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November 13, 2018 2:36 pm

Israel Renews Licensing Agreement With Microsoft

avatar by Reuters and Algemeiner Staff

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Silhouettes of laptop and mobile device users are seen next to a screen projection of Microsoft logo. Photo: Reuters / Dado Ruvic / Illustration.

Israel‘s government signed a new software supply deal with Microsoft on Tuesday, three months after saying it would not renew its contract with the firm due to a change in license terms that would have doubled its price.

In a statement, the Finance Ministry did not disclose financial details.

In August, it had said that under its current framework agreement with Microsoft, Israel pays more than 100 million shekels ($27 million) for the procurement of Office desktop software, Windows and server software for ministries and government offices.

The ministry said its new deal meets the government’s needs and maintains government spending.

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Microsoft had tried to shift Israel from a licensing system where it owns the software and can use the software as it wishes, to a subscription system that is similar to renting. It also sought to move data to the cloud.

A government source said much of the current contract was left in tact.

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