Bernd Ruhnke License Executive Hosting and Services Africa, Asia, Australia and Europe October 22, 2008
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1 Bernd Ruhnke License Executive Hosting and Services Africa, Asia, Australia and Europe October 22, 2008
2 Agenda SPLA 2008 Three Things to Remember 1. Integration of SPLA/ISV in MBSA Incremental Revenues Now October Savings with Exisiting Select SA / EA Licenses Bring your own CAL (BYOC) December SPLA Software Downloads Available Easy offering of new products to customer 2
3 Services Provider License Agreement - SPLA SPLA-License program enables Software Services for third parties on subscriber base, if customer decide not to buy their own licenses. For these Software Services other Volume Licenses like Enterprise Agreement, Select, Open Value or Open License cannot be used, limitations are: No Commercial Hosting No Leasing and Renting No Software Services with VL-Licenses
4 In-house Deployment Customer Deployment Scenarios Outsourcing; Hosting; Software Services Dedicated Server Hosting Option 1 Option 2 Option 3 Shared Hosting Outsourcer s Data Center Outsourcer's Data Center Customer A Customer B Customer C Customer A Customer B Customer Deploys Server and Software on Premise Customer Owns and Acquires Licenses Customer Owns Licenses; Outsourcer Acquires Licenses Outsourcer Owns and Acquires Licenses Outsourcer Owns and Acquires Licenses Licensing Options Customer is licensed via Enterprise Agreement (EA), Select License, Open License, Full Packaged Product (FPP), OEM Licensing Options Customer is licensed via EA/Select License Customer is licensed via Select License; Outsourcer signs Outsourcer Enrollment Outsourcer must sign the SPLA (cannot use their EA/Select License) Outsourcer must sign the SPLA (cannot use their EA/Select License)
5 SPLA vs. SELECT / Enterprise Agreement Extranet Licensing Third Party Services High Volume Service Independet Sw Vendor SPLA OEM External Connector Internal License Select / EA Enterprise Agreement Open Select /EA Enterprise Agreement Open SPLA (50% Max.) 5
6 Microsoft Licensing Options Overview Internal Use Licenses (EA, Select License, Open License) Services Provider License Agreement (SPLA)) External Connector Outsourcer Enrollment An organization uses Microsoft products for its own business purposes and to create or access its own proprietary information. These agreements grant customers perpetual licenses, with the exception of subscriptionbased agreements. An organization offers software services to its customers through servers connected to the Internet or a private network. Microsoft products are used to provide these services. Examples: Web hosting, applications hosting, and messaging services. Licensee: Services Providers Outsourcers An External Connector License is an alternative to Client Access Licenses (CALs). It gives organizations the right to permit an unlimited number of external users access to certain Microsoft server products. External users are users that are neither (i) the entity or the entity s affiliates employees, nor (ii) the entity or the entity s affiliates onsite contractors or agents. The External Connector License cannot be used by licensees to provide software services or to otherwise provide access to a Microsoft product where access to the Microsoft product is the primary benefit. Outsourcer Enrollment gives authority to a third party to purchase licenses on behalf of its Select License customers. The customer is the licensee of the Microsoft products acquired under the Outsourcer Enrollment for the term of the agreement. Licensee: End Customer LAR Licensee: End Customer Licensee: End Customer End Customers End Customers End Customers Outsourcers End Customers Outsourcers End Customers
7 Software Services under SPLA From datacenter Software Services will be offered to customers via Internet, Private Network or Telephone network Microsoft-Produkte can be licensed for commercial reasons to allow customers to access Servers. 7
8 SPLA - Customer Facility Installation Service Provider can install a Service Device on premise at the customer site. This device can only be used to faciliate the Software Services (Hosting).
9 SPLA - Internal Use Licensing It is possible to use SPLA for internal Licensing, up to a max. of 50 % of the external licensed software of a single product.
