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On March 1, Microsoft introduced a new license agreement specifically for Azure Procurement – Microsoft Customer Agreement, created to replace the Azure Server and Cloud (SCE) registration only and Azure on your Enterprise Desktop Agreement. Leave a comment to let us know what you think of this topic! Be sure to read the new Microsoft agreements carefully. Ask well in advance so you`re ready to ask questions and make change requests that best meet your business needs. In most cases, Microsoft`s account team focuses solely on products and services. It`s easy for discussions about terms and conditions to become a last-minute issue, which can put a customer in a stressful and less than ideal position. Get help from an independent Microsoft licensing expert to objectively analyze how a move to SCE affects your costs, usage rights, and operations. and how your software asset management practices may need to change as a result of this license change. Come to the table with confidence and confirmation that you fully understand all aspects of the SCE agreement and that you know how it will affect your business. Mystery means margin for Microsoft and cost for you – the sooner you educate yourself and analyze your options, the better.

If you comply with any of the above agreements, Microsoft Inside Sales will contact you to discuss the Microsoft Customer Agreement. The Microsoft Customer Agreement is supported by Microsoft`s inside sales team. This is a direct agreement that does NOT include a partner. Currently, customers who opt for the new Microsoft Customer Agreement (MCA) no longer have access to APIs to obtain governance, management, consulting, tag and resource management services, or security services managed by third parties. Partners don`t have access to any of the Azure portals, so they can`t help you with consumption, usage, or technical challenges. For starters, you need to have at least 250 devices or users to be eligible, although under the right circumstances we can always make sure the EA works, even if you`re not quite 250 seats away. EAs are by far the best value for companies looking to purchase cloud services and software licenses under a single deal. As part of Microsoft`s ongoing efforts to consolidate contract offerings and engage customers in Microsoft`s product portfolio, they announced Server & Cloud Enrollment (SCE). The announcement returned in Q4 2013 (you can read more in a separate blog post here), but it`s only now that many companies are facing this change. If you are one of them, there are a few things to know. Similarly, what is the Microsoft Level D price? 1 Level D prices are available for companies that reach the discount threshold.

2 Online services refer to applications hosted in Microsoft datacenters whose client bits may or may not be installed locally. They are calculated monthly and invoiced annually for the duration of the contract. The new Microsoft Customer Agreement (MCA) eliminates much of the bureaucracy that exists today around the Enterprise Agreement and is a single, modular electronic contract that exists directly between Microsoft and the customer. Under this Agreement, Microsoft will invoice Customer directly for advertised tiers for Azure services used, and support will be provided directly by Microsoft. How does Microsoft Enterprise Licensing work this way? In the case of Azure, a financial upfront payment was set at $1,200, or $100 per month. Microsoft just announced that starting October 1, 2016, the new minimum will be increased to a commitment of $12,000 ($1,000 per month) – a fairly significant change. Yes, we hear you, “Another Microsoft license change?!” We`re here to reduce confusion – we`ll walk you through the different Azure purchase options. Microsoft noted that this change will affect all new customers as of August 1, 2019, as well as all customers currently using Azure through an EA that expires after August 1. An existing customer who has an EA with Azure expiring before August 1 has the option to renew for a final period of 3 years, although Softcat strongly recommends contacting your account manager and a member of our Azure team to ensure that all options for your business are explored. If you think this will affect your business, or to learn more, contact your Softcat account manager or send us a message using the form below. The SCE pursues the theme of an additional discount – but there are other rules and requirements that may surprise potential customers. The first rule is that a customer must commit to their entire product footprint, similar to the desktop commitment under the Enterprise Agreement and Enterprise Products (Office, CAL, and Windows operating system).

Thus, not only do you need to meet the minimum purchase requirements, but you also need to commit to purchasing and maintaining Software Assurance throughout your environment. The second difference is that a customer now has the choice to purchase perpetual licenses (as they have always done) or purchase subscription licenses. As part of this new subscription offering, Microsoft now requires a customer to report and pay for usage on a monthly basis rather than on an annual basis as with the STANDARD Enterprise Agreement (EAS) subscription. YES, you do! You are not required to sign an MCA. You may also want to consider the Cloud Solution Provider (CSP) program. Customers now have the option to consume through the new Microsoft Customer Agreement (MCA) or the Cloud Solution Provider (CSP) program. In summary, the introduction of the MCA makes it easier to choose how to bill your organization for its Azure consumption, but this should not be taken for granted. CSP is a comprehensive service and support offering that allows customers to combine the simplicity of MCA with the expertise and service levels they have become accustomed to and are accustomed to when working with their chosen and trusted software provider.

SCE also offers the advantage that all existing listings are combined under one roof. Organizations can manage on-premises and Microsoft Azure (cloud) licenses with a single registry. With Software Assurance, SCE offers the ability to move existing licenses to the cloud, with a very good incentive for Microsoft Azure. It is not yet clear whether all customers will benefit financially; Some scenarios do not seem to offer savings. SCE is only for customers who want to standardize on Microsoft and cloud technologies. The obligation applies to the entire installation base, but customers can choose the products they wish to bring as part of the new registration. The Cloud Solution Provider program offers a flexible purchasing option for Microsoft cloud solutions – managed, supported, and billed by SoftwareONE, the cloud solution provider of your choice. We are able to help you manage and monitor consumption and usage, as well as provide technical support through managed service offerings. For more information about managing and optimizing your Microsoft licenses, see our white paper: What does it take to optimize software licenses? As a channel-centric organization, Microsoft strongly recommends that customers work with their partner ecosystem to ensure they get the most out of their Azure environments and the ongoing evolution of the Azure platform. Starting in August 2019, you will no longer be able to renew or sign new pure Azure SCEs or add new Azure services to a current desktop registry.

For Microsoft customers, nothing changes for the duration of their current registrations. When you upgrade to SCE, existing EAP customers are affected: they get a discount on SA for Standard editions, but the discount offered is lower for Premium editions. With the EAP program, it was possible to defer license costs for units that were not covered by Software Assurance. Microsoft is now offering to use subscriptions for these units until they are discontinued. .