Microsoft Enterprise License Agreement Definition

The minimum order time depends on the product: by participating in the SCE program, the customer is required to standardize one or more components throughout the company. Therefore, the customer must acquire Software Assurance for all existing/installed licenses of an SCE component. For System Center, the customer must purchase the full system center coverage for the Windows server base installed by the Core Infrastructure Suites (CIS). The main advantage of the subscription over EA is the ability to reduce your order or “float down” during the annual true-up. The ability to add or subtract subscriptions to match their staff level may be particularly attractive to companies that expect significant fluctuations in headcount over the life of the agreement. In contrast, an EA company is tied to its initial order quantities, with the only option being to increase its order during the next true up period. While the vendor injects its best-performing R&D, distribution, and marketing resources into the cloud, some of Microsoft`s enterprise customers are still bound by on-premise implementations operationally and contractually. This has led the vendor to take aggressive steps to migrate these customers to the cloud. The results include several price and licensing changes, an increase in formal and informal licensing controls (often disguised as software asset management commitments), and increased contractual complexity and inflexibility. Renew an EA: When it`s time to renew an EA, you can review your entire investment and make adjustments to ensure that the new agreement meets current and future requirements. While the provider`s cloud-based offerings may be the future of its business operations, most of Microsoft`s customers are still operational and contractually bound to online deployments.

The Enterprise Agreement, the price of which is based on the number of computers or users licensed, is a three-year agreement covering all software licenses and updates to a client system. In case of termination of the contract, it is possible to extend one or three additional years. If the advantages of the pay-for-what-you-use model are a primary reflection, a sometimes less understood advantage of the subscription results from the difference in accounting methods between the two options. . . .