Software assurance microsoft pricing strategy

Implementing test strategies software quality assurance introduction strategies are simple but executing them is not. Microsoft volume licensing reference guide microsoft download. How to stop overpaying for microsoft licensing network world. Eliminating sa on some products can often lead to savings of 20, 30 or 40 percent off of a customers annual sa spend. Licensing windows software assurance on a perdevice basis. With sa, users receive all product updates during the term of their agreement so customers are. Microsoft licensing is the single largest it expense for many. Mar 19, 2010 it could be the one event that kickstarts desktop virtualization to the masses more affordable license pricing from microsoft. Everything in the ea comes with software assurance, microsoft s term for. Learning partner support microsoft s learning partners can help create an optimal training strategy for your organization and help you plan the most effective way to use training vouchers. Buy microsoft volume licensing at discount pricing from a certified reseller. Software assurance has an annual cost of 29% of the license price for desktop products e. Steven, i n simple terms, what exactly is software assurance and why is it so important with microsoft licenses sk.

Mar 24, 2017 go to microsoft software assurance support page and click on submit request. Technology institute the future of software pricing. Use license advisor to research microsoft volume licensing products, programs and pricing. Microsoft pricing strategies and competitive advantage.

What microsofts upcoming outsourcing licensing changes. Software assurance planning services training vouchers. In anticipation of our upcoming microsoft licensing seminar in new york on 21st october 2015, our analyst david foxen interviewed steven kelley director of software licensing advisors and one of the expert speakers at our new york event his session software assurance placing bets on microsoft s future will delve into why he thinks microsoft software assurance customers. Understand the latest changes to microsoft licensing. The disaster recovery software assurance benefit applies to microsoft server products protected with azure site recovery. Some changes coming next year to microsofts software assurance licensing model will aim to steer organizations toward the fasttrack. Pricing, i use multiple resellers but main ones are softcat. For your specific pricing, contact your microsoft reseller.

Spa185198 in general, budgeting 5 percent annual increases should cover anticipated cost hikes for all new licenses purchased with or without software assurance through open and select programs. Microsoft kicked off its fiscal year 2019 with a focus on helping customers drive digital transformation while at the same time shifting to a new modern commerce strategy designed to provide more consistency and better reflect the actual value and costs of products and services. Microsoft partners software assurance benefits chart software assurance software assurance overview volume licensing service center vlsc vlsc software assurance guide vlsc sign in to microsoft business center. This change was made in the 2015 product use rights pur. This can be seen in the promotional pricing and discounts theyre currently offering to customers. Software assurance coverage runs to the end of the agreement term. Microsofts cloud strategy, as shown by major licensing changes in october 2019, is bound to get some push back as the company straddles a line between onpremises it and cloud. Where this strategy will prove more challenging is with shared devices.

Onpremises can be used to describe both an end customer or service provider environment, as long as it is for their own usage and not resold. Microsoft s software assurance gives you automatic access to new technology and provides productivity benefits, support, tools, and training to help deploy and use software efficiently. Thats why i like to focus more on valuebased pricing strategies. If you have software assurance on windows e3 per device, moving. Select the product and problem for which you need support. Software assurance coverage is included for the entire term of an open value agreement.

Assigning tangible value to a theoretical payoffthe commonly accepted definition of software assurance is a level of confidence that software is free from vulnerabilities, either intentionally designed into the software or accidentally inserted at anytime during its life cycle and that the software functions in the intended manner cnss 2006. Software assurance is optional and cloud services are not available. Software assurance swa is defined as the level of confidence that software is free from vulnerabilities, either intentionally designed into the software or accidentally inserted at any time during its lifecycle, and that the software functions in the intended manner. Microsoft has changed its windows server licensing model and you may need to claim your software assurance licenses. Demystifying the new windows 10 licensing options kraft kennedy. At this time, software assurance training voucher satv pay rates are not available on this page. Software assurance sa is a percentage of the license price, so the sa. The 2019 edition picks up right where its predecessor left off. Write a one page paper about microsoft pricing strategy from the point of view of porters competitive. If the benefits manager creates a sa training voucher worth more days than the course length, the extra days automatically revert back to the organizations pool of training days after the voucher is paid to the learning partner. The left chart shows pricing changes for purchases of licenses with software assurance sa and the right for sa renewals. Pricing overviewhow azure pricing works microsoft azure. Customers should refer to their agreements for a full understanding of their rights and obligations under microsoft s volume licensing programs.

