Breaking Free: Why Cisco’s DNX Licensing Isn’t Your Only Option

"Changes aren’t permanent, but change is."

Rush fans will recognize this iconic lyric from Tom Sawyer. Could Geddy Lee have been unknowingly singing about Cisco? As Cisco pivots to rebrand itself as a software company, its track record is littered with failed initiatives: Cisco ONE, Cisco Prime, Smart Licensing—all optional, all unsuccessful.

This time, Cisco decided to force change. Starting with the C9200/9300 series, customers had to purchase DNA (now DNX) licensing, whether they needed it or not. This strategy raises a critical question: Is this shift here to stay, or will the market push back? The good news is, you have a choice

Forced Costs: Why DNX Licensing Doesn’t Make Sense for Everyone

Millions of dollars have been wasted by businesses forced to purchase DNX licenses they didn’t need.

For companies without a Catalyst Center appliance, DNX licensing serves no real purpose. Yet customers found themselves stuck, needing to buy DNX to access the latest generation Cisco switches. Maintaining OEM support meant submission to Cisco’s new licensing model or facing the high cost of switching vendors.

Cisco’s New Style of Partnership: More Costs, Less Choice

Cisco’s latest strategy bundles hardware with subscription-based licenses and more expensive SMARTnet contracts. These are designed to help customers "adopt" subscription-based licenses, whether they want to or not.

The introduction of DNX licensing creates a separation between:

• Network Essentials/Network Advantage: The basic software required for device functionality.
• DNX Software: Adds advanced features but locks customers into a perpetual licensing model.

This separation proves what many suspected: perpetual licenses bundled with hardware can transfer with the hardware, undermining Cisco’s justification for subscription-based models.

FUD Tactics: Cisco’s Shifting Narrative

Cisco continues to use fear, uncertainty, and doubt (FUD) to steer customers away from free-market hardware options. The story keeps changing:

1. Reliability Concerns: Early FUD targeted the reliability of pre-owned hardware.
2. Authenticity Issues: Then came claims about counterfeit hardware.
3. Supportability Doubts: Next, they questioned whether pre-owned hardware could be supported.
4. Licensing Problems: Now, it’s all about licensing restrictions.

If licensing is a problem today, why wasn’t it always? Companies like Edgeium, operating transparently outside Cisco’s channels, prove these concerns to be unfounded.

The Cost of Cisco’s “New Style” Partnership

Did you know Cisco’s Enterprise Agreements are now at least 22% more expensive? Sometimes, they’re 54% higher.

This cost difference often comes down to Cisco’s confusing DNX licensing structure. Understanding the differences between DNX Essentials and DNX Advantage is critical to evaluating your options.

For a deeper dive into how these licensing tiers work and their features, check out our blog: Understanding the Differences: DNA Essentials vs DNA Advantage.

Here’s a quick cost comparison to illustrate the problem:

• 2015: (200) WS-C3850-48F-S switches cost $1.4M with SMARTnet at $134K/year. Total over six years: $2.2M.
• 2025: (200) C9300-48P-E switches with 3-year DNX Essentials and SMARTnet cost $2.6M. With DNX Advantage, the cost jumps to $3.3M.

Why the increase? Cisco often sells DNX Advantage licenses even for Layer 2 access switches. You can’t mix DNX Essentials and DNX Advantage on the same network, forcing companies to overspend

Smarter Alternatives: Edgeium’s CovrEDGE Solution

You don’t have to be a guinea pig for Cisco’s pricing model. Edgeium offers cost-effective solutions that put you back in control:

• 3850 Switches: Edgeium provides SMARTnet alternatives like CovrEDGE for as little as $40K/year. Need more switches? Purchase pre-owned models for just $800 each.
• C9300 Switches: Buy new switches for $2K each with CovrEDGE support at $200 per switch/year. Over six years, that’s only $640K.

Edgeium delivers the functionality you need without the licensing headaches, helping you optimize your network investment.

Moving Forward: Take Control of Your Network Costs

Cisco’s DNX licensing strategy forces unnecessary costs and complexity onto businesses. But you don’t have to play along.

Edgeium offers smarter, transparent alternatives tailored to your needs. Stop paying for features you don’t use. Let Edgeium empower your business with affordable, reliable networking solutions.

Ready to break free from DNX licensing? Contact us today to explore your options!