Blog Archive

Cloud Essentials – Where Has It Gone?

Registered Microsoft partners who wanted to sell Office 365 and Windows Intune could join the Cloud Essentials program last year.  A large benefit of this was the internal use rights (IUR) for Office 365 and Dynamics CRM.  Cloud Essentials partners would receive 250 seats of E3 to run their company as well as 100 seats of Dynamics CRM.  It’s unlikely that a partner would use that many but the value of those seats alone totalled just under £96,000 per year.

Cloud Essentials no longer exists after February 2014 but what replaces it and how can you obtain IUR for cloud technologies?

I’m assuming you’re familiar with Cloud Essentials but if you’re not, feel free to email us and I’ll be happy to complete the picture.  Briefly, Cloud Essentials was the step required for small and medium business (SMB) partners to receive commission on cloud sales when a customer paid for those cloud services directly with Microsoft.  This step is no longer needed and every registered partner is now ready and enabled to sell cloud and earn fees.  So that’s a real positive.  There is a second tier called Cloud Accelerate which still exists until autumn and offers additional commission tiers for partners as they sell more cloud seats.  There is also Cloud Deployment which is specifically for partners selling cloud to larger enterprises and Azure Circle for partners with an Azure practice.  The following shows the roadmap for the Cloud programs and if you want to flourish as a Microsoft Cloud partner, you are encouraged to gain a competency.

Microsoft Advisor Programs

 

The internal use rights have become harder to obtain but this is a good thing.  Previously pretty much anyone could have obtained these IUR for free just be registering and taking a short multiple choice test.  That’s not what we need from a partner community; we want professional and dedicated partners in the industry; not thousands that just sign up for free software.  Partners must now gain a competency or subscribe to the Action Pack to enjoy IUR.

As a guide, Gold competency partners will receive 100 seats of Office 365 and Windows Intune and 60 seats of CRM Online.  Silver competency partners will receive 25 seats of Office 365 and Windows Intune and 15 seats of CRM Online.  Action Pack partners will receive 5 seats of Office 365 with the ability to earn 5 more seats once they complete an O365 sale of 25 seats.  They will also receive 5 seats of Windows Intune and can receive 5 seats of CRM Online once they sell a CRM Online subscription or 50 seats or Office 365.

All three levels will receive the added benefit of a $100 monthly Azure credit.

Partners will still have on-premises server licenses for development, testing, demonstration use and for internal training.  You can find out more by reading the Cloud IUR document and the MPN IUR page.


Handy Resources for Customers

I don’t know about you but my favourites list is longer than {insert your favourite tabloid celebrity here}’s list of ex-partners.  I’m trying to apply some minimalism and fit the most useful on this postcard which we’ll keep up to date.  Feel free to suggest any links you find useful and would like to share.

Update February 6th 2015 – handy list of Microsoft Azure Resources

Handy resource reference card

Office 365 Selector Tool for Partners

If you sell Microsoft Office 365, take a look at readytogo.microsoft.com where you’ll find a brand new Office 365 Plan Selector Tool.  The Excel-based tool recommends the appropriate Office 365 Plan based on your answers to your customer’s technology and productivity needs.

Partners new to the business will find this a bit limited and you’ll very quickly know the most appropriate plans for your customer after a few scenarios.  However this could be useful as a customer-facing tool in those initial sales discussions.  It does quote in US$ and link to the US Microsoft Office 365 pages – I’ve posted a comment to the developers to request an option to localise the tool.  This is the direct link to the tool.

My ulterior motive for this recommendation is to highlight Microsoft’s Ready To Go marketing site.  Half of Microsoft staff are sales and marketing and not enough partners utilise the resources that come out of this massive marketing machine.

Office 365 selector Screenshot

What am I getting with Office 365?

Office 365 is a brand.  But Microsoft has a challenge to overcome by using that name.  Their challenge is that the Office name is so synonymous with Word, Excel, PowerPoint and so on that customers and resellers can get confused with what Office 365 actually is.

In a nutshell Office 365 is either the Office suite of client applications (Word, etc.) or online cloud services such as Exchange, SharePoint and Lync or both of those.

Below is a table containing most of the commercial Office 365 options (aka plans) you can buy along with a summary of whether that plan includes cloud services and the Office client.  A high-level list of what’s included can be found on office.microsoft.com.

Office365matrix

 

The best place to determine the detailed feature demarcation between those plans is via the Office 365 Service Descriptions on TechNet.

O365ServiceDescription

 

Licensing is straightforward with Office 365. Whatever Office 365 plan you have, the licence is per-user. This is a big difference from on premise Office which remains per-device. If you have Exchange, Lync or SharePoint on premise you can choose to licence access to these on a per-device or per-user basis or even to mix and match but the Office 365 cloud services are only per-user.

Why is this? One of the principles of cloud computing is anywhere access and typically the user will travel more than the device. I want to access my services at home, at work, at the airport, around my mum’s house. One in five men have participated in a conference call whilst on the toilet (according to research on Wtop.com). It makes sense to licence the user because they can access from any device. I can email from any device, IM and join a video-conference from any device (that supports Lync), get to my files and sites and business intelligence in SharePoint from any device. And if the Office 365 plan includes the Office client, then that can be locally installed on up to 5 devices concurrently and these can be a mix of Windows, Mac, corporate machine or personally-owned PCs.

One other important aspect to Office 365 licensing is the concept of a USL or User Subscription licence. Most Microsoft server software requires a Client Access Licence (CAL) to enable access to the software’s features. Windows Server, Exchange Server, Lync Server and SharePoint Server all require CALs. Office 365 is no exception but we call a CAL a USL because you only subscribe to online services, they’re not perpetual unlike CALs which you don’t need to buy again every year. The monthly, per-user cost of Office 365 includes all the USLs you need however the Enterprise Office 365 plans also include an implicit CAL whereas Midsize Business and Small Business plans do not.

Why is this important? If you have a hybrid infrastructure with some on premise Exchange, Lync or SharePoint servers then your users will need CALs to access those as well as USLs to access their Office 365 services. Having implicit access rights granted within the USL means you do not need to maintain CALS for those users who are covered by an Office 365 plan (one which includes cloud services). This is detailed in the Product Use Rights document for each of the on-premises servers, an example of which is the Exchange Server 2013 Standard requirements below showing that an Office 365 E1, E3 or E4 USL is fine for access but doesn’t list Midsize or Small Business USLs.

O365ProductUseRights

 

In summary, Office 365 is a big beast which can encompass the Office client suite, cloud services or both depending on which Office 365 plan you have. Each plan differs in individual features but is broadly licensed the same way; per-user. A bonus of subscribing to the Enterprise plans that include cloud services is they allow the licenced user access to on premise Exchange, Lync and SharePoint servers without needing a separate CAL.