June 14, 2016 upperedge no comments share i recently conducted a meeting with a cio to discuss his companys options going into its microsoft renewal negotiation, and he acknowledged that he, like most of my clients, was largely in the dark about the costs and benefits of software. He has been with microsoft for 15 years and has worked in multiple roles in licensing and engineering. You may also purchase software assurance with an open license agreement for the remaining balance of the term of the open license authorization number. For devices that do not qualify for windows software assurance such as thin clients, you can access windows software assurance benefits by purchasing the windows vda subscription. Microsoft volume licensing pricing free quote royal. The value and benefit gained under microsoft volume licensing programs and through use of microsoft software and services may vary by customer. Nov 07, 2011 microsoft is leveraging the immediacy and urgency of security updates to force customers into paying for software assurance. Software assurance planning services in partner center.

Save time and money with the right tools, training, and support to help empower your people, optimize your technology, and unlock the full potential. Software assurance is only available through volume licensing and is purchased when you buy or renew a volume licensing agreement. It is included with some agreements and is an optional purchase with others. Software assurance microsoft partner 500 equivalent employees. On the create an incident select a payment option page, select use my software assurance agreement. The software assurance benefits calculator is an online tool to calculate estimated software assurance benefits that customers may be entitled to. How to negotiate the right deal with microsoft cio. Software assurance math adds up for microsoft, not as much for biz customers. Software assurance by benefit microsoft volume licensing. A strategy in its synonym is a preparation for longterm battle plans or making plans to achieve a goal.

It provides the greatest flexibility for how your organization uses windows because it includes access to enterprise offerings and use rights that are not available through other licensing programs. Virtual desktop access rights will be included as a software assurance sa benefit. Volume licensing programs comparison chart microsoft. Software quality assurance introduction strategies are simple but executing them is not. Software assurance by product microsoft volume licensing. Aug 09, 2018 microsoft kicked off its fiscal year 2019 with a focus on helping customers drive digital transformation while at the same time shifting to a new modern commerce strategy designed to provide more consistency and better reflect the actual value and costs of products and services. Major changes to sql servers license model and rules, edition lineup, sa software assurance benefits, pricing, and availability through volume licensing programs, outlined below, could have a material effect on customers license entitlements and expenditures, and sa software assurance benefits and applicable use rights. Pricing strategy and monetization strategies for software. Guaranteed pricing microsoft and learning partners have set pricing that is included with your software assurance. Gregor kneitz is a senior product manager in microsoft licensing and pricing owning software assurance as a program. Microsoft changes pricing and discounting policies for. Provides licensing for backup servers dedicated to disaster recovery. The main problem with this approach is that it tends to leave a lot of money on the table.

Microsoft changes pricing and discounting policies for today. Microsoft software assurance big risk for a small reward. Microsoft rejiggers windows 10 enterprise subscriptions, pricing. Software assurance is a comprehensive volume licensing program that includes a unique set of technologies, services, and rights to help you. Jul 08, 2014 if not, expect office 365 pricing increase microsoft will institute a 15% price hike for office 365 enterprise volume subscribers without a software assurance plan. How will recent microsoft price changes affect your organization. Nov 27, 20 software assurance working out costs over 4 year period. Software assurance benefits calculated by this tool are an estimate only, and the results generated do not constitute an offer. Software assurance is easier to understand, manage and use through the mpsa and provides a comprehensive range of benefits to help organizations plan, deploy and use the latest microsoft software and services. With this software assurance benefit, there is no need to purchase new licenses and no associated mobility fees so, you can easily deploy existing licenses on the. Ballmer hopes that extensive price cuts on everything from office software to web services will expand the companyas market share.

The truth about microsoft enterprise agreements cio. It might involve giving up a destructive habit or addiction or it might be a matter of recognizing a selfdefeating pattern of behavior and. As of february 1, 2020 many businesses will no longer qualify for microsoft software assurance benefits. Enterprise customers relying on microsoft bring your own license option to run windows server, sql server. Actual savings may vary based on region, instance size and performance tier. Buy a microsoft sql server enterprise edition software assurance 1 server or other database software at. Microsoft financing helps an organization be strategic with their it purchases in. Servers self hosted applications office online services and office online server oos. To submit an invoice to microsoft through savb, follow the instructions in step 8 of the workflow. Microsoft rethinks unified pricing strategy infoworld. Theyre segmented differently, and again, fixed pricing produces no incentive for customers to purchase more. Actual savings may vary based on region, instance size, and performance tier. Find out about the basics of microsoft volume licensing programs, which include software assurance, shared source, open license, select license, select plus, enterprise agreement, enterprise subscription agreement, and product keys.

