Microsoft’s New Commerce Experience (NCE) for Cloud Service Providers
Microsoft’s Cloud Solution Provider (CSP) program continues to evolve as they adapt to support the constantly shifting needs of today’s businesses. In support of these efforts, Microsoft has expanded the New Commerce Experience (NCE) to include Microsoft 365 which will launch in June 2022.
The New Commerce Experience (NCE) ‘per seat’ model for Microsoft 365 provides new tools to simplify and manage subscriptions thereby reducing license complexity and costs while providing flexibility around your purchasing scenarios.
What Does This Mean for You?
This change will impact the way you purchase Microsoft 365 licenses while reducing complexity and providing cost savings for long term commitments. Moving to the NCE will help you prepare for future growth thanks to improved revenue predictability, reduced licensing complexity, multiple term options, and features that enable new sales capabilities and operational efficiencies.
In addition, Microsoft has enacted a new cancellation policy for NCE licenses. You will only be able to cancel or reduce the number of NCE licenses within 7 days after your renewal or initial purchase date. After the 7-day period you will not be able to make changes until your next renewal.
You can find step-by-step migration instructions in the Migration Process Guide.
There are two subscription options:
With the NCE, you will have the ability to purchase your Microsoft 365 licenses on a monthly basis without an annual commitment. Microsoft is now offering this to provide flexibility to customers that need to make monthly changes to their Microsoft 365 or Office 365 licenses plans and seat count. This subscription, however, does come at a 20% price increase across all license plans.
Through the NCE, you’ll have the opportunity to commit to your licenses with a 12-month subscription. Unlike the legacy CSP model, customers who use a 12-month subscription will have the option to be billed on a monthly or annual basis.
With the 12-month subscription, your pricing will be locked in for the entire term – allowing you to benefit from the additional cost savings of any price increases that may occur during that time. This subscription will allow you to increase but not decrease the seat count.
Cost Savings Opportunity
Microsoft is offering a discount for annual Microsoft 365 commitments until July 1, 2022 so migrating now will provide you with cost savings that will last the term of your commitment.
Dates and Deadlines
July 1, 2022
The monthly discount offer ends.
July 7, 2022
Aptum will begin migrating remaining legacy CSP subscriptions to the NCE platform (month-to-month option).
July 11, 2022
Microsoft requires all remaining subscriptions on legacy CSP must be moved to NCE. Any legacy subscriptions with renewal dates after July 11, 2022 will not renew and will, instead, enter a 30 day grace period dated from the renewal date. When the grace period ends the licenses will expire.