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Microsoft SPLA Audit Notifications…

Tis’ the season to be merry!  To bring a little holiday cheer, Microsoft is gifting you an audit!  In this article, I will break down some of the tricks to stay ahead of the game when Mr. Audit comes knocking.  If you need help, please email us at info@splalicensing.com We have the resources and the expertise to help navigate through the process.

Do’s of an audit:

  1. Do a pre audit yourself.  This is best to engage a third-party to know what is in your environment and what the auditors will look for.  I like to think of it this way, if you pay your reseller 20k dollars a month (as an example) don’t you want to make sure you get it right?
  2. Use your own tool or method to collect the information.  We know (and so does Microsoft) that you may not be collecting everything that auditor’s will  look for but that’s one of the reasons why you should engage a third-party.  We can use your data but we will compare it against the licensing rights so we know the risk before it becomes a risk.
  3. Know and understand customer owned licenses.  Auditors will look at everything that is installed in your hosted environment.  You need to know what you should be reporting and what you can get away with not reporting.
  4. Engage with the publisher, not disengage.  Avoiding the notification will not solve anything and put you in a tricky situation.
  5. Keep calm.  Overreacting doesn’t help your cause.

Don’t’s of an audit:

  1. Similar to 4-5 mentioned above, don’t be a jerk.  Kind of like getting mad at another driver at a stoplight, it never solves anything.
  2. Hire a law firm to work with Microsoft on your behalf.  If that happens, the publisher will engage their legal and it becomes very black and white.  In this case, my bet is on the company with the billions of dollars in their bank account.  If you engage in a third-party, it’s best to work with the third-party directly with your organization, not the third-party work with the publisher.
  3. Give the auditors everything they ask.  Sometimes they ask for things that are not relevant to the situation.
  4. Throw in the towel.  Even organizations who never report SPLA but are hosting can find a way to negotiate.
  5. Rush to close it.  There are strategies that work out to your benefit if you hold off.  Another benefit is it may give you better financial options.

Happy Holidays!

Thanks for reading,

SPLA Man

 

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Posted by on November 27, 2017 in Compliance, Uncategorized

 

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Opinion – Microsoft audits will skyrocket in 2018

Microsoft compliance programs are not going away and will increase significantly in the coming years.  Why such a doom and gloom outlook?  In this article, I will highlight some of the reasons but more importantly the ways to stay ahead of the game before Mr. Audit comes knocking on your door.

This past week, most of my articles had to do with CSP, Azure, and more CSP.   To no surprise, CSP is the direction Microsoft is moving towards for the partner community.  Check out my friend www.csplicensing.com 🙂 Licensing is not getting easier, in fact it’s getting harder.  Check out my Azure Stack article if you don’t believe me.  That article will either put you to sleep or give you a headache.

In today’s world, a service provider is not just licensing SPLA, they are combining on premise licenses, different cloud vendors, and hybrid licenses.   Unless you focus full-time on licensing, one misstep can ruin an organization.  In the coming weeks and months, I will focus heavily on all the cloud transitions and as the title of this blog site states ‘uncover the complexities of SPLA licensing.”

So why will audits rise?   There’s two reasons: 1) Licensing is confusing.  Publishers know there’s no “one-size fits all” solution to solving all licensing complexities and scenarios.  2).  With the push towards the public cloud (such as Azure), CFO’s and owners will start to wonder why they mess with the licensing at all, especially after a large compliance settlement  from an audit.  The goal will be to move to AWS or move to Azure and let them deal with the complexities licensing.

What do you do?   Throw in the towel and say, “they win” or develop a strategy to maintain compliance and create a solution to help your customers?  My advice? Don’t throw in the towel.

