Software Licensing in the Cloud versus Local Systems

2 April 2013

Cloud computing has become a vital part of the IT universe. The Cloud architecture integrates computing power, storage, platforms, and services. External users can now access resources over the internet using terminals, especially mobile terminals and devices.The Cloud resources are dynamically assigned to users upon request, and relinquished after the job is done. For all the benefits of an open Cloud environment, network security risks cannot be ignored.


Therefore, many industries choose to provide traditional applications on local computers. This ensures that critical applications will work even in the event of a power outage, web or network failure. Hosting and maintaining applications and data in the cloud (often abroad) make it difficult to control access. In an open system, confidential and important data are at risk of being leaked. Additionally, in some locations, an internet or network connection is not or not always available.

In both cases, software and data security are paramount, and the critical issue for software vendors is how to ensure that each license is paid for. The CRYPTO-BOX System provides safe and reliable license management for both the Cloud and traditional IT environments.

Secure Cloud Computing With the CRYPTO-BOX

Smarx Cloud Security (WEB API) ensures that secured web applications can only be accessed with a valid CRYPTO-BOX. The CRYPTO-BOX can be connected to a PC or laptop, or to any computer or server in the network. The WEB API network set-up provides access to mobile devices like tablets and smartphones. All license information is stored securely in the CRYPTO-BOX, and determines the license rights granted to the user. The software vendor can update the CRYPTO-BOX at all times, and profit from license extensions and upgrades.

Additionally, it is possible to bind secured licenses to a specific computer or a mobile device. The CRYPTO-BOX will ensure that confidential information and software can only be accessed on authorized computers and devices. This is an important safety feature in many industries. The client component for Smarx Cloud Security is available for all major browsers. The server-side libraries and sample code are based on PHP. 

The Traditional Protection Scenario With the CRYPTO-BOX

The classic approach to software protection with the  CRYPTO-BOX ensures that only paid licenses will work in the local system. The CRYPTO-BOX with the valid license code has to be connected to the PC or laptop. In a network environment, the CRYPTO-BOX system secures the software licenses of multiple workstations and portable devices. With Remote Update (RUMS), additional user licenses or features can be requested on demand from the software vendor at any time, and unlocked after payment.

The libraries and sample codes for the CRYPTO-BOX system are available for all popular development environments for Windows, Linux, Mac OS X, iOS and Android.

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