1. 9/11/2018
© 2012 Microsoft Corporation. All rights reserved. Microsoft, Windows, and other product names are or may be registered trademarks and/or trademarks in the U.S. and/or other countries.
The information herein is for informational purposes only and represents the current view of Microsoft Corporation as of the date of this presentation. Because Microsoft must respond to changing market conditions, it should not be interpreted to be a commitment on the part of Microsoft, and Microsoft cannot guarantee the accuracy of any information provided after the date of this presentation. MICROSOFT MAKES NO WARRANTIES, EXPRESS, IMPLIED OR STATUTORY, AS TO THE INFORMATION IN THIS PRESENTATION.

2. Modern licensing for education The Enrollment for Education Solutions
AGENDA
Cloud first offers
Modern licensing for education
The Enrollment for Education Solutions
Messaging, landing and sales resources

3. 9/11/2018
CLOUD FIRST OFFERS
© 2012 Microsoft Corporation. All rights reserved. Microsoft, Windows, and other product names are or may be registered trademarks and/or trademarks in the U.S. and/or other countries.
The information herein is for informational purposes only and represents the current view of Microsoft Corporation as of the date of this presentation. Because Microsoft must respond to changing market conditions, it should not be interpreted to be a commitment on the part of Microsoft, and Microsoft cannot guarantee the accuracy of any information provided after the date of this presentation. MICROSOFT MAKES NO WARRANTIES, EXPRESS, IMPLIED OR STATUTORY, AS TO THE INFORMATION IN THIS PRESENTATION.

4. INTRODUCING THE NEW MICROSOFT 365 EDUCATION SUITES IN OCTOBER
Office 365 A1
FREE
CORE
PREMIUM
Microsoft 365 A3
Microsoft 365 A5
Student use benefit eligible:
Office client apps
Advanced Security Management
Advanced Threat Protection
Intune for Education
Windows 10 Education
Azure Active Directory Premium (Plans 1 & 2)
Advanced Threat Analytics
Minecraft: Education Edition
Office 365 A3
Office 365 A5
Windows 10
Education A3
Windows 10
Education A5
Introducing some new cross-Microsoft education cloud offer plans. Think of these a bit as the equivalent to Microsoft 365 Enterprise (aka Secure Productive Enterprise) for education, but it’s not an exact match to it as we’ve added some education-specific products and other tools. They are the cross platform offering, bringing together Office 365 A3 and A5 offerings with EMS and Windows, as well as Minecraft: Education Edition. What’s important to note is that there are two new plans. Both plans include the server and CAL benefits that our education customers should be used to. You get the productivity server and CALs as well as System Center rights.
We have rebranded the current Office 365 plans. What is now known as Office 365 E1 and E5 will be named Office 365 A1 and A5. For Office, we are losing the E construct in education that commercial offerings follow, and moving to an A construct for education. If your customer has Office 365 E1 or E5 they will see it rebranded to A1 and A5 in October. The current free offering is A1, and the current E5 offering is A5.
In the middle, you’ll see we’ve introduced a new bundle, Office 365 A3. The intent is a mid-level offering to offer those customers that are buying Pro Plus and advanced security management. We want a competitive price point that offers more security and functionality than our mid price point but not quite the A5 functionality.
Enterprise Mobility + Security E3
Enterprise Mobility + Security E5
Minecraft: Education Edition
Minecraft: Education Edition

5. MICROSOFT 365 EDUCATION A3 VS. EDUCATION DESKTOP
Microsoft 365 A3
Where is the new value for customers?
Advanced Security Management
Skype Meeting Broadcast
Bookings (Coming soon)
Office Professional Plus
w/ rights to Office 365 ProPlus
Office 365 A3
w/ rights to Office Professional Plus1
Windows SA
Windows 10 Education A3
Intune for Education
AADP P1
AIPP P1
Advanced Threat Analytics
EMS E3
Here is a quick overview of how these offers compare to Education Desktop, which is where the majority of our EES customers will be transitioning from. “Microsoft 365 for Education Plan A3” is the core successor to today’s Education Desktop. This is a look at how the new cloud A3 suite compares to the Education Desktop that is the qualifying product in EES today.
In both Plan A3 and Plan A5 we’ve included components suited to unique Education market needs, like Minecraft: Education Edition and new student use benefits are covered later.
The suite sub-components are also available for individual purchase and most are qualifying products.
I want to point out that we have included Advanced Security Management in the Office 365 A3 that’s part of Plan A3. This is based on feedback from you and customers that Advance Security Management is an important offering for them, and a differentiator from our competitors. We wanted to make sure this was available at a competitive price. This is an education differentiator as we don’t have this with E3 for commercial customers.
Minecraft: Education Edition
Minecraft: Education Edition
Windows CALs (Core or Enterprise)
Windows CALs (Enterprise)
All customers get Enterprise CALs1
Productivity CALs (Core or Enterprise)
Productivity CALs (Enterprise)
Productivity Server Licenses1
Productivity Server Licenses (Enterprise)
1. Rights to Office Professional Plus and Productivity CALs are not included in CSP.