  1. Develop a license management practice.  Licensing is a full-time commitment (Full-time job).
  2. Don’t cave in.  I get it, that’s easier said than done – even for SPLA Man.  I HATE confrontation in all areas of my life but compliance.  I always like to see the underdog win the audit battles.  When SPLA started, I felt it was the rest of the world v. the SPLA community.  ABS – Anything But SPLA.  I still feel that way today (even stronger).  When was the last time you talked to a representative or were offered advice to help grow your business?  I am an advocate for the hosting community and the primary reason I started this blog in the first place.  Checkout my “About” section written over 4 years ago.  Don’t get bullied into the tricks of the audit.  If you need help, ask.
  3. Eliminate risk before it becomes a risk during the audit.  Going back to point #1, create a practice, understand the areas of concern, and correct it before the auditors force you to.  The time is now.
  4. I promote 3rd party advocacy for support.  I like to say, “there’s the publisher’s way and then there’s the real way” both are compliant, but one will cost you a lot more than the other.

Will audits be on the rise in 2018?  Yes. And 2019, 2020, and 2021.  After that who knows, we might be flying around the moon and vacationing on Mars.  Licensing is a dangerous game but everyone can win – if they have the right strategy in place.

Thanks for reading,

SPLA Man

 
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Posted by on July 19, 2017 in Compliance, Uncategorized

 

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How to Report SPLA Usage to be Compliant

The biggest benefit to SPLA is the month-month licensing rules.   The biggest downfall to SPLA (and CSP for that matter)  is its month-month licensing rules.  What’s a benefit to some is a nightmare for others.  In this article, we will review the tips and tricks to properly report Microsoft SPLA usage on a monthly basis and break it down using a fictitious scenario using my friend Joe Hosting.

Scenario  – The under licensing but also over paying SPLA reporter.

Joe’s Hosting  reports to his Reseller SharePoint Standard, Exchange Standard, Windows Standard, and SQL Standard every month.  They installed Exchange Enterprise and Windows Standard.    For simplicity, let’s say he has 8 VM’s on a host, and licenses SQL per instance on a VM, they also have 100 mailboxes he supports.

The Problem

Each month Joe had (key word) his employee Julie place their SPLA order each month to the Reseller.  One day, Joe accidentally backed his Porsche 911 into Julie’s car.  Furious, Joe yelled at Julie for parking near his precious Porsche and blamed her for the damage.  Julie got upset, and quit on the spot.

Julie was a dedicated employee.  Each month she would report to the Reseller almost the exact same thing (with minor fluctuations) – 100 Exchange Standard licenses, 16 Windows Standard processor licenses, 100 SharePoint Standard licenses, and 40 cores of SQL Standard.  Sometimes, she would change the counts based on customer’s coming and going but for the most part the report was stagnant.  The Reseller, happily placed the order without ever asking about their business.   Now that she left, what will Joe do?

Joe is a busy man.  He would never make time or the effort to learn how to submit SPLA usage or understand the licensing rules.   Once Julie left, his workload increased ten fold because not only did Julie report SPLA, but she was responsible for HR, scheduling, customer satisfaction, and making sure the annual company picnic went on without a glitch.  Joe was busy to say the least.  To make matters worse, Julie was the only person in the company to interact with their SPLA Reseller.

Several months went by and no usage was being submitted.  Sure the Reseller would send reminder emails to Julie, but there was no response.  Finally, Microsoft took notice, and started digging into Joe’s reporting.  Now Joe’s problems suddenly took a turn for the worse.

The Audit

It was a cold, rainy Monday, and Joe was really upset – not only did he have a ton of email to go through from the weekend, but his Porsche was getting wet.  He kept staring out his office window at his precious fire engine red baby; soaking wet, with streaks down the windshield.  The site made him sick,  he couldn’t bare to watch anymore.  He took to his email and noticed immediately – Microsoft Self-Audit Review in the subject line.  Joe opened it without hesitation.

The email thanked Joe for his partnership, but informed him that from time to time Microsoft will provide a self-audit compliance check to ensure accurate reporting.  From the email, Joe was to download the MAP toolkit (Check it out here) and provide the data back to Microsoft within 10 business days.  Joe surprisingly cancelled all his meetings that day and proceeded to download the tool.   Once the data was collected, he was to send the data to Microsoft and set up a call to review.  What happened next shocked even the Microsoft compliance guy.

