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Right-sizing Enterprise License Agreement for Webex Services

Strongbow secured 25% annual cost savings and eliminated risk of future budget overages by right sizing and optimizing this Fortune 50 firm’s WebEx license agreement.

Client Situation:

  • Fortune 50 health care services company with nearly 10,000 locations across North America
  • Current Webex agreement was scheduled for annual true-up; unplanned growth in end users was driving significant cost increases and unfavorable budget deviations:
  • Client running 2X budget given voice port overage was not appropriately sized at initial deployment
  • Overage costs were expected to continue given ongoing end user adoption
  • Additionally, both license and metered usage costs lagged the competitive market for Webex pricing

Strongbow Approach:

  • Developed a comprehensive inventory of both license counts and voice usage patterns
  • Modeled optimal purchase scenarios to minimize current cost and eliminate risk of continued voice port overages
  • Provided specific rate guidance and commercial requirements to both the reseller and Cisco


  • Strongbow drove $800K (more than 25%) in savings by negotiating a new licensing model to accommodate growth and eliminate the risk of budget overruns:
    • End user license count reset to an appropriate level with no additional cost to the client
    • Voice port costs bundled into the end user license cost eliminating future overage costs (~$1.2M annually)
    • Contractual provision included to re-open the contract as volumes increase in the future