Summary
On the 1st of July, 2023, Microsoft decided to shake things up with their Azure support plans. According to the updated Product Terms, Azure support plans procured via an Enterprise Agreement Enrollment or a Server and Cloud Enrollment are now "Reduction eligible".
You might be asking yourself: "What does that mean?". We're here to break it down for you and discuss what this means for your overall IT and licensing costs.
The Scene and Fine Print
To provide some context, we're not discussing Azure support plans purchased online using your credit card. Instead, we're referring to those acquired through formal agreements like an Enterprise Agreement or a Server and Cloud Enrollment.
Interestingly, as mentioned in the fine print on the product's page, these plans are also reduction eligible if acquired through a CSP agreement.
The Microsoft Customer Agreement is the foundation that supports the CSP programme. Moreover, it's important to note that organisations can choose from a variety of Azure support plans.
The Variety of Azure Support Plans
Basic Azure support is included when you purchase Azure. For a more advanced level, you have Azure Active Standard Support. And if you're after even better response times and access to support API, Azure Active Professional Direct Support is the plan for you. However, if you've already signed a Microsoft Unified Support Agreement, you don't need to worry about these because Unified Support inherently includes them.
Understanding 'Reduction Eligible'
Microsoft's term 'Reduction Eligible' means you can either stop paying or reduce your payment when you true-up your Enterprise Agreement or place an annual order in an Enterprise Agreement Subscription. The surprising bit? There's no variable cost.
For instance, the standard support plan costs a hundred dollars per month, while the professional direct plan sets you back a thousand dollars per month. If you think 'reduction eligible' implies you can cancel your support plan at an anniversary, you've hit the nail on the head.
Why Cancel an Azure Support Plan?
There could be several reasons why you might want to cancel your Azure support package. Maybe you don't need it anymore. Or, you might decide to sign a Unified Support package instead. Alternatively, you might choose third-party support from Microsoft Partners, who sometimes outperform Microsoft's own support. Remember, Unified Support covers all these packages. But there's a snag with Unified Support and how its costs are arranged.
Discover more about Unified Support costs and how to avoid getting caught out by cost increases.
And drop us a message about the challenges you're facing with Microsoft licensing and Unified Support agreements. We're always here to help.