Microsoft 101 Training for Large Account Resellers Microsoft

Microsoft 101 Training for Large Account Resellers Microsoft Volume Licensing Program’s Microsoft Confidential – No Public Release

Agenda Software Assurance and Benefits Open Programs Select Agreements Enterprise Agreements Academic Programs Microsoft Confidential – No Public Release 2

Microsoft Software Assurance Presentation for Large Account Resellers Thomas Kablau Licensing Marketing Manager Microsoft Australia Phone 612 9870 2909 tkablau@microsoft. com Microsoft Confidential – No Public Release

Agenda Software Assurance Overview Software Assurance Features Review Getting Started with Benefits Activation and Management Microsoft Confidential – No Public Release 4

Gain a Competitive Edge with Volume Licensing Microsoft Volume Licensing programs scale to meet customer needs: Offer manageable and cost-effective ways to acquire Microsoft technology to maintain competitive edge. Programs and benefits tailored to fit size and purchasing style. Cost-effective access to Microsoftware. Software Assurance maximizes ROI. Microsoft Confidential – No Public Release 5

What is Software Assurance? “We have added a maintenance offering, called Software Assurance, which far exceeds the traditional upgrade and support contracts within the industry. It's a collection of deployment tools, training, support, employee discounts and product upgrades that provide substantive and measurable business value and help our customers reduce costs. ” - Steve Ballmer, CEO - Microsoft Confidential – No Public Release 6

Enhance Control of Technology Strategy Spread out payments annually and reduce upfront costs. New Version Rights – Rights to license the latest versions at no additional cost. Save on the latest Microsoft technology. Avoid increased costs associated with new version releases – lock in price for term of agreement. “Cold” Backup Server licenses for disaster recovery Microsoft Confidential – No Public Release Availability varies by feature and region. Offerings subject to change. 7

Enhance Control of Technology Strategy Windows Pre-installation Environment Tool based on Microsoft Windows XP Professional that speeds deployment through automation. Allows customers to build custom deployment solutions. Facilitates deployment of consistent configurations. Extended Lifecycle Hotfix—no need to sign an upfront contract for the ability to request a hot-fix in a product’s extended support phase. Corporate Error Reporting Tool to collect information on errors across the Microsoft environment Maps solutions to system failures Gives you control over what data is sent to Microsoft Confidential – No Public Release Availability varies by feature and region. Offerings subject to change. 8

Maximize ROI Training vouchers Selected instructor-led courses using Official Microsoft Learning Products offered at Microsoft Certified Partners for Learning Solutions (CPLS). e. Learning Self-paced online Microsoft training courses. Designed by subject matter experts to be used as traditional training or as just-in-time reference resources. Includes pre-assessment tests to help focus training need. Incorporates multimedia animations, simulations, and demonstrations. Microsoft Confidential – No Public Release Availability varies by feature and region. Offerings subject to change. 9

Maximize ROI cont. Home Use Program Eligible staff may install Microsoft Office System products on home computers for business and personal use. “Anytime, anywhere” work hours. Employee Purchase Program Up to 3 copies of selected software titles at a discount. Contributes to employee satisfaction. Microsoft Confidential – No Public Release Availability varies by feature and region. Offerings subject to change. 10

Increase Business Productivity Problem Resolution Support—web and businesshour telephone support (Server SA) Tech. Net Online Concierge Service— one-on-one live web-chat with a Microsoft support Advisor. Tech. Net Plus — access to up-to-date technical content and managed newsgroups (Server SA). Microsoft Confidential – No Public Release Availability varies by feature and region. Offerings subject to change. 11

Desktop Offerings Open License/ Academic Open Select License/ Academic Select** Open Value (OSL and MYO in EMEA) Select License SAM / Select Academic SAM** Open Value Companywide Option (OSL and MYO in EMEA) Campus/ School Agreement Academic SAM** EA/ EA Subscription Employee Purchase Program Support Tech. Net Online Concierge Chat Tools Windows Preinstallation Environment Tool Corporate Error Reporting Enterprise Source Licensing Program Offerings Productivity New Version Rights Spread Payments Home Use Program (Office) Training e. Learning Training Vouchers * Availability varies by offering and region Microsoft Confidential – No Public Release ** Academic Programs do not include Enterprise Source Licensing Program, Training 12 Vouchers, or EPP and Work at Home replaces Home Use Program

