Problem with Secure Tokens



There are two costs generally associated with tokens - the tokens and a server with software. The cost for the tokens varies depending upon the number ordered and these must be re-purchased periodically as they are programmed to expire in 3, 4 or 5-year periods of time.

Associated with the tokens is administration costs if distributing and maintaining the users on the servers. For instance, if a person moves from one department to another, this must be changed in the system. The server and associated software costs may also vary depending upon what systems the software will be interfacing with. These servers are known to be both expensive upfront and on going with maintenance. Therefore, if doing a cost comparison we should look at a 6-year cost of ownership to be able to compare apples to apples.

Below is an example of some of the associated costs, which again may vary depending upon the system of the company.

Tokens Fortune 500 Co Medium Size Co
Number of Tokens Purchased 30,000 3,000
Cost of Tokens * 18.50 23.00
Distribution Costs * 7.50 10.00
Server Software * 160,000 32,000
Server Maintenance * 86,400 17,000

Total Costs Per Year $ 1,026,4000 $ 148,000

* Stated costs are yearly.