6. New! Microsoft student use benefits
Office
Office 365 ProPlus
Advanced Security Management
Advanced Threat Protection
Windows
Windows 10 Education
EMS
Intune for Education
AADP Plan 1
Advanced Threat Analytics
AADP Plan 2
Minecraft: Education Edition2
Customer may acquire student use benefit by purchasing the Qualifying product via a suite/bundle or as Standalone
Student use benefits are available in EES, OVS-ES, and CSP1
If customer purchases a suite/bundle containing a Qualifying product, they receive SUB only for the individual product, not for the entire suite/bundle
If a Qualifying product is purchased via a suite/bundle the supported faculty:student ratio is up to 1:40; if the Qualifying product is purchased Standalone the supported faculty:student ratio is up to 1:15
Available as $0 SKUs on pricelists1
For student use benefits, there are a number of changes in October. Two key things: First, there is a new list of qualifying SUB products. Its considerably longer than we’ve had in the past, as there are more products on it. Office Pro Plus has always been on the list, but we’re also including Office Advance Security Management and Advanced Threat Protection, as well as Windows and Minecraft: Education Edition. Some covered products have bene around and some are new to the list. These will be available as $0 SKUs on pricelist, which is new and part of the effort to simplify the new offering.
Since these products are available via a suite, we want to be clear that if a customer gets just the Office A3, they would receive SUB for Office A3 but not for the full suite. In other words, individual products get individual that product benefit.
If a product is purchased via suite, the faculty to student ratio is 1:40. If the qualifying product is standalone, the faculty student ratio is 1:15.
1CSP benefits available H2 FY18. ATA student use benefit is not available in CSP. M:EE student use benefit will not be available as a standalone in CSP, though it will be included in the M365 bundle student use benefits
2 Minecraft: Education Edition will continue to require uplift in Faculty price on standalone SUB acquisition ($5 per Faculty user standard, $13.20 per Faculty user to enable SUB)

7. MODERN LICENSING FOR EDUCATION
9/11/2018
MODERN LICENSING FOR EDUCATION
© 2012 Microsoft Corporation. All rights reserved. Microsoft, Windows, and other product names are or may be registered trademarks and/or trademarks in the U.S. and/or other countries.
The information herein is for informational purposes only and represents the current view of Microsoft Corporation as of the date of this presentation. Because Microsoft must respond to changing market conditions, it should not be interpreted to be a commitment on the part of Microsoft, and Microsoft cannot guarantee the accuracy of any information provided after the date of this presentation. MICROSOFT MAKES NO WARRANTIES, EXPRESS, IMPLIED OR STATUTORY, AS TO THE INFORMATION IN THIS PRESENTATION.

8. DIGITAL TRANSFORMATION IN EDUCATION
9/11/2018
DIGITAL TRANSFORMATION IN EDUCATION
Microsoft is streamlining and accelerating our licensing strategy to enhance and create synergies across three ways customers, including Educational Institutions, want to do business with us.
SELF-SERVE WEB
VALUE-ADDED PARTNERS
MICROSOFT-ASSISTED
I’m going to walk through some of the changes we’ll see in EES come October as well as CSP changes and how we’ve begun to modernize licensing.
Our strategy is to enhance and create synergies across three ways customers want to do business with us:
through value-added partners who can help customers innovate faster;
through Microsoft-assisted offerings like today’s Enrollment for Education Solutions; and
through self-serve web options that make it easy for traditional and born-in-the- cloud customers of all sizes to acquire and manage first- and third-party web services.
Microsoft is trying to move toward three ways to serve our customers. We are not entirely there yet, but this is the direction we’re headed, not just for education but for licensing programs in general.
For example:
Many organizations want to incorporate intelligent technology into their products for predictive maintenance and better customer service or other scenarios: they’re looking for the value-added services of a Microsoft partner to assist or contribute IP to help them innovate quickly. 
Others require the extra computing power of virtual machines or other Azure service on-demand, without the need to negotiate a new agreement: they want self-serve options and easy access to first- and third-party apps. 
Still others want to standardize on Microsoft technology across the organization, with an enterprise-wide agreement, a Microsoft-assisted offer. 
Learn more on the Digital Transformation in Education landing page
© 2012 Microsoft Corporation. All rights reserved. Microsoft, Windows, and other product names are or may be registered trademarks and/or trademarks in the U.S. and/or other countries.
The information herein is for informational purposes only and represents the current view of Microsoft Corporation as of the date of this presentation. Because Microsoft must respond to changing market conditions, it should not be interpreted to be a commitment on the part of Microsoft, and Microsoft cannot guarantee the accuracy of any information provided after the date of this presentation. MICROSOFT MAKES NO WARRANTIES, EXPRESS, IMPLIED OR STATUTORY, AS TO THE INFORMATION IN THIS PRESENTATION.

