FY23 GPS partner

investments
and incentives
Portfolio Overview

Classified as Microsoft Confidential

 Microsoft partner mission

Scale Relevance Tech differentiation

Classified as Microsoft Confidential

 Microsoft + partners deliver better customer outcomes

Scale Innovation Tech differentiation

• The platform for transformation and
Unique value growth (business, ethics, trust)
Microsoft • Global GTM through marketplace, co-
delivers to sell, worldwide field sales teams and
partners local experts serving customers in
every market
• Innovation across cloud and edge,
delivering trusted, world class platform
and product innovation
• Most comprehensive end-to-end tech
stack, providing opportunity for
partners to build solutions
• Diverse portfolio, durable business
models, and differentiated technology
stack across the cloud and edge
• Cross company engineering
platform extensibility for partners

• Deep customer engagement driving • Industry relevant solutions and services • Technology and solution innovation
Unique value distribution at scale through co- that complement our portfolio built on our platform
that partners develop, co-market and co-sell • Customer influence • Deep engineering engagement
deliver to motions with us improves our and partner solutions
Microsoft

Classified as Microsoft Confidential

 How customers buy Microsoft products
Microsoft Customer
New Commerce CSP Buy Online Purchasing principles
Agreement-Enterprise

Small corporate and Enterprise and large Individual and ad-hoc

SMB customers
Typical customer traits:
• Small corporate and SMB
• ​Fewer roles making purchasing
decisions​
• ​Low or no IT; greater need for partner
expertise and services
• No unique licensing needs beyond
price negotiation
How they usually buy:
From a partner in the Cloud
Solution Provider (CSP) program
corporate customers
Typical customer traits:
• Complex organizations – usually
multi-national, multi-affiliate, and
multi-tenant​
• Executives, ITDMs, BDMs make
purchasing decisions​
• Strong central IT & procurement
practices
• Complex licensing needs​ that require
a high level of Microsoft engagement
How they usually buy:
From a Microsoft account team
departmental customers Customer needs and
expectation will determine
Typical customer traits: the purchasing motion used
• Individual or departmental
purchases by customers in any
segment​
• ​Individual or BDM knows what
The purchasing motion will
they need to buy and can self-serve determine the partner
online opportunity
• IT managed centrally or by partner​
• No unique licensing needs
Purchasing motions will be
How they usually buy: defined by business policies
and processes
Online

Purchasing motions are aligned to support different customer needs and expectations. Customers will always retain the choice on how they buy

For more information: Visit our customer purchasing motions overview blog post by Dan Truax
Classified as Microsoft Confidential
 Partner earning opportunity across purchasing motions
Designed to reward partners who deliver exceptional results for customers across the solution lifecycle

New MCA –
Buy Online
Commerce CSP Enterprise
Predictability:
Disclose program changes early
and often

Simplicity: Build Intent with

Offer easy to understand prospective customers to
incentive programs explore Microsoft-based
◆ ◆ ◆
solutions

Differentiation: Transact customer

Create a distinct, holistic purchasing and facilitate ◆ ◆ ◆
incentive portfolio licensing opportunity

Consume & Grow

Agility:
Introduce precise agility with
time limited custom programs
Microsoft-based solutions
and encourage customer
◆ ◆ ◆
growth

Classified as Microsoft Confidential

 Partner investments & incentives
Partner opportunity across the purchasing lifecycle

Build Intent
Encourage customers to pursue Microsoft
solutions and prove Microsoft solution value

Partners have a
role in each stage
of the customer
Consume & Grow Transact
Integrate solutions into customer journey
Facilitate customer purchasing motions
environments and increase consumption

Classified as Microsoft Confidential

 Partner investments & incentives
Partner opportunity across the purchasing lifecycle

Activities: Structured Incentives:

• Azure Immersion • Online Services Advisor Build Intent Campaigns & Other
Workshops • Azure Workload Encourage customers to pursue Investments
• Azure Migration and Acquisition and Nurture Microsoft solutions and prove
Enable partners with strategic,
Modernization Program • ISV Investments Microsoft solution value
targeted investments:
(AMMP) Partner-led
• Hardware campaigns
• Business Applications
Partner Activities • ISV Investments
• Build Intent Workshops
• Solution Assessments

Partners leverage
incentives across
Consume & Grow the customer Transact
Integrate solutions into customer Facilitate customer
environments and increase consumption
journey purchasing motions

• Microsoft Commerce Incentive • Microsoft Commerce Incentives

• Online Services Usage – Business Applications • Enterprise – Core incentives
• Online Services Usage – Microsoft 365 • Enterprise – Strategic product incentives
• Business Applications Activities • Cloud Solution Provider (legacy) – Core
• SPLA Reseller and Hosting incentives
• ISV Investments • Cloud Solution Provider (legacy) –
Strategic product incentives

