How much could freeware cost your organisation?

Have you ever downloaded a mobile app offering a "free" seven-day trial, only to discover an unexpected $60 charge on your statement the following month? Now imagine that same scenario playing out across your organisation's entire IT estate—but with significantly higher stakes and far greater complexity.

That, in a nutshell, is the challenge of "free" software (freeware).

This seemingly innocuous shareware embeds itself across your systems, departments and workflows. Your teams grow dependent on its features, which keep improving thanks to usage analytics quietly feeding back to the provider. Then comes the real surprise: the software suddenly requires payment, often with pricing models that provide a jolt for even the most carefully prepared IT budgets.

Hidden risks

This isn't just about bill shock either.

When organisations permit freeware to proliferate throughout their IT environment, they're inviting significant risk to their infrastructure. Like a modern-day Trojan horse, this gift appears beneficial at first glance, but it can hide a host of dangers waiting to compromise control of your IT portfolio.

This table shows some of the most disconcerting risks.

Did somebody say “Java”?

When software shifts from free to paid, it often causes significant disruptions throughout an organisation.

Java stands as perhaps the most striking example. For decades, this development platform was free, enjoyed by many as an effective and useful product, and became deeply embedded in corporate IT infrastructures worldwide. Engineers valued it highly for its "Write Once, Run Anywhere" capability that improved cross-platform development.

However, things changed in January of 2010, when Oracle acquired Java through its purchase of Sun Microsystems. The subsequent introduction of commercial licensing terms in 2019 sent shockwaves through IT departments. Oracle's decision to require paid subscriptions for Java Standard Edition (SE) updates marked a turning point, but the introduction of the enterprise-wide metric model in 2023 made matters even more challenging.

Under this model, even if only one employee uses Java, the entire workforce requires licensing—including contractors and third-party workers. For many organisations, this shift resulted in sudden, unplanned costs running into millions of dollars, forcing them to reassess their Java usage and explore alternatives with all the disruption that this directive entailed.

More recently, Anaconda (a popular data science platform) implemented significant changes to its licensing model. In 2020, organisations with more than 200 employees became subject to commercial licensing requirements. This created unexpected costs and operational disruption for many organisations, particularly those with established data science workflows built around Anaconda's previously free tools.

It’s also worth emphasising that, in many freeware scenarios, the challenge isn't always financial or even related to a shift in licensing terms, per se.

Consider WinRAR, a compression tool that often proliferates through organisations via individual downloads. When IT departments need to remove software like this (perhaps due to security concerns or compliance requirements) they’re confronted with a time-consuming hunt through their networks. One IT Director I spoke to recently described it as "trying to find and remove thousands of pieces of software that were never properly tracked in the first place."

That translates into disrupted workflows as teams scramble to find alternatives. Added complications include training requirements for new, approved tools, time spent tracking down and removing non-compliant software, potential data migration requirements, and the risk of missed communications or lost work during transitions. This also can include confusion and inefficiencies caused by duplicate functionality software.

A high price to pay for what you expected to be “free” software.

Embracing the “Hard-Easy” principle

With freeware risks clearly established, what's the best way to maintain control of your IT portfolio?

In my experience, there's a simple truth about most software management: you can choose to do the hard work at the beginning—or take the easy way out that leads to much bigger challenges later on.

Starting with proper controls might seem demanding, but it's far easier than dealing with unexpected licensing costs, security breaches, or the complex task of removing deeply embedded freeware further down the line.

That’s why it’s worth investing a little effort upfront so you gain precise, strategic management of all your software assets—both paid and free-for the future.

Here are three practical ways to make that happen:

1. Start with visibility

The first step is gaining complete visibility of your IT estate. Our experience at SoftwareOne shows that many organisations are shocked to discover just how much freeware already exists in their environment without the knowledge of their IT departments.

2. Build in strategic control from the start

A comprehensive IT Asset Management (ITAM) programme provides the foundation for precise control of the software estate. At SoftwareOne, whether it’s with our solutions or by working with trusted partners, we can deliver:

• Automated discovery of all applications, including freeware
• Precise measurement of software usage and compliance
• Integration with procurement and security workflows
• Regular portfolio optimisation reviews
• Proactive management of licensing changes

Combine the right tools, the right processes, and the right partnerships

Maintaining precise control of your IT estate requires more than just technology. While modern ITAM tools excel at identifying licensing requirements, consistent success comes from the careful integration of tools, processes, and expertise. At SoftwareOne, we've found that organisations achieve the best results when they combine efficient deployment controls with clear procurement guidelines and systematic usage monitoring. This integrated approach can deliver complete software estate visibility within weeks, while eliminating redundant applications and ensuring continuous compliance.