9. LICENSING TODAY—AND WHERE WE’RE GOING
9/11/2018
LICENSING TODAY—AND WHERE WE’RE GOING
TODAY
MODERN
License + Software Assurance
Cloud services and subscriptions
OFFERS:
Mainly seller and partner-led
Microsoft-assisted
Partner value-added
Self-serve
WAYS TO BUY:
META POINT – Our vision is to provide customers with modern offers, through Microsoft-assisted, partner value-added, and web self-service ways to buy, via a modern platform.
Where are we today and what does this mean for the future? Today we have licenses plus Software Assurance. Moving into modern, we’d like to see more cloud services and subscriptions. That’s the direction we’d like to head and that’s driving many of the changes in EES.
Regarding ways to buy, we’re mainly seller and partner led today. We’d like to ultimately offer these three ways to buy as the primary ways customers purchase our products.
We have multiple commerce systems across many platforms, and we want to ultimately be one connected platform with connected entry points. We want to have continuity and consistency in a single system. We’re on our way to getting to these modern motions.
ORIGINAL TEXT:
This unified commerce experience will enable the customer to enter any mode of purchasing they want, with scalable contracting which can easily scale to allow additional modes of purchasing. We’ll get into each of these topics – offers, ways to buy, and platform – in greater detail on the following slides, but let’s pause here for a moment to define each of these at the high level.
Let’s talk first about modern offers
The goal is to provide a set of modern offers that meet customer where they are.
Offers will shift from being licenses plus Software Assurance, to providing more cloud services and subscriptions. We’re seeing this transition happen already, with per user cloud services subscriptions, such as Office 365 and Dynamics 365, and the cloud suite being released in FY18 for our Education customers.
We’re building offers with a wide variety of customers and customer types in mind: those who have significant on-premises infrastructure investments, those with on-premise and cloud workloads and investments, and those who are 100% in the cloud
You’ll see offers that reflect a cloud-first shift in how we think about licensing –
Increased offers in subscription models, rather than our traditional L+SA models
Per-user, rather than per-device licensing
“Try then buy” motions, rather than customers buying and then trying to realize value from their purchases
Pay-as-you-go (PAYG) options, rather than up-front monetary commitments
In terms of ways to buy, modern licensing includes a commitment to enabling customers to buy how they choose. These represent three prioritized sales motions, each important to our success
Today customers make purchases mainly through Microsoft seller and Partner motions. Customers will continue to look for those Microsoft-assisted sales motions, as they do today through the EA.
Customers will engage with partners who can bring services and solutions. These might include project services, management services, or specific solutions. We’ll see significant investment in this space
Customers will also look to make fast purchases online for cloud services, including Azure, O365, and other cloud offers
Finally, let’s talk for a moment about the commerce platform
Today, we have multiple commerce systems across licensing programs. Each program has it’s own platform, and we have multiple commerce sites, including Azure.com and Office.com. This creates siloes and makes it hard for us to skillfully advise a customer around their next logical purchase
To modernize this experience, we will drive to a single connected commerce platform with multiple entry points, and which relies on a single price catalog, a single offer catalog, and a complete view of purchases and investments for the customer, partner and Microsoft. With the modern platform, customers will have a one agreement that scales to all the ways they buy.
TRANSITION - Let’s examine each of these topics more closely, starting with modern offers.
<click to advance slide>
Multiple commerce systems across licensing programs, sales motions
One connected platform and agreement, multiple entry points
PLATFORM:
Microsoft Confidential. Shared with Partners under NDA. DRAFT
© 2016 Microsoft Corporation. All rights reserved. MICROSOFT MAKES NO WARRANTIES, EXPRESS, IMPLIED OR STATUTORY, AS TO THE INFORMATION IN THIS PRESENTATION.

