Old news seem new. Calculate an EA

English: M in blue square (similar to seen on )

English: M in blue square (similar to seen on ) (Photo credit: Wikipedia)

I landed in this article : http://rcpmag.com/articles/2012/08/30/microsoft-raising-ea-licensing-renewal-costs.aspx

I found that telling people today about Software Assurance (SA) renewal is 40% of the cost of the previous deal on the EA can deceive, is old news.

Old news, no news.

However, when making assumptions of cost of EA versus others for the first time or not. I recommend:

  • Ask the LAR to get an official quote from Microsoft
  • Compare it to a Select Agreement quote and Open Value (Open Value will be more flexible on total quantities to license)
  • Determine the upgrade cycle you want to have on applications and OS. This will determine if SA will make sense for you. the magic number is 5, is your cycle is within 5 years you will be able to make use of SA better than if your cycle is longer.
  • Compare it to host it with a provider, include your hardware and maintenance cost to a provider that can offer you SPLA licensing (Service Provider Licensing Agreement). Licensing specialist trend to forget Cloud is out there.
  • Compare it to Office 365 upfront costs or included on the EA quote

Get an estimate quote of the SA renewal. then consider the following:

  • Microsoft increase prices around 3 to 5% per year
  • Microsoft goal to increase the revenue on every EA on 30% (add this to your EA renewal cost), by selling oyu new bundles, support, and new amendments.
  • Evaluate your Cloud projects in case things on your EA today will be Office 365 or other in the future.

Not all actual Microsoft or former Microsoft employees know about licensing, and not all specialists have the same experience.

Make sure your dollars on consulting are spent with sense, there are good contract managers out there but not licensing experts; unless a good IT architecture overview is done about licensing there is no real good job about advising on licensing.

Is not about purchasing strategies is about compliance, and enabling software access as YOU want.

It is messy business, visit my services page for help or email me for inquiries.

 

Advertisements

Leave a Reply

Fill in your details below or click an icon to log in:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out / Change )

Twitter picture

You are commenting using your Twitter account. Log Out / Change )

Facebook photo

You are commenting using your Facebook account. Log Out / Change )

Google+ photo

You are commenting using your Google+ account. Log Out / Change )

Connecting to %s