The new commerce experience for CSP is here
Update May 19, 2022: In January 2022, we mentioned that phase 3 was planned for July 31, 2022. Microsoft has postponed the phase 3 transition to start early 2023 due to more testing validation being required.
Update January 31, 2022: In January 2021, we informed partners about planned changes to the previous Azure offer availability in the CSP program. We announced that there will be three phases of change to the previous Azure offer.
The start date for phase 2 was February 1, 2022. We’re also announcing that the start date of phase 3 will be July 31, 2022.
Phase 2: Beginning February 1, 2022
In phase 2, incentives and partner margin opportunity will be removed from the previous Azure offer.
Previous Azure offer in CSP
- The partner margin opportunity and incentives associated with the previous Azure offer in CSP will be removed.
- The price of the previous Azure offer in CSP will equal the estimated retail price for Azure.
- Azure partner shared services (APSS) in the previous Azure offer will continue to be available until those services are transferred to other sales motions.
New Azure offer in CSP (Azure plan)
- Partners will continue to be eligible to earn partner earned credit (PEC) on subscriptions under the new Azure offer (Azure plan) in CSP.
- Partners enrolled in Microsoft Commerce Incentives (MCI) will continue to be eligible for incentives related to the new Azure offer (Azure plan).
- Effective October 2021, partners with a silver Cloud Platform competency are eligible for additional incentives related to the new Azure offer (Azure plan).
Phase 3: Planned July 31, 2022
In phase 3, any remaining customers on the previous Azure offer will be migrated to the new Azure offer in the CSP program (Azure plan). Any existing Azure partner shared services (APSS) on the previous Azure offer will continue to be made available until they are transferred to a different sales motion or until APSS is removed. APSS will eventually be removed from the previous Azure offer and will not be available as part of the new Azure offer (Azure plan).
Azure migration from the previous Azure offer to the new Azure offer
- Ahead of Phase 3, Microsoft will migrate customers that are on the previous Azure offer to the new Azure offer (Azure plan).
- Microsoft will begin this migration in July and will expect to complete the activity by the end of July. We will communicate the migration timelines to partners in advance.
APSS transfer from previous Azure offer in CSP to a different sales motion
- Microsoft has made the decision to remove the availability of APSS from the CSP program as we remove the previous Azure offer.
- Any existing APSS subscriptions and reserved instances will need to be transferred to the customer-led motion, with options to move to Enterprise Sales motion if the partner is already transacting there.
- Microsoft will begin these transfers in May.
- Azure Stack Hub customers will see no disruption in service, but certain changes will be necessary to replace the APSS registration.
For more information on the removal of APSS, we have created a FAQ document that will continue to be updated over the coming weeks.
Partner earned credit
With the new commerce experience, partners are recognized for differentiated value-added services on an ongoing basis through the PEC model. PEC rewards partners who focus on driving customer success via value-added services that generate sustainable profitability.
July 21, 2021 Update: First phase of changes to Azure offer availability is live, phase 2 coming in February 2022
In January we announced the below upcoming changes to the previous Azure offer availability in the Cloud Solution Provider program. The first phase is live and now all new Azure business in the Cloud Solution Provider program will transact on the new commerce platform via the Azure plan offer.
The second phase will start on February 1, 2022. In this phase, changes impacting partners will be implemented for the previous Azure offer in the Cloud Solution Provider program. See the new commerce experience for Azure in the Cloud Solution Provider program collection for more information (requires Microsoft Partner Network ID).
Update January 21, 2021: When we launched the new commerce experience for Azure in the Cloud Solution Provider program (Azure plan) in November 2019, we informed partners that the previous Azure offer and platform would continue to be available, alongside the new Azure experience, for some time.
While the new Azure offer in the Cloud Solution Provider program (Azure plan) provides partners and customers with an improved experience, we want to give partners time to incorporate the new Azure features with their services and transition their customers to the new experience. Given this, we will be taking a phased approach to changing the availability of the previous Azure offer in the Cloud Solution Provider program. This phased-approach centers on progressive change, delivering the key benefits of new commerce in the Cloud Solution Provider program with minimal disruption. There will be three phases, with phase 1 starting on July 21, 2021. For phases 2 and 3, we will inform partners at least 6 months in advance before the start of each of these phases so they can prepare their customers.
