SAMexpert - Microsoft Licensing and FinOps’ Post

Most organisations only negotiate their Enterprise Agreements every three to five years. During that time, priorities shift and focus on the EA often fades into the background. By the time renewal approaches, the reality of the EA landscape has significantly changed—but without staying informed, you are unprepared for what’s coming. Budgets are often based on the expiring EA, crafted by individuals without deep expertise in Microsoft licensing or the evolving financial environment. The result? Chronic under-budgeting. When the CFO receives the renewal quote, the shock is immediate: it’s not the expected 5–10% increase—it’s 30% or more. This pattern, already common, will likely intensify in 2025 as Microsoft’s pricing strategies and product shifts drive costs even higher. 👉 Need assistance negotiating your Microsoft agreement? Find us here: https://lnkd.in/dAU7uQa4 #Microsoft #Cloud #procurement

Most organisations only negotiate their Enterprise Agreements every three to five years. During that time, priorities shift and focus on the EA often fades into the background. By the time renewal approaches, the reality of the EA landscape has significantly changed—but without staying informed, you are unprepared for what’s coming. Budgets are often based on the expiring EA, crafted by individuals without deep expertise in Microsoft licensing or the evolving financial environment. The result? Chronic under-budgeting. When the CFO receives the renewal quote, the shock is immediate: it’s not the expected 5–10% increase—it’s 30% or more. This pattern, already common, will likely intensify in 2025 as Microsoft’s pricing strategies and product shifts drive costs even higher. 👉 Need assistance negotiating your Microsoft agreement? Find us here: https://lnkd.in/ePJeKgkN #Microsoft #Cloud #procurement

Microsoft: "Beginning January 1st, 2025, a small percentage of cloud Enterprise Agreements in direct markets will no longer be eligible for renewal under the existing EA framework." There is only one thing we know for sure. The announced change will only affect the so called direct markets – countries and territories where Microsoft operates directly. If you are in a direct market, Microsoft may or may not notify you in January. There are no published lists, and there are no published clear parameters, clear criteria to tell whether you are a lucky one. If your organisation is in an indirect country, you're safe. For now. For now, because Microsoft desperately wants to discontinue legacy agreements, including Enterprise Agreement, and replace them with a single one – Microsoft Customer Agreement. Practical advice: – Assume your EA may be discontinued. – Learn about MCA and CSP agreements. – Learn about their differences with EA. – Analyse how these differences may affect your IT operations, on-premises and in the cloud. – Calculate how these differences will affect your Bill of Materials, licensing, and cloud costs. – Prepare for a tough negotiation, especially if you are in an EA level B, C, or D. — Find us here for independent advice: https://lnkd.in/ePJeKgkN #Microsoft #Cloud #procurement #samexpert

Microsoft: "Beginning January 1st, 2025, a small percentage of cloud Enterprise Agreements in direct markets will no longer be eligible for renewal under the existing EA framework." There is only one thing we know for sure. The announced change will only affect the so called direct markets – countries and territories where Microsoft operates directly. If you are in a direct market, Microsoft may or may not notify you in January. There are no published lists, and there are no published clear parameters, clear criteria to tell whether you are a lucky one. If your organisation is in an indirect country, you're safe. For now. For now, because Microsoft desperately wants to discontinue legacy agreements, including Enterprise Agreement, and replace them with a single one – Microsoft Customer Agreement. Practical advice: – Assume your EA may be discontinued. – Learn about MCA and CSP agreements. – Learn about their differences with EA. – Analyse how these differences may affect your IT operations, on-premises and in the cloud. – Calculate how these differences will affect your Bill of Materials, licensing, and cloud costs. – Prepare for a tough negotiation, especially if you are in an EA level B, C, or D. — Find us here for independent advice: https://lnkd.in/e_r6nmPt #Microsoft #Cloud #procurement #samexpert

Microsoft will discontinue its Enterprise Agreement in January 2025. That was the shocking rumor that on November 11th, stunned not only Microsoft partners, but also those Enterprise Agreement clients who keep their hand on the pulse of Microsoft updates. A day later, Microsoft published an official announcement on the matter, assuming we can call a blog post an official announcement. Did they confirm the shocking rumor? Yes and no. And if you have an Enterprise Agreement, there are reasons to be worried. The blog confirmed that the Microsoft Enterprise Agreement will be discontinued in January 2025, but not for every Microsoft Enterprise Agreement customer. So if you have an Enterprise Agreement, are you on the target list? Let's find out from the blog post itself. "Beginning January 1st, 2025, a small percentage of cloud Enterprise Agreements in direct markets will no longer be eligible for renewal under the existing EA framework." As you can see, there is no clarity. If you are NOT in a direct market, you can relax for now. If you are IN a direct market, I guess, you'll soon know. Or not. 👉 Need assistance negotiating your Microsoft agreement? Find us here: https://lnkd.in/e_r6nmPt #Microsoft #Cloud #procurement #samexpert