10 1. Integration of SPLA/ISV in MBSA Incremental Revenues Now October
11 SPLA 2008 MBSA Integration This Contractual change will mainstream SPLA into Volume License. It will simplify the SPLA Agreement, and will make it easier for the SPLA Partner to purchase Support from Microsoft. Oct. 08 Old Select EA 6.7 Master Business Service Agreement SPLA ISV 3.0 Premier Support New
12 Versions: New for FY2008 Program versioning will align with fiscal year o Example: SPLA agreement will be labeled as the SPLA 2008 agreement rather than the SPLA 3.0 agreement Drivers for this change: Remove the stigma of 5.0 to 6.0 to 7.0 with partners and customers Align with product versioning Benefits - Alignment with Product release naming Alignment of cross-program documents (e.g. SPLA Agreement to MBSA) Consistent communication to channel and field Simplified introduction of Select Plus program Market prepared for full scope of Laminar platform De-emphasized agreement versions 12
13 SPLA Contract Signing Option Oct. to Dec January 2009 SPLA 2.3 Sign SPLA SPLA 2008 Sign SPLA (and MBSA) SPLA 2008 Sign SPLA (and MBSA) 14
14 Signature Form Detail Program type: Choose program type from drop-down list (e.g. ISVR or SPLA). Proposal ID: Microsoft will complete. Completed only if there are concessions. MBA/MBSA number: Reseller or Software Advisor will complete if there is already an active MBA or MBSA (Microsoft will invalidate agreements submitted with incorrect numbers). Microsoft will complete if a new MBSA is listed in the summary table. Agreement number: Reseller or Software Advisor will complete if there is already an active agreement (Microsoft will invalidate agreements submitted with incorrect numbers). Microsoft will complete if a new agreement is listed in the summary table. Agreement Number box now included on the signature page and removed from the agreement. Agreement Public Customer Number (PCN): Reseller or Software Advisor completes. Microsoft will complete if the customer is new to Volume Licensing. 15
15 Results of Contract Alignment SPLA Reduction in page length 2.3 Agreement = 23 Pages 2008 Agreement = 15 Pages Sections removed by program agreement 1. How Compliance is verified 2. Limited Warranty 3. Defense of Infringement and misappropriation claims 4. Limitations and exclusions of liability 5. Compliance with laws 6. Confidentiality 16
16 Additional SPLA Benefits Microsoft Virtualization Enhancement Softgrid for Desktops isavailable for SPLA, but not for virtualization of MS Office (No streaming of MS Office) Support of older Technology Windows XP Downgrade is possible for technial reasons upon request Notice: Virtual PC s Windows Vista PC s in a hosted server environment is not offered in any third party program. 17
17 18
18 SPLA Product Offering Business Productivity Suite SKU will be added to SPLA Exchange Standard OCS Standard MOSS Standard Live Meeting Standard MAPI will be included in Exchange Standard SKU at app. $3 vs. Exchange Standard Plus (and higher) Bring Your Own CAL ( BYOC ) discounted SKUs will be added Allows purchasing of discounted SALs if end customer owns Software Assurance on server CALs in VL Price discounts are substantial (in most cases >50%) 19
19 BYOC in SPLA Timeline December 2008 Launch SPLA BYOC with Trust Model Business Productivity Suite SAL launches in SPLA on Standard price list WW BYOC for SA SKUs for Biz Productivity Suite, OCS, Exchange, SharePoint, Live Meeting hit standard SPLA price list March CY09 Launch SPLA BYOC Sandbox BYOC SKUs assigned to separate Program Offering but SKU # s remain the same Will require SPLA BYOC Addendum (or similar) in place for Regional Operation Center to activate (similar to QEC Addendum) Service Provider provides VL end-customer enrollment numbers to Regional Operation Center s as prior enrollments to facilitate validation Software Assurance VL contract must be validated to receive discount End Customer must continue to renew SA contract to remain eligible for discounted SKUs 20
20 BYOC SALs for SA in SPLA SAL for SA (SPLA) Business Productivity Standard Suite SAL (for Core CAL Suite SA) Qualifying CAL (VL) Core CAL Suite Business Productivity Standard Suite SAL (for Enterprise CAL Suite SA) Hosted Exchange Standard SAL Office SharePoint Server Standard SAL Office Communications Server Standard SAL Enterprise CAL Suite Exchange Server 2007 Standard CAL, or Core CAL Suite, or Enterprise CAL Suite Office SharePoint Server 2007 Standard CAL Core CAL Suite, or Enterprise CAL Suite Office Communications Server 2007 Std CAL, or Enterprise CAL Suite Office Live Meeting Standard User SAL Office Communications Server 2007 Standard CAL, or Enterprise CAL Suite Only one SAL for each qualifying CAL purchased w/ SA 21
21 BYOC Pricing SPLA Product Current SPLA Price USD* New SPLA Price USD* BYOC SAL Price* Exchange Standard SharePoint Standard Office Communications Server Standard Live Meeting Standard Business Productivity Suite See below Business Productivity Standard Suite SAL (for Core CAL Suite SA) $4.50 Business Productivity Standard Suite SAL (for Enterprise CAL Suite SA) $2.00 *Estimated $ US Market Pricing based on inital feedback; Prices are set by SPLAR in each Country individually 22
22 3. SPLA Software Downloads Available Easy offering of new products to customers Starting with October 2008 SPLA Partner will be able to download software products from a Microsoft Extranet Information will bedistributed shortly to all contract partners DVD/CD Media from Worldwide Fulfillment are still available at regular distribution costs of app. $21. 23
23 3. SPLA Software Downloads Available Advantages No problems with delivery time of several day s / weeks No problems with Custom Declaration New products available upon customer request Today Order - Tomorrow Delivery Obstacles To be solved All products from MS volume license programs are available (Limited by licensing contract and Extranet Usage Report) No Purchase Summary of SPLV contract available yet Activation with MS Activation Center 24
24 4. SPLA - Ideas for the future (TBC) Incentivate to high volume service provider for their SPLA revenenues Avoid canibalization to other programs Licenses from SPLA with no commitment should not be better prices than Select / Enterprise Agreement SPLA with commitment on products over the contract period? 25
25 Summary SPLA 2008 Three Things to Remember 1. Integration of SPLA/ISV in MBSA Incremental Revenues Now October Savings with Exisiting Select SA / EA Licenses Bring your own CAL (BYOC) December SPLA Software Downloads Available Easy offering of new products to customer 26
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