10. FIRST STEP IN MOVING EDUCATION TO MODERN…
FROM (TODAY)…
TO OCTOBER…
Updates to hero programs in green to modernize offers
TO FINAL GOAL…
Focus on modern ways to buy
Subscription
Enrollment for
EDU Solutions (EES)
Open Value Sub for EDU solutions (OVS-ES)
School Enrollment
Microsoft Cloud Agreement (MCA) - CSP
Transactional
Select Plus
MPSA
Open
Direct
Microsoft Online Service Agreement (MOSA)
Subscription
Enrollment for
EDU Solutions (EES)
Open Value Sub for EDU solutions (OVS-ES)
School Enrollment
Microsoft Cloud Agreement (MCA) - CSP
Transactional
Select Plus
MPSA
Open
Direct
Microsoft Online Service Agreement (MOSA)
Microsoft-assisted
Value-added Partner
Web direct
Where will be in October? Here’s our roadmap. Today we have several programs, and in October we’re not retiring any programs, but that is on the eventual roadmap. And we are going to change the EES program and have some CSP changes in October. Those EES changes we’ll cover in this presentation. Our final goal is these modern purchasing vehicles with a common commerce platform.
Our approach is to gradually move those customers who are slow to adopt to cloud with these offers and buying routes, and also by focusing improvements and new offers in the two hero offers. Those non-cloud accounts should organically get smaller in regard to number of active agreements.
ORIGINAL TEXT
Simplifying volume licensing programs:
Multiple academic licensing programs, with varying capabilities / benefits to partners
Modernize EES licensing and investing in CSP as part of modern licensing strategy to move customers to one of the three ways to buy via the modern platform.
Changes in October are our first step in this process – an a big leap forward in leading with cloud in EDU.
Longer term, formally EOL legacy programs
After hero programs are modernized

11. THE ENROLLMENT FOR EDUCATION SOLUTIONS (EES)
9/11/2018
THE ENROLLMENT FOR EDUCATION SOLUTIONS (EES)
© 2012 Microsoft Corporation. All rights reserved. Microsoft, Windows, and other product names are or may be registered trademarks and/or trademarks in the U.S. and/or other countries.
The information herein is for informational purposes only and represents the current view of Microsoft Corporation as of the date of this presentation. Because Microsoft must respond to changing market conditions, it should not be interpreted to be a commitment on the part of Microsoft, and Microsoft cannot guarantee the accuracy of any information provided after the date of this presentation. MICROSOFT MAKES NO WARRANTIES, EXPRESS, IMPLIED OR STATUTORY, AS TO THE INFORMATION IN THIS PRESENTATION.

12. Shifting qualifying products to Education Platform Products
WAYS WE’RE MODERNIZING EES TO SUPPORT CLOUD FIRST OFFERS:
Shifting qualifying products to Education Platform Products
Eliminating complex calculations for “full-time equivalent” (FTE) staff
Simplifying user definitions to streamline license count
Enabling greater flexibility to adjust at anniversary
The biggest things we’re going to be modernizing, and the greatest changes you’ll experience in October, is to shift our qualifying products. Some of the key ways we’re modernizing that that we’re changing the qualifying products name to Education Platform Products, and changing the qualifying products to all be online services. Software is no longer offered as qualifying products. We are completely shifting to OLS as the way customers will come into EES.
We are eliminating the calculation of full time and part time staff and shifting to a per user model. We won’t have partially counted part-time faculty or staff or students, but a 1:1 per user model.
Also streamlining definitions to work with the shift in licensing count.

13. EDUCATION ONLINE SERVICES THAT QUALIFY FOR PARTICIPATION IN EES
SHIFTING QUALIFYING PRODUCTS TO EDUCATION PLATFORM PRODUCTS
Replace qualifying on-premises software products with Online Services
EDUCATION ONLINE SERVICES THAT QUALIFY FOR PARTICIPATION IN EES
CORE – MICROSOFT 365 A3
Office 365 A3
Windows 10 Education A3
EMS E3
Minecraft: Education Edition or
PREMIUM – MICROSOFT 365 A5
If one of the suites is not the right choice, you can still qualify by purchasing one or more of these services org-wide
Downgrade rights to on-premises
About the first change on the list, shifting qualifying products to Education Platform Products. To qualify for EES, they have to purchase organization-wide and reach a minimum of 1,000 units, and purchase at least one qualifying product organization- wide. As we introduced earlier, there are new cloud suites which are the new hero offers, with anticipation that most customers will come in at plan 2. But customers can also come in on individual components, and can qualify with any of these products highlighted in green. Any of these can be purchased as qualifying for enrollment in EES or CSP should they not choose a full suite.
Office 365 A5
Windows 10 Education A5
EMS E5
Minecraft: Education Edition
or purchase one of these or Office 365 ProPlus org-wide