Microsoft will discontinue its Enterprise Agreement in January 2025. That was the shocking rumor that on November 11th, stunned not only Microsoft partners, but also those Enterprise Agreement clients who keep their hand on the pulse of Microsoft updates. A day later, Microsoft published an official announcement on the matter, assuming we can call a blog post an official announcement. Did they confirm the shocking rumor? Yes and no. And if you have an Enterprise Agreement, there are reasons to be worried. The blog confirmed that the Microsoft Enterprise Agreement will be discontinued in January 2025, but not for every Microsoft Enterprise Agreement customer. So if you have an Enterprise Agreement, are you on the target list? Let's find out from the blog post itself. "Beginning January 1st, 2025, a small percentage of cloud Enterprise Agreements in direct markets will no longer be eligible for renewal under the existing EA framework." As you can see, there is no clarity. If you are NOT in a direct market, you can relax for now. If you are IN a direct market, I guess, you'll soon know. Or not. 👉 Need assistance negotiating your Microsoft agreement? Find us here: https://lnkd.in/ePJeKgkN #Microsoft #Cloud #procurement #samexpert

Are you ready to unlock the full potential of your Microsoft Enterprise Agreement (EA)? https://lnkd.in/gxJcMs_K Discover how SCHNEIDER IT MANAGEMENT can help you navigate the complexities of Microsoft licensing with ease and confidence. Our comprehensive EA services cover the entire contract lifecycle, from pre-contract assessments to ongoing management and renewal. Key benefits include: ✅ Expert Licensing Guidance: As the No.1 Microsoft Licensing Solution Provider (LSP) in Luxembourg, we offer unparalleled advice to drive value. ✅ Cost Efficiency: Align your cloud spending with business goals to maximize savings and enhance efficiency. ✅ Compliance Assurance: Stay ahead of compliance requirements with proactive risk management. ✅ Strategic Negotiation Support: Leverage our strong relationship with Microsoft to secure the best terms during renewals. Let us handle the complexity of your Microsoft EA, so you can focus on driving your business forward.

When will Microsoft EA be fully discontinued? It’s hard to say. The replacement MCA-E and CSP require too many changes in budgeting and IT design. Microsoft and some of its partners will insist that MCA-E is a seamless evolution that of the EA. The actual truth is unless they get rid of the MCA shortcomings and introduce enterprise-friendly features, that is an untrue statement (read: BS). If you take a traditional EA and simply switch to an MCA-E, not only your costs will skyrocket. You may accidentally become non-compliant. And should I mention OPEX-only? Such transition requires a careful preparation, planning, and negotiating better terms and discounts. BTW, if you are on an EA level B, C or D, forget the standard price list discounts. They don’t exist in MCA. To answer the opening question, it’s hard to say when it will affect you. Microsoft has been trying to get rid of the EA for over 10 years. But now they seem to be more determined than ever. If I were you, I would not wait and begin weighing my options and strategising now. We will continue publishing our thoughts and actionable advice on the matter for CFOs and IT procurement and architects. Stay tuned. Or DM us your questions now. #microsoft #cloud #procurement

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"MCA-E is an evolution of the Microsoft Enterprise Agreement." What a load of BS! Microsoft Customer Agreement is by no means a digital evolution of the traditional Enterprise Agreement. — There is no Software Assurance so you cannot renew from an EA to an MCA-E. Your costs will go up because you'll have to resubscribe. — There are no FromSA discounts, so your costs will go up. — The transition from legacy M365 plans with Teams to the modern plans "without Teams"? Your costs will go up. — There are licensing changes that will raise the costs further. — There are Azure implementation differences too. And it's not the entire list. Don't wait, prepare! Practical advice: – Assume your EA may be discontinued. – Learn about MCA and CSP agreements. – Learn about their differences with EA. – Analyse how these differences may affect your IT operations, on-premises and in the cloud. – Calculate how these differences will affect your Bill of Materials, licensing, and cloud costs. – Prepare for a tough negotiation, especially if you are in an EA level B, C, or D. — Find us here for independent advice: https://lnkd.in/ePJeKgkN #Microsoft #Cloud #procurement #samexpert