Microsoft volume licensing is the most costeffective, flexible, and manageable way to acquire microsoft software and cloud services. The winwin of valuebased pricing strategies microsoft. Software assurance training voucher software assurance. How to use or renew your software assurance benefits techsoup. Q2 2020 msft premierunified support research analysts. To achieve this vision, microsoft recently announced a set of programmatic and productcentric pricing updates. Identifying the right pricing levers given business models, overall pricing strategy, operational factors and routes to market. Currently gregor is focused on the design of the next generation of sa offerings for volume licensing.

Actual regional pricing and programme discounts may apply. Microsoft windows 2016 remote desktop services user cal open business with software assurance 6vc01152. Microsoft online services as your it strategy evolves to include the many benefits of cloud computing, microsoft can help you extend the capabilities. Participation in software assurance programs, including software assurance training vouchers satv and planning services, provides you an opportunity to grow your business with microsoft enterprise customers.

New windows server licensing model and prices, explained. Changes to microsofts licensing pricing model with take effect october 1. To help you decide whether to buy sa, gartner analyzes all the. Go to microsoft software assurance support page and click on submit request. You make significant investments in it, and software assurance from microsoft helps you take fullest advantage of the value your investments can bring. Software assurance microsoft software assurance for volume licensing helps boost productivity across your organization by helping you to get. Depending on the customer scenario, perunit pricing may go up by as much as 41%. Why microsoft software assurance customers never win the. Get a full quote that you can share with colleagues or your reseller. All apply to the windows 10 enterprise edition, all are called windows enterprise e3, but there remain plenty of differences. His session software assurance placing bets on microsofts. Since august 1, 2018 microsoft premier support customers have seen a significant and steady decline in both the quality and time to resolution when microsoft announced their transition from microsoft premier to the unified model.

To renew your software assurance benefits, request a standalone software assurance product through techsoup up to 90 days before your original benefits expire. The ideal model for calculating the cost and value of software assurance may be one of these, or it may be a new model that builds on the common features that we have discussed. Software assurance microsoft software assurance offers you all day, every day support, deployment planning services, training, and the latest software releases and unique technologies, all through one program. Software assurance spans microsofts range of software products and services, including the windows operating system, microsoft office, exchange, sql server, and many others. The main objective of software assurance is to ensure that the processes, procedures, and products used to produce and. Appendix b software assurance microsoft volume licensing. The future of software pricing excellence 6 the price waterfall is driven by a series of steps. Software assurance includes a core set of benefits to help improve workforce productivity, streamline software deployment, and reduce costs in a variety of ways across devices. Software assurance math adds up for microsoft, not as much. Actual regional pricing and program discounts may apply.

Aug, 2019 what microsoft s upcoming outsourcing licensing changes could mean for your business. Why microsoft software assurance customers never win the itam. Savings exclude software assurance costs, which may vary based on volume licensing agreement. Recent transaction data helps inform discounting and premium pricing practices in order to reveal trends and develop. Ninety days prior to expiration, your vlsc account owner should receive an email from microsoft saying that the benefits are expiring soon. Microsoft rejiggers windows 10 enterprise subscriptions. Determining the value of microsoft software assurance. Eliminating sa on some products can lead to savings.

Microsoft software assurance sa is a microsoft maintenance program aimed at business users who use microsoft windows, microsoft office, and other server and desktop applications. Microsoft adds software assurance to products and services. Microsoft software assurance gets customers to pay in advance for products about which they often know little, including whether theyll want to use it, which is a remarkable feat of salesmanship. Software assurance microsoft software assurance for volume licensing helps boost productivity across your organization by helping you to get the most out of your microsoft software with 24x7 support, deployment planning services, enduser and technical training, and. Pricing represents open no level nl estimated retail price. With windows software assurance and windows vda, you get flexible access to windows enterprise, plus a number of additional benefits. Microsoft on tuesday added the software assurance sa licensing option to its new product and services agreement for midsize customers. Why microsoft software assurance customers never win. Not every microsoft customer needs software assurance on all of the vendors offerings.

