The go-to software licensing model originates with the Microsoft Enterprise Agreement (EA), helping 500+ seat organizations manage their licenses by committing to 3-year agreements. However, the up-and-coming Cloud Solution Provider (CSP) challenges the 3-year agreement by incorporating licensing flexibility. Why? Cloud-based services are on the rise, especially services like Azure and Office 365 becoming part of office norm. Even large businesses caught-on to the cloud, which leaves many organizations looking for alternative Microsoft Volume Licensing options.
Microsoft is following the winds of change by introducing their CSP partner program. With this program, the licensing runs on a monthly fee, where you pay only for the software you need. In the long run, this is a more cost-effective solution and more convenient, as you can change your licensing to fit your needs each month.
So, should you make the switch to CSP? Let’s compare.
EA Pros:
· The 3 year commitment can be budgeted. It is not a requirement to pay for the full contract up front.
· Microsoft takes inventory once per year to help make sure you have all the licenses you need.
· After taking inventory, the pricing might change to reflect your true usage.
CSP Pros:
· The pricing is on a pay-as-you-go basis. The cost can change from month to month.
· You pay for what you use and can add or drop users each month.
Our advice is simple, if you are interested in a scalable solution, a CSP partner might be best. This is due to the CSP model which allows for change as your business changes. By having the flexibility of change, you can add or remove users and products at your convenience.
But it is not just the flexibility that entices businesses to make the switch, many billing cycles have switched to pay-as-you-go. With Amazon Prime, Netflix, and even cell phone carriers, pay-as-you-go has a nice ring to it and companies are offering it. This method allows for users to budget on a monthly basis, putting you back in control of what you are using and what you are paying for.
At TBSC we help businesses make the switch to the cloud. We have a tried and true smarter 4 step method to ensure a quick, easy, efficient, and cost-effective switch.
The TBSC smarter switch from EA to CSP:
1. Discovery & Inventory — discover what you have before migrating to the cloud
2. Product Usage — explore what apps are used and not used
3. Migration — make the switch to cloud subscriptions
4. Managed service — manage your subscriptions month to month to stay efficient, cost effective, and productive.
TBSC can help you through all the steps with our core products in software asset management. For more information about our products and services, please email [email protected]