Enterprise Advantage on MPSA

The channel community have had a short briefing with Microsoft about Enterprise Advantage on MPSA, effective early in CY 2017.

Briefing Notes:

  • Customers can ‘mix and match’ between subscription, software and cloud, and between productivity and server products, all in one contract.
  • “Coverage discount” for enterprise-wide commitment, and “platform discount” for eligible platform commitment continues. ‘EA on MPSA’ purchases aggregate organisation-wide to level-up pricing.
  • Interestingly, EA on MPSA has a starting point of 250 users/devices.  Not 500, as with the EA minimum commit http://goo.gl/yNfi8v remember the July EA enrollment: new contract terms do not support fewer than 500 Qualified Users/Devices. Renew once via Enterprise Renewal Form. Microsoft believe EA on MPSA will be ‘optimal’ for 250-2,399 users/devices.
  • True Up annual reconciliation model will continue, with True Down for subscription based products and services.
  • EA on MPSA will only be an indirect contract with potential margin. SoftwareONE will own the billing process.
  • Only one partner per Enterprise Advantage term.
  • Incentives will continue, likely aligned to strategic solutions and services. I pressed them slightly, but they stated the end of fees was “premature”. New fee structures will be communicated.
  • Main focus of channel fees appear to be DPOR (Digital Partner of Record) – Microsoft are aligning their channel incentive model to consumption.
  • Microsoft encourage partners to “Focus on Services” particularly digital transformation.
  • Importantly, Microsoft will start a process of “automation” of concessions empowerment, only  more ‘complex’ deals aligned to legacy EA model.
  • Microsoft believe EA on MPSA should be reasonably flexible for defining user profiles with subscription, perpetual or service profiling; and not necessarily requiring legacy EA (TBC)
  • Self-service features for the platform will expand with initially: SA benefit management, online service provisioning, improved asset management.
  • Higher deal throughput – “in less than a day”, increased sales velocity and lower cost of sale to Microsoft and Partners.
  • Government Advantage and Education Advantage to follow in 2017. They could not confirm (at this stage) whether Government Advantage would align with the end of CTA phase 2 in UK.(CTA Phase 2 was communicated as expiring in June 2017)

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Tony Mackelworth is Head of Microsoft Advisory Services at SoftwareONE

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