games that went from monthly/yearly models to free, and they pulled in so much cash that they vastly expanded their business. People like to pay for microtransactions. They want a more modular buying experience where they purchase what they want. If the carrot on the stick is the free/discounted program, people are more likely to spend more on in-house developed and third party add-ons, even if that means spending more than what they would normally spend on the original program update/expansion because it's viewed as an extra value, which is true. I never have to pay for the core program again, and I see this as a Great Value. I've been using Cakewalk products since '95. The past year has been a banner year, and the company only getting better after the Roland Debacle. I'm excited for the future.

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#24
pdlstl2
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Re: Lifetime Upgrades - Too good to be true? 2016/05/21 10:44:08 (permalink)
  
post edited by pdlstl2 - 2016/05/21 11:31:16
#25
bapu
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Re: Lifetime Upgrades - Too good to be true? 2016/05/21 10:52:59 (permalink)
jimkleban
So, I was hoping someone was going to explain the CORE program language, it seemed quite legalize to me.



 
They already have many times over in the large sticky thread at the top of this forum. And in the thread in the deals forum.
 
To paraphrase Noel, in the last 18 months had a lifetime plan been available those lifetimers would probably have not gotten Drum Replacer (it would have been a paid option for them) but they would have gotten EVERYTHING else that the yearly members got (whilst the yearly members would hav gotten Drum Replacer at no cost).
 
Drum Replacer is a separate installer. It is not a "CORE" feature. Simples.
#26
Andrew Rossa
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Re: Lifetime Upgrades - Too good to be true? 2016/05/21 10:56:41 (permalink) ☄ Helpfulby Soundwise 2016/05/21 15:11:09
Soundwise
digimidi
By the way, I have been with Cakewalk for a very, very long time, going back to Home Studio and then getting the Pro Audio range, then the Sonar range, the X-Series range, and finally the Platinum series range.  I have been using Cakewal FOREVER!


Good point! I wonder, what lifetime are we talking about? User's lifetme? Company's lifetime? PC Lifetime? Or product line lifetime?
If this update plan actually means flagship product of the company for user/company lifetime then it's quite an offer. If it's something else I'll probably stick with annual updates.


The lifetime updates are of course in reference to the lifetime of the product. We've been doing SONAR for about 16 years, no intention to stop. The future is bright. I see your price is $99 to get lifetime updates (because you already paid $99 earlier this year). If you opted to stick to annual, at the current price you would pay $149. Let's say you multiply this by 5 years. After 5 years, you'd pay $750 going annual. With lifetimes you have essentially paid $99 now (and $99 earlier this year) for a total of $200. Let's use the same logic for 10 years, after 10 years you'd pay $1500 vs. $200. 
 
Now, no one, not even us, can answer what the lifetime of SONAR is...is it 10 years, 100 years, 1000 years. What was the recording industry like 40 years ago? But we are more committed than ever and don't forget this our job as well. 
 
And finally, this is for the SONAR Platinum, our flagship. Clearly stated in the email.
#27
John T
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Re: Lifetime Upgrades - Too good to be true? 2016/05/21 11:16:38 (permalink)
Since we're doing fairly baseless speculating, here's my fairly baseless speculation:
 
I'd guess (only a guess) that Platinum isn't where the majority of revenue comes from anyway. I'd imagine that Platinum users are the smallest customer group, but also the most loyal customer group.
 
Now, if I've got that right, this move makes a lot of sense. Why not consolidate that loyalty further? It probably doesn't cost anything in the long run. You're talking about exactly the kind of users who will buy add ons and extensions and what have you.
 
 

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#28
Anderton
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Re: Lifetime Upgrades - Too good to be true? 2016/05/21 11:41:13 (permalink)
jatoth
jimkleban
I know that many of us have asked this question, "How will Cakewalk survive without a steady revenue stream" by offering lifetime upgrades for as little as $99?   The simple answer is, "they can't" and I think we all suspect that answer.
 



This is true, they can't.
 
Anyone remember "lifetime" memberships to a gym? vacation clubs? magazines?
"Lifetime" memberships can not work for the user's lifetime. See the law of diminishing returns.



See post #2. You are missing the point, as well as the potential revenue sources.

The first 3 books in "The Musician's Guide to Home Recording" series are available from Hal Leonard and http://www.reverb.com. Listen to my music on http://www.YouTube.com/thecraiganderton, and visit http://www.craiganderton.com. Thanks!
#29
subtlearts
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Re: Lifetime Upgrades - Too good to be true? 2016/05/21 11:50:18 (permalink)
John T
Since we're doing fairly baseless speculating, here's my fairly baseless speculation:
 
I'd guess (only a guess) that Platinum isn't where the majority of revenue comes from anyway. I'd imagine that Platinum users are the smallest customer group, but also the most loyal customer group.
 
Now, if I've got that right, this move makes a lot of sense. Why not consolidate that loyalty further? It probably doesn't cost anything in the long run. You're talking about exactly the kind of users who will buy add ons and extensions and what have you.



For self-avowed baseless speculation, that makes a bunch of sense to me. And I'm in... but waiting a bit for a moment of fiscal calm. Only so many musical purhases a month can be justified to significant others that have, in some cases, significantly other ideas about how money ought, or ought not, to be spent. But this, I think, is an easy one to defend... 

tobias tinker 
music is easy: just start with complete silence, and take away the parts you don't like!
tobiastinker.com
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soundfascination.com
Sonar Platinum, a bunch of other stuff...
#30
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