Perpetual Software

Introduction

This article guides Partners and Platform Users through understanding and managing perpetual software Licenses within the Microsoft Cloud Solution Provider program. It covers the benefits of perpetual Licenses, how they work in the CSP program, and their impact on Customer licensing and business operations.

In this article:

• Understanding Perpetual Software Licenses
• Benefits for Partners and Customers
• How Perpetual Licenses Work in CSP
• Implementation Timeline and Requirements

Understanding Perpetual Software Licenses

Perpetual Software refers to software Licenses that provide permanent usage rights to the Customer. Unlike License-Based Subscriptions, these Licenses require a single upfront payment and allow indefinite use of the software application.

A perpetual License payment provides the rights to run the application suite as long as the Customer wants, even after Microsoft stops serving security updates if the user accepts the associated risks. These Licenses can be installed on just one PC or Mac and are tied to that specific device rather than the current user.

Benefits for Partners and Customers

The addition of perpetual software to the Microsoft Cloud Solution Provider program in the new commerce experience provides several advantages:

Partner Benefits

Partners can expand their businesses by offering diverse solutions and managed services with the flexibility to combine Licenses and managed services for hybrid cloud environments. This reduces the time and costs associated with managing multiple licensing programs and leads to improved sales, operational, and management capabilities.

Customer Benefits

Customers benefit from a simplified approach and greater flexibility in how they purchase software Licenses in a way that's easy to understand. This directly improves licensing asset management and provides predictable costs for their software investments.

How Perpetual Licenses Work in CSP

The perpetual software program in CSP operates through the following process:

1. Qualified Partners can sell on-premises perpetual software Licenses through the Microsoft Cloud Solution Provider Offer catalog
2. Customers make a One-Time Fee upfront payment for the Licenses
3. Through the CSP program, Partners facilitate the procurement, License key access/activation, and Product media/download fulfillment of licensed Products

Implementation Timeline and Requirements

Program Expansion Timeline

• Initial Phase: Qualified indirect provider Partners initially
• Full Rollout: Expanding to all Partners in the Microsoft Cloud Solution Provider program in early 2021
• Current Status: All Partners participating in the CSP program (direct bill Partners/indirect providers/indirect Sellers)

Key Requirements

The program allows services Partners to meet a broader set of Customer needs and drive Customer cloud transformation by expanding the Microsoft Cloud Solution Provider program's Offer catalog to include perpetual software Licenses for on-premises use.

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Limitations

Perpetual software Licenses in CSP have specific restrictions and requirements that Partners must understand before implementation. Customers should be aware that perpetual Licenses are device-specific and cannot be transferred between devices without proper license management procedures.

Summary

Perpetual software in the Microsoft Cloud Solution Provider program provides Partners with enhanced flexibility to serve Customer needs while offering Customers predictable costs and simplified licensing management. The program reduces operational complexity for Partners managing multiple licensing programs and accelerates Customer transitions to hybrid cloud environments.

Related Content

• Download perpetual software and product license keys in Microsoft 365