By Richard Smith
General Manager, Microsoft World Wide Licensing & Pricing (WWLP)
Today, we’re announcing another significant step in the transformation of Microsoft volume licensing to make it easier for customers and partners to do business with us.
Beginning on July 1, 2016, the minimum Enterprise Agreement (EA) commitment for commercial customers signing new Enterprise Enrollments or Enterprise Subscription Enrollments will increase from 250 users or devices to 500. Along with this change, we are guiding new commercial customers within the 250 to 499 user or device range to our modern volume licensing solutions: the Microsoft Product and Services Agreement (MPSA) and the Cloud Solutions Provider (CSP).
Together, these announcements reflect the underlying transformation in what customers buy and how they buy it. First, customers are increasingly harnessing our cloud and hybrid solutions, and second, our modern programs of MPSA and CSP, purpose-built for these developments, are rapidly being embraced because they deliver the simpler, more flexible licensing our customers and partners tell us they want.
Microsoft Products and Services Agreement (MPSA). MPSA is the fastest and most flexible way to buy all the software and cloud services you need through one simplified agreement.
- You can create a purchasing structure that reflects your organization’s structure, yet optimize pricing across your MPSA.
- One-, two-, and three-year durations for many online services deliver budget predictability and the flexibility to purchase what you need when you need it. We’ll also soon add short-term subscription durations (one to 11 months) to help you address seasonal and project-based needs.
- There are no minimum requirements to start buying cloud services. You can begin with exactly as much as you need for your organization, and you’ll get price protection on any incremental purchases you buy during the term of the subscription.
Cloud Solution Provider (CSP). For customers seeking to fully outsource management of their cloud services, CSP offers an easy way to license what you need in combination with the value-added services offered by your systems integrator, hoster, or born-in-the-cloud reseller partner.
- There are thousands of CSP partners worldwide with the technical expertise to help you take full advantage of Microsoft cloud technologies — even if you have no in-house IT department.
- You can fully leverage these partners to handle ordering, provisioning, management, and support for Microsoft cloud services.
- For Office 365 and Microsoft Dynamics Online, your partner can purchase a subscription and add and modify seats mid-term. For Azure, you pay for what you use, in arrears. There are no minimum requirements to start buying cloud services.
At the expiration of their current EA term, existing commercial customers with fewer than 500 users or devices can choose to transition to MPSA or CSP, or they can renew their EA by extending it for one additional 36-month period. The extension option is recommended for customers whose unique needs are not yet supported by MPSA or CSP, as well as for customers who simply prefer to continue with the EA.
Please note that the change to the minimum commitment does not impact EA customers with greater than 500 users or devices, Public Sector customers, or the Server and Cloud Enrollment (SCE).
Start preparing for the change today
While changes do not go into effect until July 1, 2016, customers can start planning ahead today. Commercial EA customers with fewer than 500 users or devices should contact their partner or sales executive to learn more, and visit our online resources for EA, MPSA, and CSP. For updates, real-time information and direct engagement, please follow us on Twitter.
Today’s announcement is an important milestone in how we are bringing a faster, more flexible licensing experience to our customers. Stay tuned to this blog for more updates as we continue our journey toward transforming licensing at Microsoft.