Microsoft conducts an annual compliance check to ensure that you are meeting your expected consumption. If you don`t reach the consumption values, Microsoft will take you to the next lower level (a single level, regardless of consumption). If your purchases reach a higher level, Microsoft will evaluate the order that takes you above the next threshold to the next level. The MPSA program is an indirect purchase agreement with Microsoft – you must first select a Microsoft partner to manage the agreement. This reseller partner sets the price and sends you an invoice. A welcome addition to the MPSA program is that you can have multiple partners in your purchase account. Each registration has a duration of three years, during which all the conditions and prices of the products covered in the initial order remain consistent. This means that a company can plan and budget for the purchase of software licenses up to three years in advance, reducing annual budget constraints and reducing spending challenges for the year. Each registration also has the option of a three-year renewal period.
The Microsoft Enterprise Agreement is for organizations with at least 500 users or devices. It offers the best value for organizations with 500 or more users or devices (250 users or devices for government customers) that want a commercial licensing program that gives them the flexibility to purchase cloud services and software licenses under a three-year contract. Are you a large enterprise customer at Microsoft who didn`t choose the concept of Software Assurance? If this is the case, the Microsoft Products and Services Agreement (MPSA) may be made for you. The Microsoft Products and Services Agreement is a transactional license agreement for commercial, government, and academic organizations with 250 or more users/devices. MPSA is best suited for organizations that want to license microsoft on-premises software, cloud services, or both under a single, non-expiring, enterprise-wide, non-binding agreement. Software Assurance is optional. Like the environmental assessment program, the MPSA has four pricing levels: A, B, C and D. Each purchase (License, License & Software Assurance, etc.) under the MPSA program has an associated point value and you must reach the minimum number of points during the year. In contrast, the EA program requires you to purchase both licenses and Software Assurance. Most customers adopt the term EA program and benefit from discounted rates to reflect enterprise-wide commitment.
But sometimes even EA customers have to make purchases outside of EA. At the beginning of the agreement, pricing is based on a tiered volume discount structure, that is, the larger the size of an organization, the less it pays per license. If an organization adds devices or users during its contract, the licensing cost per device/user remains the same or can be reduced for the three-year contract term given the pricing levels of the Enterprise contract volume. The structure of the company agreement offers more flexibility to partners registered in different countries and regions. Purchasing is independent and yet combined in a master`s program. The structure of the corporate agreement includes the following three elements: As a best practice, NPI recommends that all EA customers also have an MPSA by their side so that they have the opportunity to purchase under it if necessary. It doesn`t require a firm purchase obligation (any minimum purchase threshold is usually lifted for EA customers), so there`s no downside – just the benefit of being able to make one-time purchases without Software Assurance. To purchase under the MPSA, you must first submit a purchase account registration form to create a purchase account. This is analogous to enrolling in the Select or Select Plus program.
A purchasing account is a purchasing unit within your organization that you create to order and manage products and services by registering them with an MPSA. This account can be a department, an affiliate, a subset of staff, or your entire organization. The purchase account registration form links both purchasing entities and legal entities to the MPSA terms. All Enterprise A domains include the benefits of Software Assurance that enable an organization to plan deployments, prepare its users for new software, and support Microsoft products and services. An organization can spread the cost of its enterprise contract over three annual payments to forecast future budgets. When they add new users or devices during their Enterprise Agreement, an organization can equip them with software and services they already use, and then consider those changes once a year through an annual voting process called true-up. At the time of signing the Enterprise Agreement, an organization`s business is likely to grow. When adding devices, users, software, or services to an Enterprise Agreement, an organization may immediately use the same software or services that were included at the beginning of the enrollment period. You report devices, users, software, or services through an annual process called an adjustment order (or license reservation for online services). Adjustment orders and license reservation aggregate orders for additional quantities provided throughout the year as part of an annual order (including the third year prior to renewal). An organization can also recharge several times a year as an added benefit in cost management. This feature is in addition to the annual adjustment required each year.
The annual adjustment feature reduces time and cost by consolidating the ratio of multiple additional software uses under a single order. If an organization doesn`t add anything during the year, an update order is reported to warn Microsoft that it does not expect a restore order. An organization can choose to purchase its software licenses through the Enterprise Agreement or to purchase licenses through the Enterprise Subscription option, which offers lower short-term costs and the ability to increase or decrease its subscriptions each year. The following enterprise products are included in the full business desktop platform: Enterprise products include local licenses for Microsoft Core desktop products, such as . B Upgrade Windows Enterprise, Office Professional Plus and core suites and Enterprise Client Access License (CAL). As part of the Enterprise Agreement, these must be licensed organization-wide and can be ordered as part of individual products or together as a platform (with an additional discount). Disclaimer: The information is for general information and educational purposes only and is not a substitute for professional advice. Use of or reliance on the information contained on this website is entirely at your own risk.
All information has been provided in good faith, but we make no representations or warranties of any kind, express or implied, as to the accuracy, adequacy, validity, reliability, availability or completeness of any information, as the information provided does not contain any software license notice. Secure Productive Enterprise is a per-user licensing option that includes Office 365, Enterprise Mobility + Security, and Windows 10 Enterprise. Available in two options, E3 and E5, it offers licensing flexibility in a single SKU per user, including new on-premises license rights to help subscribers move from on-premises environments. Secure Productive Enterprise E3 and E5 are available through the Enterprise Agreement (EA), Enterprise Agreement Subscription (EAS), Microsoft Products and Services Agreement (MPSA) for commercial and government customers, and Cloud Solution Provider (CSP) program for cloud-only customers. The MPSA program is similar to the Select (now discontinued) and Select Plus programs offered by Microsoft in that these programs allow the customer to purchase for less than the entire organization and offer the option to purchase a licensed product only. Why should you buy a licensed product only? Maybe this is a unique situation where you need a specific product, know you don`t plan to update the product anytime soon, or maybe there are separate legal entities that don`t have to participate in your EA and have to buy a Microsoft product. For more information, see the Microsoft Web site.