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Monthly Archives: August 2017

Top 5 CSP Questions…Answered

Here are a few hot topics this week around CSP.  Enjoy!

What would happen if I sell myself Office Pro Plus through my own CSP authorization?  Can I do that?

No.  You cannot sell yourself Office 365 Pro Plus licenses.  You can purchase it through any volume licensing program or through another CSP provider.  Might be a good way to check out the competition support processes though!

If you are CSP authorized in Australia, but have customers in UK, can you resell Office 365 through CSP?

No. You can only resell in the region in which you are authorized. 

If my end customer purchased Office 365 Pro Plus through Volume Licensing, can I host it from my datacenter if I am QMTH authorized?

Yes. The end customer can purchase from any licensing program as long as it is Office 365 Pro Plus version.  As the service provider, you must be QMTH authorized.

 

If I purchase CSP licenses indirectly from my distributor, do I qualify for QMTH?

No.  You must CSP Direct authorized in order to that.  You cannot purchase from a distributor and offer VDI or Office Pro Plus.

If I sell Azure through CSP, how do I know which region my data is located?

With Azure, you get to pick the region.

If I sell Office 365 through CSP, which region is my service hosted from?

The address on the invoice determines the location of the services. 

***Watch out for the new Microsoft Cloud Agreement (MCA) coming in September.  You can download the old version here

Thanks for reading,

SPLA Man

 
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Posted by on August 24, 2017 in Cloud Solution Provider Program

 

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Licensing Office Online for External Users

What happens if you have end customers who want to use Office Online for external users (non-employees of your organization).  Is that SPLA?  In this article, we will break down Office Online through three programs – SPLA, Volume Licensing, and CSP.

SPLA

If you are hosting Office for another organization SPLA definitely fits.  As an example, if you provide DaaS to your customers who are also licensed for Office, they can access Office Online.  In this model, you license SharePoint (requirement for Office Online) Office by user, RDS per user, and Windows + SQL Server.   Very expensive to simply offer a customer the ability to view and edit documents online.

Volume Licensing and Office 365

Office Online was added as a Software Assurance benefit for Office in 2016.  End customer’s who simply want to view documents can download it directly from the Volume Licensing Services Center (VLSC).  End customers that require document creation, edit/save functionality will be required to have an on-premises Office license with Software Assurance or an Office 365 ProPlus subscription. Any customer that purchased an Office 2016 suite through Volume Licensing before August 1, 2016 will not require SA through August 1, 2019.   After August 1, 2019 they must buy SA for any on-premise Office licenses.

According to the Product Terms (May 2016) “If Customer has a License for Office 365 Pro Plus, then Customer may use Office Online services.  Each of Customer’s Licensed Users of Office 365 Pro Plus may access Office Online services for viewing and editing documents, as long as they are also licensed for SharePoint Online or OneDrive for Business.”  It’s the last sentence that stings.  In other words, you want Office Online?  Better buy Office 365 E3.

Office Online for CSP

The same rules apply.  In this scenario, the hosting company could sell Office 365 E3 through CSP program to their end users.  In CSP, the end customer is paying month – month and paying for support.

Thanks for reading,

SPLA Man

 
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Posted by on August 11, 2017 in Office 365

 

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Slaying the dragon and saving the princess – audit style

We all love stories.  All of us. We love to hear about good overcoming evil – the prince saving the princess, the bad guy that's captured by the good guy.  In short, what we love are fairy tales.  The reality is we do not live in a world of fairy tales and sometimes, yeah, the bad guys do win. The prince, admired by many, is not such a good prince after all.  We trust without knowing they can be trusted.  So, what does this have to do with audits?

Businesses are built based on one concept – to solve a customer's problem.  You are their hero to save whatever pain they have or problem they can't seem to overcome.  You, are (as the story goes) their knight in shining armour.  Your customer needs someone to deliver a solution, you are just the good guy to do it.

Fast forward a couple years, your business is booming, your customers are happy, and in walks every IT nightmare…the auditor.  Eye glasses the size of saucers, a necktie tied just a shade too short, and a laugh that is about as annoying as a nail on a chalkboard; you are succumbed to a software audit.

How do you defend such evil?  The biggest mistake a hosting partner (or enterprise's in general) often makes is being fearful.  They give the auditors everything they ask.  That's not always bad, but if you don't understand why they are asking for certain things or feel they are painting you in a corner, take a step back.  Don't give in without understanding what they are asking and why.  Why do they want to know who your customers are?  Why do they ask about customer owned licenses?  Software Assurance? Historical information?  If you can't answer "why" maybe you need help.  In walks SPLA Man.  Nah, in walks Mrs. SPLA Man, every auditor's worst nightmare.  She put together the following list on how to better prepare yourself for the unexpected.