Conference Call with Microsoft

Microsoft:  Good Morning Joe, after some analysis I have a few questions about the data you sent over.

Joe:  Absolutely Mr. Softy.  

Microsoft:  Umm…Say again?

Joe: C’mon man.  Mr. Softy…Microsoft???

Microsoft:  Whatever.  Let’s get to the data, ok?  In my analysis, I noticed you haven’t reported usage in 3 months.  Why?  Are you not providing commercial hosted services?  Your website indicates you are.  Just wondering why you haven’t reported?

Joe:  We had an employee leave the company who was responsible for reporting.  We did everything we can to retain her but she was simply out of control.  

Microsoft:  I don’t really care about why she left, but more concerned about why you didn’t report after she left. 

Joe: Sorry.  I don’t have an answer for that.  I was busy and forgot.

Microsoft:  I noticed you reported essentially the same thing every month which tells me you did not grow or shrink your business.  I did see on your website a press release that mentioned how excited you were to host email for Oil Tankers Inc, one of the largest Oil transportation services company’s in the US.  

Joe:  Yes. It was one of my finest sales calls.  

Microsoft:  I’m sure it was.  That being said, I noticed in the data you sent that over 5,000 users have access to Exchange Server but you were only reporting 100.  Why?

Joe:  I wish I knew.  That darn admin had no idea what she was doing.  I am sorry.  

Microsoft:  Apology accepted.  Now, back to Exchange.  You have 5,000 active users but you only report 100.  There is a license gap of 4,900 licenses.  It looks like they were active six months ago.  That total comes to roughly $50,000 in underreporting.

Joe:  Chuckles.  Yes, but I just sold them the licenses last month.  So really, I only have 1 month of underreporting.  Besides, Exchange is licensed per mailbox. 

Microsoft:  Try again. I just said they were active six months ago.  In addition, I find it hard to believe you just sold the licenses last month when your very own press release matches this date as well.  Last, Exchange is licensed per user, not per mailbox.  Even if it was, the mailbox number and actual users are almost the same.  

Joe:  Ok.  Well sorry.  I will correct it moving forward.

Microsoft:  (Ignores Joes’ comment).  Let’s move on to Windows Server.  You have an ESX host with two processors each.  You are running 8 VM’s on that host.  You are actually over reporting here sir.  Why are you not reporting Datacenter?

Joe:  Because Standard is installed. 

Microsoft:  Actually, you can report the higher edition.  What you cannot do is install Datacenter and report Standard.  Datacenter allows unlimited virtualization.  You could of saved money here.

Joe:  Wow. I had no idea.  I can run Standard but report Datacenter?

Microsoft:  Sighs.  That is exactly what I just said.  Let’s move on to SQL.  You are reporting 40 cores but only have one VM of SQL Server running.  Why so many cores?

Joe:  Because we have over 10 instances running on that VM.  We report 4 cores per instance running on that VM.  

Microsoft:  Yes, but you can run unlimited instances on a VM.  You should really be reporting 4 cores, not 40.

Joe: What!  I am looking at a BIG pay day from Microsoft.

Microsoft:  (Again, ignores the comment).  Let’s move on to SharePoint.  SharePoint, it looks like you have Enterprise installed.  From the data you sent over, it also looks like you provide only Standard features to your clients.  Is that accurate?

Joe:  Yep. Only Standard.

Microsoft:  I can’t believe it.  You are actually reporting SharePoint correct.  Did you know SharePoint and Exchange is licensed by the features accessed not what is actually installed?  

Joe:  No I did not.  The darn admin should’ve told me that.  When can I expect my check from Microsoft for the over reporting of SQL and Windows?

Microsoft:  Well.  Let me think about that.  Never.  

Joe:  Fine!

Conclusion

Throughout my twelve years of managing SPLA, I have had similar conversations and heard scenarios similar to the fictitious story mentioned.  In a lot of compliance situations, a SPLA customer has one person who reports usage.  If that person leaves the company without telling anybody how to report usage or what data is used to collect it, the organization can quickly get of compliance.

