The Microsoft mission is obvious: empower each individual and each group on the planet to attain extra. Our companions allow us to ship this mission in each buyer phase, business, and area.
At Microsoft Ignite 2024, we put a highlight on the $661 billion complete addressable market (TAM) alternative for small and medium enterprise buyer segments in FY25 and past.* Cloud Answer Supplier (CSP) companions are the trusted advisors who serve these clients and allow them to speed up their AI transformation with the value-added companies and options that create actual enterprise impression. CSP is our hero movement that permits these companions to drive this transformation.
Right now, I’m happy to announce extra updates designed to assist CSP companions drive extra renewals and upgrades, retain clients, upsell, and scale their companies. On the similar time, we’ll deepen our funding within the companions who’re delivering transformational impression with clients, aligned to our strategic imperatives.
Right now’s bulletins are a continuation of our investments in CSP affords, capabilities, and enablement for FY25, by way of which we:
- Aligned incentives to our 5 strategic priorities: Copilot on each machine throughout each position; AI design wins with each buyer; securing the cyber basis of each buyer; migrations, migrations, migrations; and Microsoft 365 core execution.
- Devoted 70% of our complete associate incentives to companions that serve the small and medium enterprise buyer segments.
- Launched new capabilities that assist companions entry, evaluate, and reply to collectively deliberate leads shared by small and medium enterprise buyer sellers and observe progress and efficiency between Companion Heart and MSX.
- Launched a collection of recent promotions, together with our new-to-Microsoft 365 E5 supply to assist CSP companions win new clients.
Introducing three-year subscription phrases in CSP
To increase deal-making capabilities and supply a extra constant expertise throughout buying channels, together with these transitioning from expiring Enterprise Agreements (EAs), we’re launching three-year subscription phrases for Microsoft 365 E3 and E5, with or with out Groups, in addition to Groups Enterprise licenses in CSP on June 1, 2025. They are going to be obtainable for buy with three-year upfront or triennial/annual billing choices solely.
The brand new three-year SKUs for E3 and E5 with out Groups and Groups Enterprise standalone SKUs shall be typically obtainable on the CSP value record on June 1, 2025. These SKUs will seem on the Could 1, 2025, CSP value record preview within the Companion Heart pricing workspace.** The brand new three-year SKUs for E3 and E5 with Groups will solely be obtainable on the tip of sale (EOS) value record in Companion Heart on June 1, 2025. There isn’t any value record preview for the EOS value record.
At both midterm or renewal, you’ll have the ability to change E3 and E5 subscription phrases for purchasers who’ve EOS SKUs of Microsoft 365 and Workplace 365 Enterprise suites with Groups to those new three-year EOS phrases.
As well as, efficient July 1, 2025, a three-year subscription for Microsoft 365 E5 Safety and E5 Compliance mini suites may also be obtainable.
And that will help you transition clients from on-premises options or improve them from Workplace 365, we’re launching new 10% low cost promotions for new-to-E3 or new-to-E5 clients on the CSP three-year subscription phrases. The E3 and E5 promotion shall be obtainable on June 9, 2025, whereas the E5 mini suite promotion shall be obtainable on July 1, 2025.
We’re additionally extending the Microsoft 365 Copilot Getting Began low cost promotion by way of June 30, 2025.
Simplifying renewals and upgrades
Based mostly on associate suggestions, we made two essential course of enhancements on April 1, 2025, making it simpler to transition clients from EA to CSP and lowering the processing time for midterm upgrades.
- We launched a channel transfers interface in Companion Heart that helps companions renew expiring EA affords for Microsoft 365 E3 and E5 with Groups and Workplace 365 E1, E3, and E5 with Groups—that are EOS—into CSP and preserve the purchasers’ Groups entitlements.
- We additionally launched AI-powered automation that streamlines midterm upgrades by dealing with subscription cancellations and credit mechanically. The outcome: fewer duplicate SKUs and a discount of help decision occasions all the way down to someday or much less.
Introducing Web Paid Seat Provides reporting in Companion Heart
One of many frequent requests we get from companions is that will help you perceive the state of your Microsoft 365 set up base and act when wanted. We’re making Web Paid Seat Provides (NPSA) reporting obtainable in Companion Heart in June 2025. This reporting will present visibility into the identical efficiency metrics that Microsoft workers can entry internally, creating extra readability throughout enterprise evaluations and stronger joint execution.
Deepening our funding in constructing a succesful, sustainable CSP ecosystem
We attempt to offer companions with affords, capabilities, and enablement to make the TAM alternative a actuality. We wish to guarantee our CSP associate ecosystem is well-positioned to create the seamless options and experiences our clients have come to anticipate whereas accelerating progress alternatives. Beginning October 1, 2025, we’re introducing new authorization necessities that can apply to direct invoice companions, distributors (previously oblique suppliers), and oblique resellers.
Eligibility thresholds
We’ll additionally roll out up to date eligibility necessities for CSP incentives in FY26. These updates will align with the CSP authorization modifications, requiring CSP direct invoice companions, distributors, and oblique resellers to have streamlined and related experience by resolution space.
Let’s obtain extra—collectively
I’m regularly impressed by our companions and the impression you’ve made for purchasers of all sizes as you empower them to succeed with Microsoft options. We proceed to make investments reminiscent of these to make it simpler so that you can ship innovation, drive impression, and construct lasting buyer relationships.
Be a part of us on Could 6, 2025, for our Speed up CSP Progress with Company clients and new Copilot worth webinar to be taught concerning the newest Microsoft 365 affords and promotions, get updates on Copilot and brokers, and entry sources that will help you drive AI adoption.
On July 15, 2025, MCAPS Begin for Companions will go deeper on our priorities and GTM methods and may have devoted CSP breakout classes. I encourage everybody to mark that date in your calendar and be part of us as we construct pleasure for FY26. Registration particulars shall be despatched quickly.
Collectively, we are able to form the way forward for AI for small and medium enterprise clients in FY25 and past.
Be a part of the dialog on Microsoft Companion Group’s CSP companions dialogue board.
*Microsoft estimates primarily based on IDC information, October 2024. All through this doc, $ refers to US greenback (USD).
**Observe: There are two errors on the Could 1, 2025, value record preview for non-European Financial Space markets.
- The Microsoft 365 E5 no Groups – 3-Yr SMC SKUs are absent from the Could 1, 2025, value record preview.
- The Microsoft Groups Enterprise – 3-Yr SMC SKUs are mistakenly listed with a June 1, 2025, “EOS Begin Date.” It ought to have a June 1, 2025, “GA Begin Date.”
The Could 1, 2025, value record preview shall be corrected and republished on Could 8, 2025. These errors won’t impression transactability starting on June 1, 2025.