14. ELIMINATING COMPLEX CALCULATIONS & SIMPLIFYING USER DEFINITIONS
TODAY
Complex calculation of “full-time equivalent” staff
OCTOBER 2017
Simple 1:1 count of “knowledge workers”
Total employee count 4,000
Total employee count 4,000
2,000 full-time employees (FTE)
Knowledge worker:
Any employee (including a student employee), contractor, or volunteer who uses a product or qualified device for the benefit of the institution or within the user’s relationship with the Institution. 
3,700 knowledge workers
600 part-time faculty / 3
300 light users (covered by free SKU)
1,000 full-time staff
The second thing we’ll change in EES is the complex calculation to count full- and part-time staff for the organization-wide requirement. Any user that is considered a knowledge worker will have to be counted. This is part due to how we provision OLS as there is a need to count all users who will use the products.
On the left we have an example of the world today, with an org wide count of 4000 users, which consists of part-time and full-time workers. Today that counts as 3,400 users.
In October, does that mean everyone has to be counted? Not necessarily, as we do have the free SKU for the light users that don’t need full coverage as they don’t fit the knowledge worker definition. In this scenario, you see the new count is at 3,700 users if you account for the light users using the free SKU.
Extra:
Going from a formula based calculation to a per user model
Organizations will now only have to count knowledge workers and all other users will be counted as light users. There is no cost for Light users, as they will be covered by a free SKU.
Knowledge worker is defined by:
Any employee (including a Student employee), contractor, or volunteer of or for the Organization who uses a Product or Qualified Device for the benefit of the institution or within the user’s relationship with the Institution. 
For the benefit of the organization is not defined – it is subjective and will require assessment by the LSS / Partner and Organization.
An organization count may change due to the counting
Talk about how Microsoft will support the change in user count
400 part-time staff / 2
TOTAL PAID FTE
3,400
TOTAL PAID USER
3,700
Per user model increased count by 300

15. HELPING CUSTOMERS TRANSITION TO PER USER MODEL
9/11/2018
HELPING CUSTOMERS TRANSITION TO PER USER MODEL
Customers may experience a price impact due to an increase in user count; to help consume the additional cost, one of the following options may be chosen at renewal:
OPTION 1
Renew into EES 2017 enrollment and pay only for their FTE count, but gain access to Microsoft 365 A3 for their full knowledge worker count.
Use a $0 Microsoft 365 A3 SKU for the difference between the previous FTE count and the new knowledge worker count.
Customer can purchase this SKU for the three-year enrollment term.
OPTION 2
Renew into EES 2017 enrollment and purchase a discounted Microsoft 365 A3 SKU to help offset an incremental cost increase over the existing enrollment with Education Desktop w/CoreCAL.
$59 Microsoft 365 A3 w/CoreCAL SKU available which grants on-premises rights to equivalent Core CALs (instead of ECALs).
Available on the November 2017 price list.
Customers can access this offer in combination with the mitigation above (eg $59 Microsoft 365 A3 w/CoreCAL for their FTE count and a $0 SKU for their incremental knowledge worker count).
Customer can purchase both of these SKUs for the three-year enrollment term
Recognizing that it will be a change to move to the per user model and there may be a cost impact for customers, we have a model to help with the expense and give them time to budget and plan. There are three options:
We’ll allow customers anticipating a spend increase from this change to per user to leverage a plan over three years to phase them into the price increase and alleviate some of the cost. The $59 and $0 SKUs are the same products just not at full price, as customers adjust to the price change. Note these are for A3 only.
We are also allowing a one-time extension of the EES enrollment if they don’t want to yet adopt the new enrollment. A customer can extend their existing enrollment for 12 months. At the end of the 12 moths they are expected to shift to the new enrollment and qualify with one of the Education Platform Products.
We want to be clear that customers can absolutely pay in year one for all users – mitigation is not required. The guiding principle is that this will be “programmatic” with calculations provided to LSPs to determine coverage amounts each year to reduce LSS /LE touch. – i.e. no amendment necessary (POA)
OPTION 3
Exercise a one time, 12 month extension to their existing contract
© 2012 Microsoft Corporation. All rights reserved. Microsoft, Windows, and other product names are or may be registered trademarks and/or trademarks in the U.S. and/or other countries.
The information herein is for informational purposes only and represents the current view of Microsoft Corporation as of the date of this presentation. Because Microsoft must respond to changing market conditions, it should not be interpreted to be a commitment on the part of Microsoft, and Microsoft cannot guarantee the accuracy of any information provided after the date of this presentation. MICROSOFT MAKES NO WARRANTIES, EXPRESS, IMPLIED OR STATUTORY, AS TO THE INFORMATION IN THIS PRESENTATION.

16. GREATER FLEXIBILITY TO ADJUST AT ANNIVERSARY
Adjust user count at agreement anniversary to direct technology spend to active users
= 1,000 USERS
TODAY
OCTOBER 1ST 2017
NO POLICY CHANGE TO AN INCREASE OF USERS
Year 1:
Total employee count 4,000
Total seat count 4,000
Year 1:
Total employee count 4,000
Total seat count 4,000
Year 2:
Total employee count 5,000
Total seat count 5,000
Year 2:
Total employee count 5,000
Total seat count 5,000
We’re going to allow greater flexibility to adjust the user counts. This is a change where at anniversary we’ll allow customers to decrease their users, down to the program minimum requirement, if that’s something they need to align with their actual knowledge worker count. We have not previously allowed this adjustment downward in EES.
NEW POLICY ALLOWS A DECREASE OF USERS
Year 3:
Total employee count 3,000
Total license count 4,000
Year 3:
Total employee count 3,000
Total seat count 3,000