In reading the above, you might think that ole Joe came out ahead.  Yes, he did not report accurately or in the most cost effective manner, but he did come out of the audit unscathed.  I would argue that he wasted more money, should have invested in the right resources, and ultimately could have saved his customers money by licensing in the right  manner.  I highlighted below some of the ways Joe could’ve licensed to reduce his exposure and reduce his monthly spend.

  1. Report Windows Datacenter.  If you have more than 7 VM’s on a host, it is more economical to license Datacenter than Standard.
  2. Report the Productivity Suite which bundles Exchange Standard and SharePoint Standard.
  3. SQL Instances – you can run unlimited instances on a VM as long as the VM is properly licensed.
  4. Report USERS not mailboxes when it comes to Exchange
  5. Remember with Exchange and SharePoint, you report the features they have access to not what is technically installed.  Most hosters install Exchange Enterprise (Standard only supports a small number of mailboxes) but report Standard because users only have access to the Standard features.
  6. Reporting usage and stopping will get flagged for compliance.
  7. Stagnant reporting will get you flagged for compliance.
  8. Not reporting what you are advertising.  “I don’t host anymore” when your website says your are is difficult fact to overcome.
  9. Self-audits are exactly what it means “Self”  and “Audit”  The vendor is dependent on the data you provide them.
  10. If you report usage, build a team to make sure it gets reported correctly.  Most compliance gaps happen when an employee leaves the company.  Don’t be dependent on one employee.  If you are dependent on one employee, treat them right!  Poor Julie!
  11. Report on time.  The SPLA agreement says you must report by the 10th for the previous months usage.

Have a question?  Contact info@splalicensing.com

Thanks for reading,

SPLA Man

 

 

 

 

 

 

 

 

 
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Posted by on July 16, 2017 in Compliance

 

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Microsoft Online Services Terms – What you need to pay attention to before signing your Azure agreement

There’s a lot of benefits to moving to Azure, I’ll let your Microsoft account team review them with you.  On this website, we are not that concerned about the benefits, all we care about is the licensing.  In this article, we will review the Microsoft Online Services Terms.

What is the Microsoft Online Services Terms?  First starters, it used to be called Microsoft Online Services Use Rights or MOLSUR for short (or long).   It is now called OST pronounced OAST when speaking to Microsoft.  Basically the OST defines how you may consume online services through Microsoft.  You can download a copy here.  Although your legal team should review the document in its entirety, below are some of the highlights I think you will find relevant and are often overlooked.

License Reassignment 

“Most, but not all, SLs may be reassigned. Except as permitted in this paragraph or in the Online Service-specific Terms, Customer may not reassign an SL on a short-term basis (i.e., within 90 days of the last assignment). Customer may reassign an SL on a short-term basis to cover a user’s absence or the unavailability of a device that is out of service. Reassignment of an SL for any other purpose must be permanent. When Customer reassigns an SL from one device or user to another, Customer must block access and remove any related software from the former device or from the former user’s device.” (April, 2017 OST)

What does this mean?

Most Microsoft products cannot be reassigned on a short-term basis, that’s why Microsoft has the use right called license mobility.  In short, pay attention to which users are assigned a license and if/when they no longer need the service.

Hosting Exception “Customer may create and maintain a Customer Solution and, despite anything to the contrary in Customer’s volume licensing agreement, combine Microsoft Azure Services with Customer Data owned or licensed by Customer or a third party, to create a Customer Solution using the Microsoft Azure Service and the Customer Data together. Customer may permit third parties to access and use the Microsoft Azure Services in connection with the use of that Customer Solution. Customer is responsible for that use and for ensuring that these terms and the terms and conditions of Customer’s volume licensing agreement are met by that use.” (April, 2017)

What does this mean?

It allows you (a service provider) the right to use Azure as a datacenter provider.  The last sentence is very important in the above definition “Customer is responsible for that use and for ensuring that these terms and the terms and conditions of Customer’s volume licensing agreement are met by that use.”  In the above definition,  “customer” is you.  If you use Azure as a datacenter provider, purchase Azure via your own volume licensing agreement, and use SPLA for user based products (e.g. RDS) you must follow the OST, Product Terms, and the SPUR!

