Microsoft’s decision to end volume-based discounts for its online services such as Microsoft 365 may result in price increases of up to 13% for large enterprise customers. This move, set to take effect on November 1, follows a pattern where Microsoft has been consolidating pricing models and limiting options for pricing negotiation among its clients. The elimination of discounts reflects the company’s shift towards a subscription-based pricing system, where larger enterprises may face substantial costs while attempting to adjust their licensing agreements.
As large customers shift towards the Cloud Solution Provider program, they may retain some negotiating power, particularly with partners who can adjust pricing based on agreements. Observers have noted that Microsoft’s strategy seems aimed at tightening its control over its client ecosystem, favoring direct relationships with key accounts while pushing down traditional discounts that were previously available through licensing solution providers. This change poses significant challenges, especially for mid-sized businesses that relied heavily on volume pricing, prompting some to seek multi-year agreements to mitigate the impacts of the new pricing model.
👉 Pročitaj original: CIO Magazine
