The Future of Microsoft Licensing

1
The Future of Microsoft Licensing-

• Presented by Elissa Ott
• SHI Licensing Executive

2
Review of Microsoft Volume Licensing

• Current licensing and program changes
• Current licensing availability
• Current program availability
• Licensing Services
• Questions

3
Microsoft Licensing Timeline

• May 2001- Microsoft makes Licensing 6.0 and
  Software Assurance model announcement
• October 2001- release of Licensing 6.0
• Co-existence of Upgrade Advantage and Software
  Assurance
• July 1st, 2002- release of Campus/School
  Agreement 3.1
• July 31st, 2002- end of grace period
• Last day to purchase Upgrade Advantage or
  Software Assurance only
• August 1st, 2002- steady state of Licensing 6.0
• Match licensing needs with purchasing options
• Renew expiring maintenance (UA) through Licensing
  6.0 and Software Assurance offering

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What is Licensing 6.0?

• Current version of contracts
• Offers flexibility and simplicity in license
  acquisition
• Continues to provide consistent discount levels
  based upon license forecasts and purchases
• Purchase options
• License- provides right to the current version,
  no pre-requisite to purchase
• License Software Assurance bundle- provides
  right to current and upgrade protection for
  future releases, no pre-requisite to purchase
• Software Assurance- eligible for maintenance
  renewals and OEM System and Server products

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What is Software Assurance?

• Coterminous maintenance program offered under the
  Volume License programs
• Provides updates and upgrades to future versions
  of the products
• Offers predictable budgeting through the Select
  and Campus/School Agreements
• Offers easier and better license management-
  allowing an enterprise to standardize on software
  versions throughout enterprise
• Provides cost savings over Full License cost for
  those products you intend to keep current in your
  environment

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Software Assurance Benefits Continued

• Patches and fixes still available for those
  customers not enrolled in Software Assurance
• Maintenance renewal for those customers enrolled
  in Upgrade Advantage upon termination of
  agreement
• Automatically included in the Campus and School
  Agreements

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Additional Details of Software Assurance

• Annual Cost of Software Assurance
• Server products- 25 of full License cost
• System products- 29 of full License cost
• Application products-29 of full License cost
• Determine your migration/upgrade path on
  products- approximately every 2 ½ years
• Annual payment option available under some
  programs
• OEM Server and Desktop OS eligible to be enrolled
  in SA through a Volume License Program

8
Available Volume License Programs

• Open License- Transactional
• Open Academic
• Select License
• Contractual
• Institution Wide Agreement
• School Agreement- K-12
• Campus Agreement- Higher Education

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Program Comparison
10
Open Academic

• Term 2 years
• Initial Order 5 licenses
• Re-order Minimum- 1 license
• Payment Schedule Upfront
• Offerings
• License
• License Software Assurance

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Select License 6.0

• Term 3 years w/ 1 or 3 year extension
• License Offerings
• License
• License Software Assurance
• Price Levels
• Level A- Academic
• Payments
• Upfront
• Annual- purchases including Software Assurance
• Software Assurance is pro-rated based upon term
  of agreement

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New to Academic Select 6.0!

• Student Enrollment
• Effective June 1st, 2002
• Offered to Select 6 Higher Education Customers
• Commitment to 750 points on the Student
  Enrollment
• Licenses and Media must be purchased on the same
  PO for same quantity of product
• Minimum of 25 licenses may be ordered at one time
• Students acquire license media at a designated
  transaction point (no electronic distribution)
• Products offered
• Office XP Standard
• Office XP Professional
• Windows XP Professional
• At this time Mac is not included

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School Agreement 3.0
Available through September 30th, 2002

• K-12 Volume License Program
• 12 month subscription (non-perpetual licensing
  model)
• Enrollment is based on PC Count of institution
  (any computer capable of running the software
  covered by agreement)
• Minimum order of 300 units ( a la carte options)
• Full Desktop (Office Pro Suite/Windows OS
  Upgrades/Core CALs
• Component of any of the 3 above
• Additional Products Visio, FrontPage, Publisher
• NEW! Student Option
• Work at Home Rights (Office Suite, Core CAL)

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Campus Agreement 3.0
Available through September 30th, 2002

• Higher Education Volume License Program
• 12 month subscription (non-perpetual licensing
  model)
• Enrollment based on eligible number of FTEs
  (Faculty/Staff)
• Minimum order of 300 units (a la carte)
• Full Desktop (Office Pro Suite/Windows OS
  Upgrades/Core CALs
• Component of any of the 3 above
• Additional Products Visio, FrontPage, Publisher
• Student Option
• Based upon Full Time and Part Time Fall student
  enrollment
• Work at Home Rights (Office Suite, Core CAL)

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Campus/School Agreement 3.1

• 3 year term (pricing set at year 1)
• Annual updates on FTE/PC count-must be at the
  same or higher count in consecutive years to
  comply with pricing terms
• Additional products can be added annually at then
  current pricing
• Add in year 2 at year 2 price, get same price at
  year 3

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Version 3.1 Continued-

• Additional Server products offered
• Non-perpetual licensing model (15 discount off
  LSA on Select)
• Windows, SQL, SharePoint, HIS, ISA, BizTalk,
  Exchange
• Expanded Work At Home Rights
• Back to the 2.0 days- any Desktop Product and Cal
  product can be used at home for work-related
  purposes (excluding SQL Cal, and MS Press Titles)
• Both offerings above available to 3.0 customers
• Contact your AER for additional details- there
  will be a form to complete
• WAH rights form that must be completed for
  existing 3.0/renewal 3.1 customers

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Key Benefits of Agreements

• Low Administration
• Easy Compliance
• Stay current with the latest technology
• Simple budgeting (limits renewal frequency)
• Great Pricing (tiered based on FTE/PC count)

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End of Term Options

• Renewal
• CA 2.0 or SA 1.0 to 3.0
• Must renew within 10 of the FTE or PC count of
  expiring agreement
• Must renew for same suite of products
• Student Option renewal available to CA 2.0
  customers
• 10 price cap on Student renewal
• Within 10 of the Student FTE count from expiring
  agreement
• Ca 3.0 or SA 3.0 renewals
• Buyout
• Buyout pricing available for those products
  covered under agreement, no desire to renew
• Removal
• No desire to renew, or buyout perpetual licenses

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Media Availability

• Free Welcome Kit and monthly subscription per
  enrollment
• 2 languages available
• Additional comprehensive kits and subscriptions
  available
• Individual media packs available
• Student Option
• Media available for Student Option

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Core CAL replaces B/O CALOpen, Select, School
Campus Agreements

• Client Access License that provides the rights
  for desktops (ie, devices) to access the
  following servers
• Windows
• Exchange
• SMS
• Share Point Portal
• Servers must be licensed separately
• Replaces BackOffice Option
• Major Difference Share Point replaces SQL
• Core CAL - a convenient way to license desktops
  for intranet, networking, and collaboration
• SQL Cal can be added to the School Campus
  Agreements

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Licensing Services Available to YOU!

• From Microsoft
• New MVLS Website https//licensing.microsoft.com/
  eLicense/L1033/Default.asp
• Provides agreement/contract history
• Electronic Software Fulfillment
• From SHI
• Electronic Software Fulfillment
• Compliance Consultation Services
• License Re-Deployment Services
• Report Factory 2.0
• Updated reporting services on www.shi.com

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Questions?

• Thank You for your time!