17. MESSAGING, LANDING, SALES AND LICENSING GUIDANCE
9/11/2018
MESSAGING, LANDING, SALES AND LICENSING GUIDANCE
© 2012 Microsoft Corporation. All rights reserved. Microsoft, Windows, and other product names are or may be registered trademarks and/or trademarks in the U.S. and/or other countries.
The information herein is for informational purposes only and represents the current view of Microsoft Corporation as of the date of this presentation. Because Microsoft must respond to changing market conditions, it should not be interpreted to be a commitment on the part of Microsoft, and Microsoft cannot guarantee the accuracy of any information provided after the date of this presentation. MICROSOFT MAKES NO WARRANTIES, EXPRESS, IMPLIED OR STATUTORY, AS TO THE INFORMATION IN THIS PRESENTATION.

18. THE ENROLLMENT FOR EDUCATION SOLUTIONS…
… is the best way to access the products and services that can help you expand your effectiveness in educating students and supporting faculty to push the boundaries of, and in, the classroom with broader access to cloud solutions, the ability to accurately direct technology spend, and greater value with free services and tools.​
Expanded benefits
Push the boundaries of the classroom with tools that help students and faculty interact and innovate with each other and those beyond the classroom environment.
Access the full suite of products and services that can help you expand your effectiveness in educating students and supporting faculty.
Broader access
Direct technology spend
Accurately license faculty, staff and students for the full suite of Microsoft products and cloud services they need.
The way we are approaching messaging around EES, given it’s such a well-known and heavily utilized program, is not to talk about changing the program because a lot of the value customers get from the EES remains, but about how we are adding value by enabling the cloud first offers…
From a messaging standpoint, EES is very much our hero offer. We’re not taking any of the value they’ve come to know away. Instead we’re adding some new capabilities that we want to highlight. First is around broader access and opening up the OLS suite products, especially through the new suites, and expanding the utility of tools and resources they can use for running the institution and in the classroom.
Second, we want to message around directing technology spend. With the new knowledge worker definition, that streamlines who is a paid user versus a free SKU user, those distinctions can ensure they are paying for the employees, staff, students, volunteers and others that are actually using the services and products versus those who are light users. They can be confident they are accurately directing their spend to those who are using the services.
Expansion of Student Use Benefits and all the capabilities in the suites, there is an expanded set of tools and resources they have access to that they can utilize to ensure they are driving efficiency and effectiveness in running their institutions and expanding their classrooms through the tools and resources for teachers and students. There is a whole host of capabilities available to whomever are utilizing the products that don’t exist today in the traditional EES Desktop Platform.

19. HOW TO SELL EES AND MICROSOFT 365 EDUCATION
Lead with org-wide suite
Lead with the Microsoft 365 Education offers, Microsoft 365 A3 & Microsoft 365 A5.
Position free* Office 365 A1 through as means to extend capabilities to light users.
Upsell Plan A5
Upsell to Microsoft 365 A5.
Fall back to free Office 365 A1 for light users.
Incorporate service offerings to boost revenue and margins. Sell in packaged services, application customization, cloud migration, and other solutions.
This is how we want partners to go out and sell. We want to lead with EES even though suites will be available in CSP and components of M365 A3 available in OVS-ES, as we want to maintain the relationship through EES with the org-wide wide commitment. We want to keep the relationship thriving through the org-wide commitment with the suites. M365 A3 is the closest equivalent to the Education Desktop today, with price equivalency so it is a balanced conversation that the price is similar. There is an opportunity to upsell to A5 with the expanded benefits and products.
Also, ensure they are including their students in the conversation with the expanded student use benefits to cover the entire institution.
Include students
Help customers deploy student use benefit for qualifying products.
Attach Exchange Online integration and other services to your sales offering.

