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January 08, 2016

Calculating Classic Value of 3000s

Hp3000_Family1The market price for HP 3000s on the used market can hover between $1,500 and $3,000, using quotes from Cypress Technology. Jesse Dougherty just posted an offer for an A-Class single-CPU system at the low end of that range. Licensing such a 3000's MPE is usually a second step. If it's a replacement 3000, there's a chance no upgrade fee would be involved.

But for the company that's seeking a fresh 3000, determining the market value with license gets to be trickier. HP 3000 gear is available from Pivital Solutions and other resellers, systems that ship with license documentation.

What's a license worth in 2016? We found a classic price point for MPE/iX in the archives of 3000 news from the winter of 2007. It was a year when HP support was still available in full-on versions, so HP was selling something it called the Right to Use License. This was the means to upgrade a 3000, and the extra power could cost as much as $89,000, less the current value of your MPE system. Business manager Jennie Hou explained.

There seemed to be confusion in the marketplace on how customers could ensure they had valid e3000 systems. We’re putting a product back on the price list to enable this for the 3000.  We’re really doing this to accommodate customers who need to upgrade their systems.

Client Systems was called out as the resource for the software upgrade, but that outlet may not be online in the market anymore. Midrange five-figure HP pricing for a server whose manufacture had halted more than three years earlier marked the final time the vendor put MPE/iX on its corporate price list. It's something to measure against when calculating licensed HP hardware value against the cost of virtualized HP 3000 gear.

About a year ago, Stromasys updated us with a base-level price for its Charon HPA line. $9,000 would get you the software needed to boot up MPE/iX in an A-Class power range. The HP iron on the used market may sound less costly, but it depends on the price of the license.

HP put out stout language to encourage buying license upgrades. "Using MPE/iX on original, upgraded, or modified hardware systems without the appropriate right-to-use license and/or software license upgrade from HP is prohibited.” The language wasn't in the original MPE/iX license that most customers hold now. HP explained that it was implied.

In the late stages of the previous decade, licensed 3000s carried some extra value because they qualified for HP support. But paying five figures for any of HP's 3000s today might be a stretch, because that solution won't ever get faster.

That's probably not the case for virtualized 3000s. It would require a replacement of the Intel PC hardware, but a Charon install could get faster by boosting CPU speed and cores. Threading matters less, because lots of 3000 software doesn't use multithreading.

When a manager looks back at that $89,000 from nine years ago, and then sees a server selling for less than five percent of that, the mid-point with a future built-in would be a virtualized 3000. More costly than the license-to-come HP iron. Less expensive than relicensing MPE/iX -- if there were anyone around to do that.

05:45 PM in History, Homesteading | Permalink

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