Mrs. SPLA Man's List

  1. Don't be fearful – no matter what, it's your business and YOUR customers.
  2. Have a plan.  Know what's in your customer agreements.  If you need to refresh your agreement language, do it.  Software licensing rules change daily, if you have not updated your contracts on license mobility or datacenter outsourcing, update it now.
  3. Don't bring unwanted attention to your organization.  Always report usage on time and pay on time.  80% of all delinquent reporting has nothing to do with the reseller or Microsoft.  It has everything to do with a SPLA partner's account payable dept.
  4. Don't have one person manage your usage reporting.  In a lot of cases, a person leaves a company who was the only one who worked with the reseller directly.  When that person leaves, who is responsible for reporting?
  5. Don't be pressured.  Audits can take up a lot of resources.  Don't give up customer engagements to satisfy an auditor.  Your customers are the lifeblood of your business, don't delay meetings with your clients.
  6. The publisher needs you.  You are their sales arm.  You bring the hybrid cloud to life.
  7. Find out from the publisher who manages your account.  When was the last time you spoke to them about strategy or best practices?
  8. Relax.  It's not the IRS auditing you (yet)
  9. Don't settle just to settle.  You didn't grow your business to the magnitude you've grown it without having negotiating skills (and guts).
  10. Don't be scared to ask for help.   Have a question?  Email info@splalicensing.com

Thanks for reading,

Mrs. SPLA Man

PS – Slay that dragon!

 

 

 

 

 
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Posted by on August 10, 2017 in Compliance

 

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Top 5 Licensing Questions….Answered

You have questions…We have answers.  Another month, and another list of licensing questions asked by the hosting community.

  1. I have a small hosting company that runs primarily Linux machines with a few Windows VM’s mixed in.  The only thing we do customer facing with Windows systems is a small number of users access our application via a published app over RDP Web.  Do I need SPLA?

Yes.  You have Windows running in your cloud environment.  It does not matter how small or large the environment is.  One thing you might want to check out is the Cloud Platform Suite.  You must run Hyper-V and System Center but it could lower your costs. 

  1. I get CSP from one reseller and SPLA from another.  Do I qualify for the new QMTH addendum or do I need to get it all from one source?  Totally confused.

In QMTH, you are the CSP partner, not someone else.  I am guessing you are using the CSP reseller to go indirect.  If that is the case, you must become CSP Direct authorized.  Purchasing CSP from a third-party does not qualify you for QMH.  That being said, your customer can purchase CSP from any organization and you can host it for them (if you are QMH authorized).

  1. The audit bug got me. I think it’s because my reseller refuses to submit my usage report even though I sent it to them several times.  Any advice?

Microsoft can audit any partner they choose.  There’s not one factor that triggers an audit.  More eyes will be watching if you are continually delinquent on your monthly report.  The biggest reason why a reseller does not submit a usage report is because the provider is delinquent on their payments. Are you up to date? All payments paid to the reseller?

  1. Can I rent a PC using the QMTH addendum? I know in the past I could rent a Windows desktop license in SPLA.  Can I do it now?

I think it makes sense to do so but unfortunately it is not part of the addendum.  I would love feedback here.  Section C of the QMTH addendum states” “This Amendment does not authorize Customer to resell, distribute, or otherwise provide End User or CSP Licensees direct access to Windows 10 Software” In order to lease a PC to a third-party you need to follow the Microsoft Leasing Agreement. 

  1. I report Office, Exchange, SharePoint and Skype. I heard rumors of a price increase coming in the pipeline from various resellers that I reached out to.  Any truth?

Let me put it to you this way – The products you just mentioned happen to be part of Office 365.  I don’t foresee Microsoft lowering pricing in SPLA for the same products offered by Microsoft.

Thanks for reading,

SPLA Man

PS – What was the SPLA partner’s response to my answer for question 5?  “That’s BS Mate!”  My response?  “Don’t shoot the messenger.”  Have a question?  Email info@splalicensing.com

 
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Posted by on August 5, 2017 in Top 5 Licensing Questions

 

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Details of the Qualified Multitenant Addendum

There’s been a lot of talk as of late about the new QMTH addendum.  I’ve written a couple of articles on the topic here  In this article, we will summarize what is written in the addendum so there’s no surprises.  I listed some (not all) of terms and conditions to ensure you are up to speed on the latest developments.