Below is an overview of the phases of upcoming changes:
- Phase 1- July 21, 2021: All new Azure business in the Cloud Solution Provider program will transact on the new commerce platform via the Azure plan offer.
- Phase 2- Calendar year 2022: Changes for partners on the previous Azure offer in the Cloud Solution Provider program.
- Phase 3- Date TBD: Removal of the availability of the previous Azure offer in the Cloud Solution Provider program for existing partners and customers.
Microsoft partners can review the partner blog and new commerce experience for Azure in CSP collection (requires Microsoft Partner Network ID) for additional information. Learn more about the Microsoft Customer Agreement.
Update September 20, 2019: To ensure we provide the best partner and customer experiences at launch, we are moving the launch date of the new commerce experience in CSP for Azure from October 1, 2019 to November 1, 2019.
Microsoft is evolving its commerce platform to streamline the customer experience, enable partners to broaden their influence and continue supporting customers' needs — regardless of where the customer is in their journey or how they decide to transact with Microsoft. As part of this enhanced commerce experience, we’re enabling a more agile way for partners and customers to engage and do business with Microsoft, driving greater transparency and better business outcomes. We’re also introducing a new agreement framework — the Microsoft Partner Agreement and the Microsoft Customer Agreement — for the Cloud Solution Provider (CSP) program.
New commerce experience in CSP for Azure coming November 1, 2019
On November 1, 2019, we’ll launch a new commerce experience in CSP for Azure. This new experience will streamline and improve the way customers buy and consume Azure services. It will also give CSP partners a consistent view of Azure pricing across sales motions, USD pricing for global consistency, billing date alignment, and access to Azure Cost Management. We’ll provide partners with appropriate governance and policies to easily transition customers to the new Microsoft Customer Agreement.
The existing Azure offer in CSP continues to be available to allow time for partners to build new services and start moving their customers over to the new Azure features in CSP. To learn more details, partners should review the materials posted on the Partner Center resources gallery.
Microsoft Customer Agreement for CSP available October 1, 2019
In addition, we’re bringing the Microsoft Customer Agreement to the CSP program in October 2019. This new, non-expiring agreement will replace the current Microsoft Cloud Agreement for all new and existing CSP customers. It’s a single agreement that all customers will sign digitally, with simplified terms and conditions. The agreement lets customers make purchases across all Azure channels and allows products and services to be added as needed.
When the Microsoft Customer Agreement is launched in CSP, the new agreement can also be used to purchase all offers available in the program. This includes the purchase of existing offers available under the Microsoft Cloud Agreement. Customers who purchase the new Azure plan in CSP will be required to accept the terms of the Microsoft Customer Agreement.
For the purchase of other offers in CSP, including the existing Azure offer, partners will have the option to use the Microsoft Customer Agreement or the Microsoft Cloud Agreement during a transition period that ends on January 31, 2020. After the transition period, partners will be required to direct their customers to accept the Microsoft Customer Agreement for all purchases, including subscription renewals, in CSP.
Microsoft Partner Agreement available September 1, 2019
As we previously announced in June, the Microsoft Partner Agreement (MPA) will make the contracting experience easier, including delivering relevant terms based on partner type and the offers they’re qualified to sell. Beginning September 1, 2019, the agreement will be available in Partner Center.
After January 31, 2020, the acceptance of the MPA will be required for all partners participating in the CSP program. Partners who haven't accepted the MPA by this date will be blocked from placing new orders, and will be limited to managing existing subscriptions only.
The MPA will:
- Provide a modular, perpetual agreement that partners execute and store digitally.
- Be simplified, making it faster and easier to accept and manage.
- Offer clear, concise terms that help Microsoft, partners, and customers comply with regulatory requirements. This supports our commitment to privacy, security, compliance, and transparency.
Partners in the CSP program will be the first to leverage the MPA, which will begin to replace the existing agreements as outlined in the blog here. For more information, visit resources gallery page.