When signing the agreement, the customer must define and communicate to Microsoft the number of desktop computers or qualified users as well as Microsoft Enterprise products or Enterprise Online Services. This information represents the first purchase. Each anniversary is due to a « True Up Order » for additional desktops or qualified users, based on which the total cost for the previous year is calculated. Under a traditional agreement on microsoft Enterprise, the customer is allowed to authorize corporate products individually or as a standard platform. However, at least one enterprise product must be standardized throughout the company. Microsoft Cloud Solution Provider opens up a new world of flexibility in software licensing and management. Instead of a 3-year bond, as is required with Microsoft EA, Microsoft CSP is full from month to month. This way, you can add or remove licenses as needed, pay only for what you actually use, which can save you significantly in the short and long term. Most importantly, since CSP agreements are provided through Microsoft partners, you also have immediate access to Microsoft Premier support – additional costs with enterprise agreements – with a dedicated team that knows you and your business, so you`ll never have to explain your problem from the beginning if you need assistance. Organizations can and can, if necessary, use both licensing models. Businesses can use the CSP for the entire use of the cloud or simply supplement existing licenses such as an EA. A Microsoft Enterprise Agreement (Microsoft EA) was once the licensing vehicle for large companies with more than 500 seats.
But the complex three-year contract, which was once so popular, is becoming obsolete. As cloud-based services like Azure and Office 365 become the norm, even large companies are postponing their product and service purchases and are looking with the CSP program for a more flexible Microsoft volume licensing option. Microsoft`s mission is to transfer its customers within the traditional on-premise software company to its subscription-based cloud services. Revenue from its cloud commercial offerings is growing strongly, while traditional software sales are declining and the mix is weighing on Microsoft`s ability to support a multi-faceted business. Microsoft`s success will be measured against the success of this mission, and customers will be under increased pressure to travel to the cloud or to pay for on-prime-price solutions through increased contract and price complexity.