Out with the Old and in with the New, the New Commerce Experience (NCE) on CSP!

Have you dealt with Microsoft licensing over the past few years? Confused by the different procurement models? Microsoft has simplified this just for you through the NEW COMMERCE EXPERIENCE on CSP.

Microsoft has introduced 3 key procurement models:

Breadth Motion	Enterprise Motion	Self Service Motion
Ideal for customers currently on CSP, or customers between 1 -2400 seats	Enterprise Agreement is ideal for customers with a complex environment and has global requirements	Web direct with Microsoft for both corporate or domestic customers

Microsoft CSP and the move to NCE, what are my options?

Option 1:

Secure your move over to NCE on an annual commit before 1 July 2022 and save up to 20% on extra monthly trade-offs

Option 2:

Secure your move to NCE monthly commit, this option attracts a 20% fee on trade-off for flexibility

With the introduction of the NCE, Microsoft will have a phased approach to get customers over to the new program. The below timelines will assist you to understand the journey of the different phases.

NCE Timelines

Jan 1 – March 31, 2022	Annual offer promotion for NCE
March 10th	All new purchases are done through NCE
March 15th 2022	Price Increase on certain Office 365 licenses
July 1 2022	All renewals and purchases are done through NCE

Key Differences between NCE Annual Commit and Monthly Commit

Monthly Commit	Annual Commit
30 Day Term	12-month Term
Reduce/ Downgrade license in the month for the following month	Reduce/ Downgrade licenses at 12-month renewal date
Add/ Upgrade licenses during the monthly term	Add/ Upgrade licenses during the 12-month term
Monthly Payment	Annual Payment
20% Tradeoff for Flexibility	Limited Flexibility and standard pricing

Questions? Read on …

What is NCE?

New Commerce Experience is a simplified way for businesses to purchase licenses underpinned by a single Microsoft Cloud Agreement (MCA) thus allowing customers to focus on longer commitments for their Microsoft products allowing customers to plan around the procurements and these yearly commitments.

Key Difference between CSP and NCE?

Licenses purchased through NCE will have a 12-month commitment term associated with them that can be paid annually upfront. New licenses can be added or upgraded but not reduced or downgraded through the contract term. It is crucial for customers to get the right licenses purchased upfront.

What if I prefer paying monthly for my licenses, is this possible?

Yes, however, there is a 20% premium as a tradeoff for flexibility on all licenses. As this is a monthly commitment, you can reduce licenses in the month for the following month or add licenses as the need arises.

What is the cancelation policy on NCE?

Monthly Commit – cancel in the month

Annual Commit – cancel at the end of the 12-month term

Should licenses be added during the term in error, this can be canceled within 7 days only, after which you would be committed to the licenses for the remaining term as above.

Can I have a combination of annual Commit and Monthly Commit?

Yes, you can commit monthly to licenses that change frequently due to many factors, such as contract workers, temporary projects, etc. the rest of the licenses can be purchased on an annual commit.