Azure Services Limitations

Customer may not “Allow multiple users to directly or indirectly access any Microsoft Azure Service feature that is made available on a per user basis (e.g., Active Directory Premium). Specific reassignment terms applicable to a Microsoft Azure Service feature may be provided in supplemental documentation for that feature.” (April, 2017 OST)

What does this mean?

Sounds similar to a SAL license right? “Directly or Indirectly access any Microsoft Azure Service.”  Although if you are using Azure as your datacenter provider, the likelihood of you consuming user based licensing through Azure is not very high.

Security

I encourage you to read the security measures and policy’s set forth by Microsoft for their online services.  You can read it here.  I included a breakdown of the difference compliance and security certifications below:

Microsoft Online Information Security Policy (as of April, 2017)

Online Service ISO 27001 ISO 27002

Code of Practice

ISO 27018

Code of Practice

SSAE 16 SOC 1 Type II SSAE 16 SOC 2 Type II
Office 365 Services Yes Yes Yes Yes Yes
Microsoft Dynamics 365 Core Services Yes Yes Yes Yes* Yes*
Microsoft Azure Core Services Yes Yes Yes Varies** Varies**
Microsoft Cloud App Security Yes Yes Yes No No
Microsoft Intune Online Services Yes Yes Yes Yes Yes
Microsoft Power BI Services Yes Yes Yes No No

 

Last and certainly not least, I get asked A LOT about language that you should include as a service provider.  I would encourage you to create your own online services terms for your hosted offerings.  Too many providers do not have basic language around compliance, licensing, and overall use rights.  At a minimum, you should include a copy of the End User License Terms for SPLA.  If you do not have a copy, please contact your reseller.  If you forget to include licensing terms and conditions, you could be on the hook during an audit.  Don’t be on the hook.

Thanks for reading,

SPLA Man

 
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Posted by on April 24, 2017 in Uncategorized

 

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IaaS Gotchas…

In this post I will highlight new (and not so new) compliance gotchas as it pertains to providing infrastructure as a service.

Let’s start with a common example and go from there.  You provide the infrastructure such as Windows/SQL, your customer provides the applications.  Sound familiar?  You license Windows Datacenter, SQL Enterprise in a shared (aka public cloud) environment under SPLA. You have no idea or really care what applications your customer’s are installing right?  You just provide the support of the infrastructure.  That’s not your concern.  It’s their application, why should you care?  Ahhh…but maybe you should.

Have you ever wondered how they’re accessing the applications?  Are all applications web-based?  I will answer that question for you…no.  So how are they accessing the applications?  Do they use Citrix?  Do they remote into the application somehow?  There’s that word…remote.

If you enable the Remote Desktop Services role within Windows Server – you guessed it…you need to report RDS licenses.  The number of IaaS providers who just report Windows and SQL is astronomical. The number of IaaS providers now reporting RDS is also rapidly growing.  Did they wake up one day and decide they should start reporting RDS?  Unfortunately no.  They were audited.  Shoot me over an email and I will forward the guide that explains RDS and when it applies. Remember when you license RDS, you need to license each user that HAS access to RDS – not who does access.

Let me provide an example of how easily you could be underreporting RDS.   Let’s say your customer has an application from another vendor (outside Microsoft) that’s hosted in your datacenter.  That same vendor provides support to the application.  You are not hosting the application for the vendor but for your customer, you just provide the vendor access to support the application via remote connection.  SPLA allows 20 users to provide support and administration per datacenter.  If you exceed that limit, you are going to have to report those additional users.  Yes, even if you are not charging them.

Other IaaS Gotchas –

While we’re on the topic of customer owned applications, do you have it written in your agreement with the customer that you are not responsible for the applications they install?  What would happen if they install applications that you are not aware of and they don’t have the appropriate licenses…who’s responsible you or the end customer?  Kind of a trick question, it’s both.  You will get audited, it’s installed in your datacenter, you are ultimately responsible.  You need to ensure you have it written in your agreement that you’re not responsible so you can have a nice chat with your customer.  All the big boys do it…you should too.

