Falling pound forces Microsoft to raise software and cloud prices up to 22%

Microsoft

Aspire Technology Solutions has new advice and guidance to support customers around price increases planned by Microsoft and set to take effect on January 1, 2017.

The rises are due to Microsoft changing its British pound price to harmonise prices for enterprise software and cloud services within the European Union and European Free Trade Association area. Its on-premises enterprise software will increase by 13 percent, and Enterprise cloud by 22 percent.

We are pleased to confirm that our business customers will see no change to their existing orders under annuity volume licensing agreements for products that are subject to price protection.

Unfortunately, prices for new product additions under such volume licensing agreements and purchases under new contracts will be dependent on the pricelist at the time of order.

Microsoft’s licensing agreements affected are Enterprise Agreement, Select/Select Plus Agreement, ISV Royalty and Distribution Agreement, Service Provider License Agreement (SPLA), Open License Agreement, Open Value and Open Value Subscription Agreement, Microsoft Products and Services Agreement (MPSA), Cloud Solution Program (CSP), and Microsoft Online Subscription Program. The Syndication price adjustment will take effect on February 1, 2017.

Nigel Begg, Aspire’s Managing Director, said his company’s account managers had all relevant advice on changes to these contracts, as well as how early commitment to Microsoft renewals before January 1, 2017, can be arranged, and how price increases on current Microsoft technology investments can be avoided.

They can also help customers to optimise their future cloud consumption plans through new CSP licenses.

He added: “I would urge any customer wishing to find out more about these changes to contact us as soon as possible.

“We are a Microsoft-accredited service provider, and our team has all the information any customer could need about the impact these changes could have.

“Any business customer with an existing order under annuity volume licensing agreements for a product subject to price protection, will not be affected.

“Other customers should be aware of these planned changes and contact us at the earliest opportunity to find out all relevant information.”

Customers seeking the latest advice and guidance should contact their account manager directly, or call Aspire on 0330 124 2700.