Concept · C:external-use-software

Software to be sold, leased, or marketed

Working definition

Software developed for sale, lease, licensing, or other external marketing and therefore routed through the applicable external-product software model rather than the internal-use model.

Also calledExternal-use software · Marketed software

The same engineering team can work on an internal scheduling tool and a device- control application licensed to customers. The cost route turns on product purpose and customer rights, not the developer, repository, or programming language.

The scope memo records whether the software is sold, leased, licensed, or otherwise marketed, how customers receive it, whether a cloud service changes the analysis, and which maintenance obligations remain. Only then does the technological-feasibility clock become relevant.

A future marketing idea is not automatically external-use scope, and a cloud delivery label does not answer whether the customer receives software or a service. Missing contract and product-plan facts produce a stop condition.

Apply the distinction

External-product scope starts with what customers receive and how the software is marketed. A product plan, contract, and delivery model must support that route before the technological-feasibility window can affect any cost.

Authority

Read ASC 985-20-05-2 for the cost model for software to be sold, leased, or marketed.

Learning objectives

Put the concept to work

Learning level

Apply this concept

  • Use supplied product purpose, customer rights, marketing, delivery, and maintenance facts to establish or withhold the external-use software scope conclusion.

Learning resources

Choose a lesson, try an application, or inspect the sources behind this concept.

Updated Sep 11, 2026 Review due Dec 11, 2026