Microsoft requires either a one-year commitment or a significant premium on monthly terms starting in March 2022. Learn more about this change and how to best prepare now!

***Note: Microsoft continues to actively make changes to this new program and release more details. Please connect with Interlink to receive the most up to date information for your specific scenario.***

Microsoft is Changing CSP Licensing:

Any organization utilizing CSP licensing needs to be aware of Microsoft’s changes, which go into effect in March 2022. Microsoft will be offering Monthly, Annual, and Three-Year subscriptions. All subscription terms will only be able to be canceled or reduced within 72-hours after purchase, and customers will be stuck with license counts until the end of their subscription term.

CSP Partners, like Interlink, will be able to continue transacting new CSP licenses without these changes until March 2022. We can also work with your organization to take advantage of pricing models, licensing structures, and promotions when applicable. Further promotional pricing details are still to come and will help mitigate Microsoft’s general price increase, which will also occur in March 2022.

How Your Organization May Be Affected:

Customers are encouraged to purchase the monthly term option at the 20% premium markup if they have seats that are not able to commit to an annual term. This allows organizations to cancel at the end of the monthly term with no further payment obligation. Monthly subscriptions are encouraged for organizations with seasonal workers or if downgrading/changes to subscriptions are anticipated. Some businesses will also want to select the monthly term for a portion of their workers and one-year terms for the remainder. For most organizations, we believe that the one-year term options will be the most popular.

After March 2022, for new CSP transactions, organizations are not able to decrease licensing (outside of the 72-hour cancellation window). Conversions between different types of licenses are possible but limited, and organizations must confirm with their CSP partner about the upgrade and downgrade paths. Organizations will be able to utilize partial upgrades, full upgrades, and seat additions:

Interlink’s experts have put together a few strategies for organizations to help minimize cost and headaches with this transition:

Value of the CSP Changes:

Microsoft’s changes will include several new features, including the following offers and options for Microsoft 365 (subject to change):

Promotions for this change are scheduled to be released in January 2022. More details will follow.

How Interlink Can Help:

Interlink’s experts are ready to help discuss how to optimize your organization’s licensing and save money. Comparing licensing options and knowing which will be best for your organization can be confusing - view Interlink’s Microsoft 365 Enterprise Suites guide for clarity.

We can discuss strategy, leverage promotions, and offer monthly billing for annual subscriptions to help your organization save money and reduce headaches. Contact us today!