Ms Enterprise Agreement

Since the emergence of Microsoft`s commercial online service offering, which began in 2008 with Business Productivity Online Services (BPOS), one of the benefits marketed by the software giant has been to improve the way customers could pay for the service. This was an abandonment of traditional annual prices used by Microsoft Software Assurance`s volume licensing program and a more „flexible“ monthly pricing that would allow customers to adjust the amount they pay based on the number of users over the term of the license agreement, which is typically 36 months. At that time, the only improvement in the type of monthly pricing, which allowed customers to add new users in the middle of an agreement, to pay only for the number of months remaining until the anniversary of that agreement, and then to pay the annual amount for subsequent years. It is interesting to note that Microsoft has not provided an option to reduce the number of users in the middle of an agreement, which means that, in the worst case, customers would have to pay 12 full months for users who were licensed on the first day, even if these licenses are never needed until the next anniversary. In a three-year contract, the number of desktop computers and qualified users can be adjusted for each anniversary of the contract. This allows for greater flexibility to meet changing requirements. Use rights are limited and expire when the contract expires. While the vendor`s cloud offerings may be the future of its business, most Microsoft customers are still operationally and contractually blocked in on-premise deployments. There are many ways to license and/or subscribe to Microsoft products.

The Licensing Solutions Provider or the account employee of a given company may not be well aware of all the options available. However, they are well trained (and motivated by incentives) to encourage customers to increase the cost of licensing. Make sure you ask Microsoft`s licensing specialists how to better structure licensing for reduced expenses and consider getting impartial expertise to help the sourcing team review the recommendations. Alternatively, the customer can sign a purely enterprise online service contract with Microsoft. This option does not require company-wide standardization. Customers must acquire at least 500 Enterprise online service licenses. There are increasingly licensing and subscription optimization challenges in Microsoft transactions, as well as new cost, flexibility and licensing/subscription opportunities you can capitalize on.