What about SQL?  Are you virtualizing?  Why aren’t you reporting SQL Enterprise?  Are you utilizing all the use rights that come with SQL Enterprise – unlimited virtualization, DR, mobility within server farms, etc?  What about smaller environments?  Have you considered licensing by user instead of by core for SQL Standard edition?

SQL Web is tempting isn’t it?  Less expensive option but no one really understands what it is.   Here’s a quick synopsis – if you do not host public facing websites, SQL Web is not an option.

How are you managing your datacenter? Do you have System Center installed?  You should report the Core Infrastructure Suite.  Running Hyper V with few VM’s, license CPS. Both products include Windows.  You need Windows to run System Center, so you kill two birds with one stone so to speak.

Ask your customers if they have Software Assurance.  It’s no longer about latest version rights and annual payments.  It’s about moving to the cloud.  Let’s make sure it’s your cloud and not someone else’s.

Conclusion –

I’ve been around this game of SPLA for a long time.  The best advice I can give is to listen to your customers and don’t be afraid to change.  Cloud is evolving, you should evolve too.  Don’t report out of convenience, look into ways you can optimize what you are reporting.  It’s competitive out there, let’s make sure you are getting the most value out of your agreement.

Thanks for reading,

SPLA Man

 

 

 
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Posted by on January 31, 2015 in IaaS

 

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SPLA Audit start to finish

Your business is doing great, your sellers and customers are happy, you are making money instead of spending money, when out of the blue….BAM…you receive an audit letter.  Sound familiar?

So what do you do?  Your first reaction is panic.  Your second reaction is to call a lawyer.  Your third reaction is to blame your reseller.  I think that about sums it up.  If you disagree, I’m not 100% sure you are being truthful with yourself.  If you do agree, I also think you are making a HUGE mistake.  Sounds a little odd doesn’t it?

First thing you need to understand is it’s not your fault.  It’s not as if you are purposely trying to be out of compliant.  Microsoft knows this as well.  SPLA is a difficult program and very hard to understand. As I pointed out in the “About” section of this blog, there is little information written about the SPLA program leaving service providers vulnerable.  The SPUR?  Forget about it. That’s why I created this blog in the first place.

I think that is why SPLA customers call a lawyer to help guide them.  This may help you sleep at night, but is it REALLY helping?  I will let you determine that after the dust settles.

What does happen during an audit? I don’t care if this is the first step or fourth step but at some point you will have to collect data.  Data that PROVES the reason you reported the way you did.  One of the biggest mistakes a SPLA provider can make is not reporting indirect access.  Again, not your fault.  Who has any idea of what “indirect” really means?  Think of indirect as Microsoft software that is used to run your other applications that you market to your customers.  You have an application that you developed that reports back to SQL using Excel.  Users have no idea they are using SQL, all they know is the application they use.  But since SQL is part of your hosted solution…it must be reported.  Make sense?  That’s also why Windows will always need to be reported.  Try running Exchange without a Windows OS.  Not going to happen.

Data can also mean the licenses that your customers own that they bring over to your environment.  How do you know who owns what?  Are there enough CAL’s?  One of the arguments service providers make is they can go after their customers if being audited.  There’s an easy conversation right?  Remember, you want to keep customers not lose them.

Some service providers have learned that their end customers install software on VM’s without informing them.  How do you know what is actually being installed?  So take a look at your datacenter; are your customers installing software you don’t know about?  Collecting this information after the fact is a difficult process.  This leaves auditors with no choice but to make a best guess.  Best guesses can cost you significantly.

So after all this data is analyzed by the audit team, it is then delivered to Microsoft.  That’s when you present your case.  They will take things into consideration, but understand that if you are missing information, it makes your argument that much more difficult.  Don’t blame your reseller, that doesn’t work.  Don’t rely on a lawyer, that doesn’t always work either.  Educate yourself.  That’s the best advice I can provide.  Just by taking the time to read this I think you are on the right path.