20. FY18, Q1 LICENSING GUIDANCE FOR EDUCATION CUSTOMERS
Will be updated throughout FY18 as new capabilities are enabled
FY18, Q1 LICENSING GUIDANCE FOR EDUCATION CUSTOMERS
WHAT DOES THE EDUCATION CUSTOMER WANT?
NEW CUSTOMERS
OLS-only
CSP
Partner-managed OLS
For partner-managed OLS-only deals including Azure
MOSP
Customer self-service OLS
Use where no partner and no licensing program benefits are required
EES/OVS-ES
For org-wide commitments, or customer- required T&Cs not addressed by other programs
*EES for Consortia
Select Plus*
For new or existing transactional customers needing on-premises software
Combine with CSP for OLS + software
CSP
partner managed OR
MOSP
customer self-serve
Strategy
Commit org-wide
EES or OVS-ES
RENEWING CUSTOMERS
OLS+ transactional software?
CSP
Partner-managed OLS
Renew CSP into CSP
MOSP
Customer self-service OLS
Continue purchasing on MOSP
EES/OVS-ES
Renew into EES/ OVS-ES
Select Plus*
Drive to long-term commitment with EES / OVS-ES, or to CSP where possible
Or continue purchasing on Select Plus
OLS
SOFTWARE
You’ll be hearing a lot about the new modern licensing story from the commercial licensing team. They’ve done a set of licensing guidance around OLS, Azure and how you position which is the right fit. This is the education customer equivalent.
I just want to highlight that these are available to you and you’ll be seeing this more over the next few months. This is a critical discussion over the next months to ensure we’re moving toward the modern platform. We want to help ease customers into it when they are ready.
Our guidance stays the same in that EES and OVS-ES are the hero offers for those willing to make the org-wide commitment. For any customer needing framework or consortia or custom amendments, EES is the one program that will support those needs.
If you have a customer ready to go to OLS or is OLS only, we encourage you to look at CSP.
Moving forward, with the EES changes in October not a lot of this guidance will change, but there are some aspects that will highlight how EES can support. We will continue to update this through FY18 as needed.
CSP
partner managed +
Select Plus OR OR
*other licensing options as needed to address customer needs
MOSP
customer self-serve
Transactional software only?
Select Plus
Guidance for education customers, subject to program availability and local segmentation. MPSA also available in select geographies, use as needed if above options do not fit customer need.

21. Comparing Education Licensing Options
CSP
EES
OVS-ES
No minimum number of USLs
No minimum commitment term
1,000 USLs with an organization wide commitment required
1 or 3 year term
5 licenses with an organization- wide commitment required
Monthly upfront payment for licenses
Change number of licenses on a monthly basis
Annual, upfront payment for licenses
Decrease licenses at anniversary to program minimums
1 price level
12 months price protection
4 price levels
1 or 3 years price protection
2 price levels
Microsoft 365 A3/A5* components
Online Services only
Microsoft 365 A3/A5, plans and components
Software as additional products
No Microsoft 365 A3/A5 plans
Office 365 A3
EMS E3/E5
No USLs for Windows 10
Software
Access to licensed, on-premises servers
Rights to install Exchange, SharePoint and Skype for Business Server
Student use benefit**
Microsoft Imagine & Imagine Academy
Support for consortia
Amendments and concessions from Microsoft
To start
Ongoing
Price & Price Protection
Availability
Talk Track:
This is a great summary slide showing the differences between the programs
Let’s talk through each row pulling out some key facts. The first row reminds us that CSP is a program with no initial commitment – no minimums and no organization-wide commitment which is different to the other two programs
Then the next row shows that it’s a program with no ongoing commitment – you can change the licenses that you need on a monthly basis compared to an annual basis
However, the next row shows that the programs with commitment can offer better pricing with four price levels in EES for volume purchases, and up to 3 years price protection rather than 12 months
CSP only has licenses for Online Services available whereas with EES you buy Online Services for the Education Platform Products and can additionally buy software. OVS-ES does not have many of the new Online Services offerings available currently
From a use rights perspective, although all programs offer access to licensed on-premises servers from the relevant USLs, it’s EES that also includes server installation rights for Exchange, SharePoint, and Skype for Business Server
And finally, all programs offer student use benefit licenses in return for an organization-wide commitment, but EES has some other important benefits – support for consortia, and support for amendments and concessions from Microsoft
Use this slide to discuss differences between these three key education offerings:
For example: do they need flexibility of monthly payments and to turn services on and offer or are they ready to commit for a year or more? What are their price needs, are they willing to pay a flat price (OVS-ES) or do they need the flexibility of more discount options (EES) or the ability to pay monthly (CSP)?
Use Rights for OLS
Benefits and Features
* Microsoft 365 A3 and A5 plans available through CSP later in FY18
** Requires organization-wide commitment; available later in FY18 for CSP

22. Frequently Asked Questions Sales Card EES Customer Licensing Guide
RESOURCES
Frequently Asked Questions
Sales Card
EES Customer Licensing Guide
These resources are available to help with customer conversations

23. Thank you

24. 9/11/2018
APPENDIX
© 2012 Microsoft Corporation. All rights reserved. Microsoft, Windows, and other product names are or may be registered trademarks and/or trademarks in the U.S. and/or other countries.
The information herein is for informational purposes only and represents the current view of Microsoft Corporation as of the date of this presentation. Because Microsoft must respond to changing market conditions, it should not be interpreted to be a commitment on the part of Microsoft, and Microsoft cannot guarantee the accuracy of any information provided after the date of this presentation. MICROSOFT MAKES NO WARRANTIES, EXPRESS, IMPLIED OR STATUTORY, AS TO THE INFORMATION IN THIS PRESENTATION.

