2021 Announcements for Microsoft Licensing

On January 1, 2022, Microsoft’s “Open License Program” will come to an end, affecting not just commercial clients but also the government, education, and charity organizations. The deadline to purchase or renew an Open License is December 31, 2021.

As part of its plan to phase down the Open License program in 2022, Microsoft is transferring perpetual license sales to its Cloud Solutions Provider (CSP) partners. These CSP partners can offer perpetual licenses to businesses through a separate scheme dubbed “Open Value,” which includes a Software Assurance (SA) purchasing option. Microsoft also allows CSPs to sell licenses through the “Open Value Subscription” program, which is a separate sales channel that doesn’t offer perpetual licenses but does cover SA.

Cloud Solution Provider Partner Role

After the Open License program ends, Microsoft Cloud Solution Provider (CSP) partners will be the ones to offer perpetual licenses. Perpetual licenses are non-subscription licenses that do not expire after purchase. The term “perpetual license” refers to a license that is purchased only once and does not expire. It differs from subscription-based licensing, which is purchased on a monthly or annual basis and whose usage rights expire if the license is not renewed.

If businesses use Software Assurance (SA) with those perpetual licenses, which allows them to upgrade to the newest software release, SA will only be available through a separate program in 2022 than the Open License scheme.

Switching to the Open Value program, which offers a SA option for perpetual licenses, was advised in the statement.

The Open Value membership is similarly promoted as having a SA option, however, it does not include a perpetual software license.

If you have more questions about Microsoft Licensing, contact JENLOR today!