Happy to walk you through the process in greater detail.  I am one of the few that actually gets it. My email is at the top righthand side of this page.

Thanks,

SPLA Man

 

 
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Posted by on September 18, 2014 in Compliance

 

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Predicting the future…

Not an easy task.  When my kindergartener teacher asked “what do you want to be when you grow up?” I can promise you SPLA was not part of my vision.  (I should’ve worked harder to be a firefighter)

This post is 100% opinion based and would love the opportunity to hear/read yours. So here’s my take on SPLA and what’s next for the hosting industry.

Who will win the Amazon/Azure War? 

Contrary to popular opinion, I think Microsoft has already won this battle.  The reason might surprise you too as it has nothing to do with the service offerings or pricing; it has everything to do with who controls the licensing. I think we can all agree that Microsoft can make up their own rules to their own software.  What happens if Amazon spins up a Windows VM in their datacenter?  Amazon has to report it via SPLA.  Who ultimately get’s the SPLA revenue?  Microsoft.  What happens if Microsoft decides to offer fully hosted Windows 8 desktops using Azure or Office 365 but NOT authorize if for other service providers?  Yikes!!!  What happens if Microsoft authorizes MSDN mobility rights but not offer it for other service providers?  Oops…already happened.  What happens if they allow Office to be installed on 5 devices?  Oh man.

Will SPLA be replaced?

No.  Too  much revenue being generated for SPLA to just disappear.  SPLA produces recurring revenue for both Microsoft and the partner community.  Secondly, using SPLA does not mean that volume licensing is going away; Microsoft get’s the best of both worlds.  I do foresee volume licensing changing more rapidly than it already has.  I think that’s a good thing too.

Will VDI be allowed under SPLA in the foreseeable future?

No way.  This will never happen in my opinion. Let’s throw in the towel on this one.

Will the cloud industry expand or contract over the next decade?

Expand.  I think organizations will not only have hybrid/cloud environments but multi-cloud environments. As an example, I have multiple software vendors (such as Adobe for PDF’s, Symantec for Security, Microsoft for Office, etc) I believe organizations will use several vendors in “cloud” paving way for those service providers that have specialization and unique offerings to gain market share.  Yeah, they might not be the next Amazon, but they will be critical to the next phase of cloud. Specialization = Profitability.

Are all service providers going to be audited?

Yes.

Do I need to have a SAM practice?

Not if you don’t believe me in the previous question. Just don’t cry and say I didn’t warn you!

What will be the biggest driver to the cloud?

On premise compliance audits.  Once they get audited, they would rather have someone else worry about it; that someone else is you.

Will License Mobility be allowed for Windows?

No.  I don’t think there is a reason why it would.  Windows is cheap.  For those that have hosted for a while, remember the Windows Outsourcer/Non Outsourcer SKU’s?  Datacenter was over $200 a processor.  Standard was over $75 (US).

Will Microsoft raise rates?

Yes.

Will my hosting business succeed since I can’t compete against larger providers?

Yes.  You  need to change the way you promote your offering.  Think about this (and be honest with yourself) – what separates you from your competition?  If you were a customer looking for a hosted solution…why would “they”… choose “you”?  How can YOU… help ME (customer).  Is it to keep compliance?  Is it costs? Do your employees bring you new ideas or are they collecting pay checks?  Do you worry about being the lowest price or quality/uniqueness of your service?   Is it because you have an “in” and listen to SPLA Man?  If it’s the latter, you will win for sure.

Who’s the biggest threat to cloud providers present/future?

Governments

Will VDI be allowed under SPLA?

NOOOOO!!!!!  You asked this twice!  Come on! 🙂

Who will win the World Series in baseball?

Why…the St. Louis Cardinals of course!

Who will NOT win the Super Bowl this year?

St. Louis Rams – Ugh.

Thanks for reading,

SPLA Man

 

 

 

 

 

 

 

 
1 Comment

Posted by on September 8, 2014 in In My Opinion

 

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