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Tag Archives: Dynamics 365

Breaking down Microsoft’s Q4 and what it means for your business.

Microsoft reported earnings last night that surpassed expectations and gave us insight into their cloud business. I am not a stock analysts, but I thought I would spend some time reviewing some of the highlights and my opinion for what’s next for the software (I mean cloud, actually, no -I meant Intelligent Cloud) giant.

Azure – Microsoft did not provide specific revenue numbers for Azure, but did say revenue grew 97% y/y.  Although exact numbers for Azure revenue is not specified, Azure is part of the all-important commercial space, which includes Dynamics 365, Azure, and a little program called Office 365.  That revenue number combined was over 18B which more than doubled last year’s number.

Office/Dynamics and Competition – Office 365 subscription business just surpassed the traditional Office model with revenue up 43%.  When was the last time you went to a box retailer and purchased software?  That’s a telling sign that more and more organizations prefer subscription pricing over box products.   Dynamics 365 was up 74%, probably because Dynamics in SPLA is about as complex as it can possibly get.  Need help with a Dynamics licensing question?  Ask your reseller.  The reseller will ask Microsoft – and then it goes into a big, dark, black hole until someone loses their mind.  Nothing happens.  Microsoft also revamped Dynamics in SPLA to make it very difficult to compete.  The same can be said for Office.  Where I see concern for Microsoft is with Google, who is just getting their foot in the door in the enterprise space.  If they make traction (and they will) it will be interesting to see the two giants go at it.  Google’s cloud platform is growing exponentially as well.

Surface Sales – I guess you can say is one of the low points of the conference call.  Surface revenue dropped 2%.  Xbox sales also dropped and became less profitable with price drops and competition.  That’s the bad news – the good news?  Maybe with the new CSP Windows 10 thing Microsoft will include Surface as part of the program to those not already a Surface Authorized Distributor, or make Surface authorization available to every CSP Direct partner.

LinkedIN – Only Microsoft can spend over 26B for an acquisition and investors are still wondering what it is they bought; and more importantly, not hurt their quarterly earnings.  Yeah, they can tie it in for Dynamics and Yammer/Teams with all those users.   They also have a pretty impressive data list of users to sell additional collaboration products and services to.  I guess the jury is still out on this.

Opinion – Microsoft recently announced a major change in their sales organization. Their sales teams that were focused on the enterprise need to focus more on solution type selling.  A lot of organizations in the industry are going through the same transformation.  It’s also not an easy thing to do.  Time will tell.

I wrote an entire article without mentioning Amazon, they report earnings next week.  It will be interesting to see how they compare to Microsoft and how much they grew year of year in comparison.  Lots of analysis say Microsoft will surpass AWS as the king of the cloud.  I still think Google is lurking in the background and might surprise some people as well.

What does all this mean for SPLA?  In my humble opinion, I think Microsoft better be careful with the way they are handling their third-party hosters.  Those numbers they threw out yesterday were great, but they can get even better.

Microsoft built a program for partners who have their own datacenters, relationships, and sales resources to promote Microsoft products and technology.   There are close to 30,000 SPLA partners (rough estimate) that have datacenters spread throughout the globe.  Nobody, can have the reach like your SPLA partners.  Google and Amazon do not have 30,000 datacenters, why disrupt it?  Don’t audit them, partner with them and help grow this business to build a true hybrid cloud ecosystem.  The strategy should be their cloud – our cloud, and customers will thank you.  Teaming with Walmart makes sense too.  Say what!

Thanks for reading,

SPLA Man

 
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Posted by on July 21, 2017 in In My Opinion, Uncategorized

 

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More Dynamics 365 Fun

Quick update for those interested in Dynamics 365 for SPLA and what you should remember when selling to your customers.

  1. No Enterprise Plans in SPLA
  2. No PowerApps in SPLA
  3. Transitions SKU’s are available in SPLA
  4. More differences found here

Not all bad news but not all good either.  You can read more about my opinion here

Thanks for reading,

SPLA Man

 
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Posted by on June 1, 2017 in Dynamics 365

 

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Transition SKU’s for CRM Hoster’s Available Thru October, 2019

For Dynamics hosters worried about all the changes with CRM have until October 31, 2019 to license the transition SKU’s in SPLA.

Although good news and provides some flexibility, the transition pricing is still higher than current CRM licenses.  As an example, Basic CRM SKU transition pricing for Customer Service is almost double!

Transition pricing is available to ease transition to the new Dynamics 365 pricing model.  It is also designed for current CRM customers, not new customers.  To learn more about Dynamics 365, please check out Dynamics 365 Licensing for SPLA

Thanks for reading,

SPLA Man

PS- Dont forget to license SQL and Windows with CRM!

 

 
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Posted by on May 15, 2017 in CRM, Dynamics 365

 

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The Cloud Insider News – Dynamics CRM

We read article after article, use rights after use rights, to provide you the best and accurate information.  Now it’s your turn.  The Cloud Insider News takes articles written by you to tell your story and help educate the community.  In this edition, we take a look at CRM.  Have a hot topic? Email info@splalicensing.com

The Register Microsoft plans summer CRM war opener against Salesforce

XRMCRM Online FAQ

Omnivue.net (white paper) – Is Your Business Ready for ERP?

SaaSPlaza – What’s all the hype about Microsoft Dynamics 365?

Wealthmanagement.com/Tamarac – Five Ways a Client Portal Can Transform Your Practice

WatServ – Dynamics 365 Pricing Plans and Migration Discount Announced at Dynamics 365 Tech Conference.

Channele2eMicrosoft Preps Partners for Dynamics 365, LinkedIN Integration

Cisco – Cisco Unified CallConnector for Microsoft Dynamics CRM

Caltech Dynamics 365 Enterprise Edition Customer Service

Tribridge Is it Time to Check the Vital Signs of Your Microsoft Dynamics CRM System?

Computer WorldAdobe continues to march to the cloud

IpipelineCustomer Centricity – Do you “CRM?”

Thanks for reading,

SPLA Man

 
 

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

Article update (April, 2018 ) We created a new website called MSCloudlicensing to help SPLA and CSP partners understand the different program options and use rights available to them. The new website is www.mscloudlicensing.com it’s designed to be a collaborative platform that includes a forum to ask and answer licensing questions, document library, and licensing articles.  Check it out, it’s free. 

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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Top 5 Questions…Answered

Where can I get my license keys for CRM?  My Microsoft contact can’t seem to find the answer and my reseller doesn’t know either.  Any ideas?

For CRM and D365 you can download them directly from the VLSC website.  All other Dynamics products need to go through the License Key Creator Tool.

If I am a CSP Tier 1/direct provider, can I sell CSP to another CSP Tier 1 provider? 

Yes. There are no limitations as to who you can sell to.  Good luck!

Is CSP replacing SPLA?

Not entirely.  I am not Microsoft but I can see the similarities.  In the end, they are both Microsoft programs, how they consume it doesn’t really matter.  The only drawback to SPLA (In Microsoft’s eyes) is the service provider has the option of offering other software outside of Microsoft.  Exchange as an example, could technically be replaced with Zimbra.  If they use Office 365, the customer is using Office 365.

I offer desktop as a service.  When can we expect VDI to be available in SPLA?

Never.

Will I get audited?

Yes.  Make sure to read the MBSA agreement that you signed.

Thanks for reading,

SPLA Man

 
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Posted by on April 24, 2017 in Top 5 Licensing Questions

 

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