Core service · License negotiation

Mainframe license negotiation, from strength.

Your vendor negotiates mainframe agreements every week. You face them once every three to five years. We close that gap: 500+ engagements, $180M+ in mainframe spend negotiated, and a 20 to 35% typical reduction on renewal spend.

02

The situation

RenewalsNet newMetric transitions

Mainframe renewals are engineered to close on the vendor's terms. The quote typically arrives late, priced against a capacity baseline you never validated, with an uplift justified by a price list you cannot benchmark. IBM raised list prices across most offerings by roughly 6% for 2026, Broadcom (CA) renewals commonly open with double digit uplifts, and BMC suite agreements quietly drift away from what you actually run.

The pattern is consistent across publishers: the vendor controls the clock, the data, and the comparison set. Negotiation outcomes change when the buyer takes all three back. That is the engagement.

Common openings we are hired into

  • A renewal quote with an uplift the business cannot absorb and a deadline under 6 months
  • A metric transition proposal, MIPS to MSU or MLC to Tailored Fit Pricing, priced by the vendor's model
  • A portfolio consolidation push that bundles products you no longer run into a bigger commit
  • A net new purchase where list pricing is the only reference point on the table
03

Our approach

BaselineReconcileLeverageClose

Four steps, run in sequence, ideally across a 12 to 18 month runway. The method is the same whether we sit visibly at the table or work invisibly behind your team.

The method

  • Baseline. Full portfolio inventory: every product, every contract, MIPS or MSU per product, term expiry per agreement. Most estates discover shelfware and overlapping entitlements in this step alone.
  • Reconcile. Actual consumption against contracted capacity, with SCRT and R4HA data validated independently. The gap between contractual and consumed capacity is negotiating capital.
  • Leverage. Alternative evaluation, metric transition options, timing strategy, and the credible walk away built before the vendor controls the clock. Vendors price against your alternatives, so we make them real.
  • Close. The renewal locked with uplift caps, consumption protections, audit clause hygiene, and exit rights. The structural terms typically matter more than the headline discount by year three.
04

What changes with us in the room

The vendor's negotiators lose their information advantage. Every claim about your consumption gets tested against your own validated data. Every "standard" term gets compared against the agreements we see across the market. Every deadline gets renegotiated the moment it stops serving you.

Across 500+ engagements and $180M+ in negotiated mainframe spend, the typical outcome is a 20 to 35% reduction against the opening renewal position, plus the structural protections that keep the next renewal honest. We are paid by clients only, never by vendors, so the only number we optimize is yours.

05

Negotiation by publisher

Each publisher runs a different playbook, so we maintain one for each. Start with yours:

Related services: renewal advisory when the clock is longer, contract review before you sign anything, and audit defense when the letter has already arrived. For the timing math, read the 18 month renewal runway.

06

Frequently asked questions

  • When should we engage? Ideally 12 to 18 months before expiry. Leverage is built, not improvised. Engagements that start inside 6 months still produce results, but the strongest reductions come from the full runway.
  • At the table or behind it? Both models work and we run both. Some clients want us visible; others want the vendor to see only their own team. The choice is yours and can change mid engagement.
  • Which publishers? IBM, Broadcom (CA), BMC, Rocket Software, Software AG, Compuware (BMC), and Syncsort (Precisely), plus the smaller ISVs riding along in the estate.
  • What does a typical outcome look like? A 20 to 35% reduction against the vendor's opening position, plus uplift caps, consumption protections, and exit rights that compound over the term.

48 hour mobilization

Audit notice or renewal under 18 months out? We mobilize within 48 hours.

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