Classified as Microsoft Confidential

 Partner investments & incentives
Purchasing Lifecycle stage

Build Intent Transact Consume

• Activities: Azure Immersion Workshops • Enterprise • Microsoft Commerce Incentives

• Activities: Azure Migration and • Microsoft Commerce Incentives • SPLA Reseller / Hosting
Modernization Program (AMMP) • ISV: Marketplace Transact • Azure Workload Acquisition and Nurture
Azure Partner-led • ISV: GISV End-Customer Migration
Infrastructure, • Activities: Solution Assessments Accelerator
App Innovation, • Azure Workload Acquisition and • ISV: Azure Specialist for ISVs
Data & AI Nurture
Solution Area

Security, • Activities: Build Intent Workshops • Enterprise • Online Services Usage – Microsoft 365
• Cloud Solution Provider (legacy)
Compliance, and
• Microsoft Commerce Incentives
Identity

• Activities: Build Intent Workshops • Enterprise • Online Services Usage – Microsoft 365
• Cloud Solution Provider (legacy)
Modern Work • Microsoft Commerce Incentives

• Activities: Business Applications Partner • Enterprise • Online Services Usage – Business

Business Activities • Cloud Solution Provider (legacy) Applications
• Online Services Advisor • Microsoft Commerce Incentives • Business Applications Activities
Applications

*Visit the Microsoft partner network for detailed information on

Classified as Microsoft Confidential incentive and investment programs
 Build intent – drill down
Program Solution Area Purchase Motion Partner Activity Earning Opportunity
Azure Infrastructure, Drive demand for Azure solutions
Azure Immersion MCA-Enterprise
App Innovation, through facilitation of customer $1,000 per event delivery
Workshops New Commerce CSP
Data & AI workshops
Azure Migration and
Azure Infrastructure, MCA-Enterprise Accelerate customers’ cloud journey
Modernization Fixed amount based on the sized of the
App Innovation, New Commerce CSP with a mix of best practice guidance,
Program (AMMP) customer project, up to $50,000
Data & AI Buy Online resources, and expert help
Partner-Led
Azure Infrastructure, Drive consumption and usage by Fixed amount based on customer
MCA-Enterprise
Solution Assessments App Innovation, delivering business cases and location, opportunity complexity, and
New Commerce CSP
Data & AI migration roadmaps to customers assessment location
Azure Workload Azure Infrastructure,
MCA-Enterprise Accelerate Azure customer adoption Up to $75,000 per partner, per customer,
Acquisition and App Innovation,
New Commerce CSP and consumption per workload
Nurture Data & AI
MCA-Enterprise
Build Intent Modern Work, Conduct workshop to drive customer $3,500 or $5,000 for single workshop
New Commerce CSP
Workshops Security demand for Modern Work and Security delivery, based on market location
Buy Online
Pre-sales activities designed to drive
Business Applications MCA-Enterprise $2,000-$100,000 based on
Business Applications the platform sale of Dynamics 365,
Partner Activities New Commerce CSP opportunity size
Power Apps, and Power Automate
30% D365 Finance & Operations and 15%
Online Services MCA-Enterprise Influence purchase of Dynamics 365
Business Applications D365 Customer Engagement, 10% Power
Advisor Buy Online solutions
Apps & Power Automate

*This asset is intended only for reference purposes, as a high-level overview of available incentive opportunities. Program information is subject to change. *Visit the Microsoft partner network for detailed information on
Full details and program requirements are set forth and subject to the applicable program guide and partner agreement.
Classified as Microsoft Confidential incentive and investment programs
 Transact – drill down
Enterprise Cloud Solution Provider

Rewards partners for driving Enterprise Agreement revenue through Rewards CSP Partners for driving CSP revenue, adding customers and
Overview the adoption of strategic products selling strategic products

Purchasing MCA-Enterprise New Commerce CSP

Motion

Core: Core:
• Up to 6% on Modern Work & Security Cloud Standard • Azure billed revenue: 4%
• Up to 1.5% on Strategic Server • Modern Work & Security billed revenue: 4%
Rebate • Up to 1.25% on Core • Business Applications billed revenue: 4.75%
Incentive Strategic: Strategic:
• Up to 12% on Modern Work & Security Cloud Premium • Strategic product accelerators of 5% and 10%
• Additional incentives by product and opportunity • Additional Customer Add accelerators by solution area

• Azure Consumption Revenue:

• Azure Reservation Consumption: up to 10%
Additional – Direct Agreement: 1.0%
• Subscription software: up to 6%
– Indirect Agreement: 1.5%
Earning • Collaborative Selling (Co-sell)
• Collaborative Selling (Co-sell)
• Discretionary Market Development Funds & End Customer
Opportunity • Additional discretionary Market Development Funds & End
Investment Funds
Customer Investment Funds

