Update: Microsoft To Debut Flexible Licensing In Exchange 2003

In addition, the company plans to introduce a new unlimited-user option and connector that will give a customer's business partners and external users access to its licensed Exchange 2003 server.

Microsoft said it will release Exchange Server 2003 to manufacturing on Monday, June 30th and will make final version available to enteprrise customers by the end of the summer, with general availability by year's end.

"The new licensing option is consistent with Windows Server 2003. We feel it's important to provide customers with more flexible ways to license Exchange to mirror the value they place on e-mail. It's value-based licensing," said Missy Stern, product manager for Exchange.

Stern said the new per-user option will enable mobile users and information workers to have a single license for all of their handheld roaming devices that access the Exchange server.

In addition, the per-device option, which was first introduced with Exchange 2000, is "ideal for deskless worker scenarios," she said.

"In terms of users sharing kiosks and PCs, there's one license that covers all so you don't need to buy individual CALs [client access licenses] for all 75 users, just one for the kiosk. It's a more affordable way to license," Stern said.

Sources in the channel said the extension of the per-device CAL option to Exchange 2003, in combination with major improvements to Outlook Web Access, gives Microsoft a viable response to Lotus Workplace Messaging, a low-cost, standards-based e-mail server introduced earlier this year. They also said the connector for unlimited outside users will also go a long way to cut the cost of CALs.

The announcement fulfills a promise made by Microsoft when it launched the per-user, per-device model for Windows 2003 last year to extend a similar option for all of its servers, said one reseller of Microsoft licenses.

"We think this is a flexible option customers didn't have before," said Dave MacDonald, president of Toronto-based SoftChoice. "And [having an unlimited user] option would extend Exchange beyond the enterprise to non employees and partners."

Another solution provider, who asked not to be named, said the "license revision will lower the cost [of Exchange] to drive 2003 seats."

Microsoft executives wouldn't comment on a time frame for the Exchange 2003 launch except to say that it is slated for the fall. Channel sources have told CRN that the e-mail server, along with other components of the Office System 2003, are expected to be launched in September and ship in October.

Several solution providers noted that they were unaware that Exchange 2000 had a per-device option and have operated as if having multiple users work from the same Exchange 20000 client access license as illegal.

While the Exchange 2003 pricing will remain the same as Exchange 2000 CAL at roughly $100 per client access license the per-user, per-device licensing changes -- and new unlimited option for external users -- will both lower costs, solution providers ay.

"We are looking forward to Exchange 2003 RTM to take advantage

of some of the extended API set, and improved Outlook Web Access," said

Ken Winell, CEO and President of Econium, of Totowa, NJ. "The most significant change is the ability to allow one's clients, vendors, suppliers to access enterprise Exchange without license headaches. This will lower cost some exchange configurations. If they had per device [licensing] before, it wasn't highlighted."

BARBARA DARROW contributed to this story.