If you can`t continue with the STANDARD EA business model, keep the EA licenses and purchase maintenance when you need it. Subscription AAs provide licenses for the duration of the agreement. Easy to buy: Customers will receive a single contract, duration and workspace for licensing management Microsoft is on a mission to move its corporate customers away from traditional on-site software 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. Most customers have managed the jump to 365 and are experimenting with azure. The good news is that the window of agreement for new cloud editions with Microsoft is still open. At Metrixdata 360, after more than a decade of experience with Microsoft, we`ve noticed a change in the way Microsoft tackles these innovations that can make your renewal more difficult than in the past. We`ve explained some of these changes below on how Microsoft manages revenue from enterprise agreements. AAs offer flexible software management. They can be tailored to your needs depending on the license and the type of EA. AAS allow unlimited amounts of selected Esri products to be used during the duration of the agreement.
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. You may need to be prepared to go beyond the expiry date to get Microsoft`s flexibility. We`ve seen organizations that have spent two months beyond the expiration date to finally reach an agreement with Microsoft. 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. Microsoft`s “Best Offer” discounts are rarely the best in the category. The difference between the discount a customer receives and what another customer receives with similar requirements can be significant. When a below-average discount becomes the basis for future EA renewals, spending increases exponentially.
Customers should perform price-referential analyses on all facets of their Microsoft property to verify that they receive a fair offer and to ensure that they pay a price that is in the market or better.