*This asset is intended only for reference purposes, as a high-level overview of available incentive opportunities. Program information is subject to change. *Visit the Microsoft partner network for detailed information on
Full details and program requirements are set forth and subject to the applicable program guide and partner agreement.
Classified as Microsoft Confidential incentive and investment programs
 Consume – drill down
Program Solution Area Purchase Motion Partner Activity Earning Opportunity

Quarterly growth-based model calculation

Azure Infrastructure,
Microsoft Commerce MCA-Enterprise Drive Azure Consumption and growth up to 5% on QoQ growth
App Innovation,
Incentive (MCI) New Commerce CSP through value-added services Additional incentives for specialization
Data & AI
partner and workload accelerators

Quarterly growth-based model calculation

Online Services
MCA-Enterprise Increase Dynamics 365 Usage in with applicable rate card value up for
Usage – Business Business Applications
New Commerce CSP customer portfolio Monthly Active Usage (MAU) growth by
Applications
tenant and offer

Online Services MCA-Enterprise Up to $7,500 upon achievement of usage

Modern Work Accelerate Modern Workplace Usage
Usage – M365 New Commerce CSP milestones

Service Provider Azure Infrastructure, Promote deeper market penetration Up to 4%

License Agreement App Innovation, MCA-Enterprise and deployment through third-party Accelerators available for strategic
(Hosting) Data & AI hosting products

Service Provider Azure Infrastructure, Up to 5%

Support Hosters through recruiting,
License Agreement App Innovation, MCA-Enterprise Accelerators available for strategic
onboarding, activating, and licensing
(Resellers) Data & AI products

Business Applications Grow Dynamics 365 usage through

Business Applications MCA-Enterprise Up to $100,000 per engagement
Partner Activities custom engagement
Azure Workload Azure Infrastructure,
MCA-Enterprise Accelerate Azure customer adds and
Acquisition and App Innovation, Up to $75,000 per eligible customer
New Commerce CSP revenue
Nurture Data & AI
*This asset is intended only for reference purposes, as a high-level overview of available incentive opportunities. Program information is subject to change. *Visit the Microsoft partner network for detailed information on
Full details and program requirements are set forth and subject to the applicable program guide and partner agreement.
Classified as Microsoft Confidential incentive and investment programs
 ISV and hardware investments – drill down
Program Solution Area Purchase Motion Partner Activity Earning Opportunity
Azure Infrastructure, MCA-Enterprise
ISV: Azure Specialist Migrate independent software vendor
App Innovation, New Commerce CSP $7,500 per eligible application
for ISVs applications to Azure
Data & AI Buy Online
Azure Infrastructure, MCA-Enterprise
GISV End-Customer Migrate on-premises install base to
App Innovation, New Commerce CSP $5,000 per customer migration
Migration Accelerator SaaS offerings built on Azure
Data & AI Buy Online

Drive growth for Microsoft Mixed

Mixed Reality Mixed Reality N/A Up to 5%
Reality

Surface PC and Drive growth for Microsoft Surface PC Up to 4%

Surface N/A
Surface Hub and Surface Hub Additional rebates for accessories

*This asset is intended only for reference purposes, as a high-level overview of available incentive opportunities. Program information is subject to change. *Visit the Microsoft partner network for detailed information on
Full details and program requirements are set forth and subject to the applicable program guide and partner agreement.
Classified as Microsoft Confidential incentive and investment programs
 Partner calls to action

Build trust and

collaboration

Engage deeply with customers to Drive value-added services across Collaborate with Microsoft to
recommend solutions best aligned the customer journey, regardless of support customer needs, leveraging
to support customer needs and a customer’s size, segment, or eligible incentive programs across
expectations unique use case the purchasing lifecycle

Classified as Microsoft Confidential

 Next steps to realize value with Microsoft
Contact partner support or your assigned PDM for additional information on how you can maximize your earning opportunity

Discover partner Enroll in eligible Grow your

incentives programs business

Microsoft Partner Incentives Partner Center Microsoft Partner Network

Classified as Microsoft Confidential

 Role of partner investments & incentives
Microsoft partner investment and incentive programs are designed to reward partners when they deliver
strategic solutions to drive exceptional results for customers

14+ Local Cooperative Campaigns

Global
programs programs marketing & custom
funds investments

Opportunity Amplify Co-op Enable

enable partner growth and the global incentive programs for reinvestment focused on partners and strategic
support customer needs as for innovation or in emerging activities across demand growth opportunities with
we increase our overall markets via local campaigns generation, partner readiness, timebound, targeted
investment portfolio and local accelerators and market development investments

Classified as Microsoft Confidential