  • CSP Membership – You (or affiliates) must be a Direct CSP partner.  This means you cannot leverage an Indirect CSP partner for this program.  In other words, if you receive CSP licensing from Ingram Micro or SherWeb (as an example) your partnership with those distributors/partner does not qualify for QMTH.  Your organization must be CSP Direct authorized, not your partner.
  • Must meet the system requirements – System Requirements can be found here
  • Have an active SPLA agreement.
  • Reporting Requirements – You will always need to report underlying licenses in SPLA.  Those underlying licenses could be any software to deploy a VDI solution – (Windows Server and RDS).   In addition, you must report (by the last calendar day of each month) the Windows 10/O365 licenses deployed.  This is manual, meaning you will send an email to the QMTH alias for submission.  Once automated reporting is available, you must enable Microsoft’s automated reporting tool.  Microsoft will use the tool to collect your customer’s organization ID and tenant ID as well as the total number of users accessing the software.
  • As the provider, you must report to your SPLA Reseller the program administrative fee.  If you are currently in the SCA program, you will be familiar with this SKU.
  • As the provider, you must make all education materials publicly available.  You cannot just sign up for CSP, the education material should be like what’s on the QMH website.
  • For each per user subscription to Windows 10 Enterprise, the end-user can only access up to four (4) instances of Windows 10 either on Azure or you, the QMTH hoster.  This is like the SCA program in which the end user has five (5) instances of Office Pro Plus, Windows 10 works the same way.

Listed above is a summary.  I encourage you to reach out to your Microsoft rep for additional information.  I am happy to review it further, it’s a new program with pluses and minuses.  Be sure to understand the minuses first 🙂

Thanks for reading,

SPLA Man

 

 
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Posted by on August 3, 2017 in Office 365

 

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Deep thoughts with SPLA Man

As we enter the new FY at Microsoft, I thought I would put together a list of topics that’s on everyone’s mind.

  • SPLA going away?  I don’t think so.  There’s too many SPLA partners to make an entire program disappear.  I also think this is one of the benefits Microsoft has over all it’s competitors.  If a customer wants to have an application hosted in one datacenter and use Azure for disaster recovery – Microsoft wins.  If Amazon is running Windows workloads (which they are) they must pay Microsoft for that usage through SPLA.  I also think SPLA is a way to move customers to Azure.  If you are a SPLA customer who just went through an audit, the SPLA customer might ask themselves why they continue to host at all?  Let’s use Azure and my compliance problems go away.  (they don’t but that’s for another article).
  • Is CSP/QMH really a must?   I guess the jury is still out (it hasn’t even launched yet for the partner community – September 2017).  There are a lot of restrictions to this program to consider – underlying Windows Pro licenses, becoming CSP direct authorized, not using CSP Indirect, RDS licenses when deploying VDI, etc.  If you decide to go down this route, pay close attention to what you can and cannot do.
  • Will SPLA pricing increase?  Yes.  No doubt about it.  Nothing stays the same for too long.
  • How can AWS win the cloud war?   Amazon has a revenue first, profit second mentality in my opinion.  Just look at their last earnings report (2017).  They can buy their way into the SaaS market at any cost.  They are not just a cloud company, they are an everything company.  They have the leverage to really get creative with their marketing and win businesses over.
  • How can Google beat AWS and Microsoft?  Google hasn’t scratched the surface with their footprint in the enterprise space.  One slip up by the other cloud powerhouses and Google becomes a very attractive offering.  Google has the power, the money, and the brand to make headway. Like AWS, they are not just a cloud/software company, they are an everything company.  I really think Google will surprise a lot of analyst in the near future with their cloud growth.
  • How can Microsoft beat them all?  Any organization that uses Microsoft software in a hosted environment must pay Microsoft for that luxury.  They already have a large footprint and very large customer base to move to Azure.  They also have 30k + SPLA partners (estimate) that are being used to sell their solution.
  • Will SPLA Man be able to afford a nice piece of jewelry for Mrs. SPLA Man?  For all the single women who read SPLAlicensing.com, don’t make the same mistake Mrs. SPLA Man made.  Poor Mrs. SPLA Man, when I first met her at the bar, she thought SPLA was something I created for the space station. Space Program Living Association.  S.P.L.A. – kind of like a home owner’s association but for space.  (I am not sure where she got that idea).  I do have a cool blog??!

Thanks for reading,

SPLA Man

 
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Posted by on August 2, 2017 in In My Opinion

 

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