25. New Customers Existing Customers
Per-User Online Services Guidance (Education)
New Customers
Existing Customers
Committed customers*
Lead with EES
Existing EES
Renew into EES
Over 1,000 USLs
All other customers
Lead with CSP
Existing MPSA
Renew into CSP
Committed customers*
Lead with OVS-ES
Existing OVS-ES
Renew into OVS-ES
This slide is focused more on online services and helping decide the right way to move a customer into an OLS structure. If they are currently EES we want them to stay in EES; if they are not OLS but want to be, let’s look at CSP for them. If they have a small footprint and want to look at cloud in a small way, look at OVS-ES. This is based on the customer and what and when they want to move to the cloud.
ADDITIONAL TEXT (OPTIONAL)
You can see that we’re focusing first on per-user Online Services and we’re going to cover guidance for both new and existing customers and those with a requirement for more than and under 1,000 USLs.
In this top left space, if the customer is prepared to make an organization wide commitment, lead with the EES since the EES has the most complete set of offerings for this sort of customer, but for all other customers lead with CSP.
And for under 1,000 USLs, it’s very similar – if the customer is prepared to commit organization wide, then lead with OVS-ES, otherwise lead with CSP.
And our existing customers?
Existing EES customers should continue to renew into the EES.
Existing MPSA customers should renew their Online Services into CSP; new offers will be available in CSP and it makes sense to start renewing Online Services into CSP now.
For our smaller customers? The guidance is the same for the larger customer with existing OVS-ES customers renewing into that agreement.
And Open customers? It’s much easier to transact Online Services in CSP and so this is a great recommendation for smaller customers. We’re already seeing that some USLs aren’t available in Open and Open Value (eg Dynamics 365) and so this opens up the most choice for them.
Under 1,000 USLs
All other customers
Lead with CSP
Existing Open
Renew into CSP
* Prepared to license all users across an organization

26. New Customers Existing Customers
Hybrid Guidance: Software + OLS (Education)
New Customers
Existing Customers
Committed customers*
Lead with EES
Existing EES
Renew into EES
Over 1,000 Users
Existing MPSA
Renew OLS into CSP
All other customers
Lead with CSP for OLS
Lead with Select Plus or MPSA for software
Existing Select Plus or MPSA
Renew software into existing agreement
Existing OVS-ES
Renew into OVS-ES
We recognize there a more programs than EES, OVS-ES and CSP, and we didn’t want to ignore them. Select Plus commercial is being retired but there are no plans right now to retire Select Plus for public sector. If you have a customer renewing into Select Plus you can do that without worrying we’ll be retiring it in the months ahead.
This slide builds on the per-user OLS guidance to add software on to give hybrid guidance.
In essence, follow the guidance for OLS as per the per-user OLS guidance slide and then renew the same agreement for software. Existing guidance remains for choosing the right on-premises software agreement.
Have the conversation with the customer on what they need and where they are comfortable moving. We want to make sure it is right time for them; we want to do the right thing for the customer.
Committed customers*
Lead with OVS-ES
Under 1,000 Users
Existing MPSA or Open
Renew OLS into CSP
All other customers
Lead with CSP for OLS
Lead with Open for software
Existing MPSA. Open or Select Plus
Renew software into existing agreement
* Prepared to license all users across an organization

27. Education Licensing Guidance
Questions to ask to offer the best licensing guidance for new and renewing Education customers
FIRST OF ALL..
Does the customer need any of the following:
Support for consortia
Amendments and concessions from Microsoft NO
Are they prepared to buy licenses for all Knowledge Workers across the organization?
YES NO
Do they need the flexibility of changing the number of licenses and paying on a monthly basis?
EES
CSP
YES
CSP
YES NO
Do they need access to existing on-premises solutions?
This guidance is to look at key questions for customers and make recommendation based on those deciding points.
Supporting Information:
Use this slide to discuss the licensing guidance for education customers
Start at the top left – these are non-negotiable – if the customer needs any of these, then CSP cannot currently handle these, so you must recommend an EES
Then discuss if they are prepared to make an organization wide commitment – if they are definitely not, then they will need to purchase through CSP
What about the flexibility of changing the number of licenses and paying on a monthly basis – if this is a must-have, then CSP is the right route
On-premises solutions – don’t be misled into thinking that with just USLs being available through EES that there are no on-premises rights – there are. Be aware that if you choose CSP you get cloud only rights. This is not a problem for a new customer most likely, but if you are coming from a traditional world it may matter
Then there’s the break point with licenses – under 1,000 and it needs to be OVS-ES or CSP
And finally there’s the question of commitment – if the customer needs predictable pricing then this is what is offered by OVS-ES or EES
Are they prepared to commit to a 1 or 3 year term to guarantee a fixed license price for the term?
Do they need less than 1,000 licenses?
YES NO
YES
YES NO
YES
YES NO
CSP
OVS-ES
OVS-ES
CSP
EES
CSP