Microsoft software assurance has always been a gamble. Microsoft collects money in advance for future upgrades during a volumelicensing agreement and then keeps the money if it doesnt deliver. Microsoft rejiggers windows 10 enterprise subscriptions, pricing microsoft is revamping the subscription offerings by recalibrating prices and renaming the per deviceper user offers so theyre. Whether your company has a formal strategy for dealing with cloud computing. The licence to run windows server in the azure environment is, by default, included in the perminute cost of your windows virtual machine.

Failure to do so may cause you to have to repurchase new licenses with software assurance instead of paying the cheaper software assurance renewal price. Microsoft software assurance benefits for office can help your organization accelerate deployment and improve enduser. The microsoft enterprise agreement offers the best value to organizations with 500 or more users or devices that want a manageable volume licensing program that gives them the flexibility to buy cloud services and software licenses under one agreement. Request payment from microsoft existing partners after redeeming planning services vouchers, you must invoice microsoft for payment. Get an understanding of how major vendors like microsoft, oracle and. Microsoft volume licensing microsoft software assurance. Effective july 1, 2016, in markets where the mpsa is available, microsoft no longer accepts new orders and software assurance renewals through existing commercial select plus agreements at the customers next agreement anniversary date. With the arrival of the windows 10 anniversary update, microsoft has released a host of new licensing options for companies to consider as they look to implement the new operating system. Both charts contain four rows, each representing a different way to license a server for windows server and system center. Payments are handled through the software assurance voucher benefit savb online payment tool. Models for assessing the cost and value of software assurance. For example, exchange server, sharepoint server, skype for business.

Windows server licences are not eligible for licence mobility through software assurance, but customers licensing windows server with software assurance can utilise the azure hybrid benefit for a cheaper perminute cost when running a windows virtual machine. Do microsoft customers really need software assurance. You can improve user productivity with online training. The future of software pricing excellence 2 leaders mainstream laggards pricing strategy pricing metrics are defined as perceived by the customer pricing strategy is easy to understand, measure and operationalise pricing boundaries for usage, features, time, segment and conversion from trial and freemium are clearly defined. When you purchase a windows 10 enterprise upgrade license through volume licensing, you can also acquire software assurance for that license. In addition, windows client software assurance and new virtual desktop access license vdal customers will have the right to access their virtual windows desktops and microsoft office applications hosted on vdi technology on secondary, noncorporate network devices, such as home pcs and kiosks. Pricing overview how azure pricing works microsoft azure. Software assurance programs partner center microsoft docs. Smart it investments support effective organizations. Software assurance training benefits help boost productivity by providing training to ensure effective and efficient deployment, management, support, and adoption of new microsoft software without impacting your training budget. Microsoft windows and desktop virtualization users have been asking the company to simplify its virtual desktop licensing for years, and microsoft finally responded this week with some significant changes. Microsoft rethinks unified pricing strategy company pondering different price points.

If not, expect office 365 pricing increase microsoft will institute a 15% price hike for office 365 enterprise volume subscribers without a software assurance plan. Type your software assurance access id and email address you use to access the vlsc and click continue. Microsoft software assurance benefit changes interlink cloud blog. Software assurance benefits for windows include a core set of technologies, services, and use rights to help improve productivity, streamline software deployments, and reduce costs in a variety of ways across devices. License mobility through software assurance gives microsoft volume licensing customers the flexibility to deploy eligible server applications with active software assurance on azure.

Software assurance training voucher guide software assurance training voucher guide for benefits managers 3 benefit days vs. At 29 percent for desktop licenses and 25 percent for server products, sa fees constitute a large portion of most enterprises microsoft spend. The best way to handle an audit is to prepare for one, and not to rely on microsofts software asset management sam tools, which invariably lead to higher customer costs. The core premise behind sa is to give users the ability to spread payments over several years, while offering free upgrades to newer versions during that time period. Microsoft software assurance changes to favor fasttrack. With open license, software assurance must always be paid for in twoyear increments, regardless of when it was purchased. With software assurance, you receive access to new versions of licensed software released during the term of your agreement to deploy at your own pace. Software assurance benefits included with microsoft donations. Software pricing trends 28 january 2003 alvin park, jonathan mein document type.

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