Server Offerings Open License/ Academic Open Select License/ Academic Select Open Value Select License SAM / Select Academic SAM Open Value Companywide Option Campus/ School Agreement Academic SAM EA/ EA Subscripti on ** n. Windows Pre-installation n. Corporate Error Reporting Offerings Productivity n. New Version Rights n. Spread Payments Support n. Problem Resolution Support Web Support for Standard Edition n Business Hour Telephone and Web Support for Enterprise Edition n n Tech. Net Online Concierge Chat n ** Premium Content n. Tech. Net Plus Managed Newsgroups n Tech. Net Plus Subscription Media n n Extended Lifecycle Hot-fix Support Tools Environment Tool n “Cold” Backup for ne. Learning Disaster Recovery Training * Availability varies by offering and region ** Not included with Academic Open/Select *** Requires Platform or Core CAL Microsoft Confidential – No Public Release 13 SA required on both Server and CAL

Long Term Value Proposition Training Vouchers Acquire more upfront and spread payments annually Annual budget and pricing predictability for life of agreement Practical Acquisition Extended Lifecycle Hot-fixes Problem Resolution Support (web and phone) Tech. Net Plus & Tech. Net Online Concierge Chat (knowledge resources) e. Learning Home Use Program Employee Purchase Program Windows Preinstallation Environment (Standard Image) Worker Proficiency & Value to Org Deployment Planning & Execution “Cold” Server Backups Corporate Error Reporting New Version Rights Protect Investment Problem Resolution Support (web and phone) Microsoft Confidential – No Public Release 14

Clarity to Make an Informed Decision “There will be real dollars added to the budget as a result of the SA enhancements. From e. Learning to training vouchers, the total business value of SA is going to far outstrip the cost of the product. ” — Julie Giera, Research Fellow - Forrester Research “The Yankee Group estimates the Software Assurance incremental benefits are worth from $8, 000 - $10, 000 for small businesses with as few as 100 users, to hundreds of thousands - and even millions – of dollars for very large enterprises with more than 100, 000 end users. ” — • Laura Di. Dio, Senior Analyst - Yankee Group Determine potential Software Assurance ROI for your business – SA ROI report by Forrester Research offers analysis based on the real data you input (no cost for analysis). The report will help those with purchasing authority evaluate the financial value of Software Assurance benefits to your business. Access SA ROI report at http: //www. microsoft. com/licensing. Microsoft Confidential – No Public Release 15

Activating and Management of Software Assurance Benefits Access to benefits can be assigned to one or more Benefits Administrators. Assign responsibility for benefits administration Internal Employee from your company (for example, IT administrator or purchasing agent) Trusted technology Partner Centralized benefits administration through Microsoft Volume Licensing Site (MVLS) Manage Software Assurance benefits – Training vouchers & e. Learning Home Use Program and Employee Purchase Program usage Tech. Net Online Concierge & Tech. Net Plus Problem Resolution Support Microsoft Confidential – No Public Release 16

Activating and Management of Software Assurance Benefits Microsoft Volume Licensing Services (MVLS) Online resource to help customers manage your Microsoft licensing agreements and access your licensing order information and purchase history. From this site you can view your licensing information easily and in one place, including details about your Volume License agreements, license orders, and Volume License Product Keys. You can also find answers to questions and download software. To access your agreement information, you must first sign in to Microsoft Passport. https: //licensing. microsoft. com/e. License/L 1033/default. asp Microsoft Confidential – No Public Release 17

Software Assurance BDM Messaging: Clearly Better for Your Bottom Line Software Assurance can help your business be more competitive and agile by: Increasing control over the costs, predictability, and availability of Microsoftware over the term of your agreement. Providing valuable benefits that help you realize ROI faster. Increasing productivity across your entire organization. Decreasing IT costs while increasing independence and maximizing efficiency. Microsoft Confidential – No Public Release 18

Maximize ROI with Predictable Protection Software Assurance provides powerful tools to deploy and manage Microsoft technology and keep your organization productive. A three-year agreement provides forecasting visibility and protection against inflation. Spread payments over three years to predict and manage software costs. Make your software environment more predictable, reliable, and consistent with Software Assurance benefits. Microsoft Confidential – No Public Release 19

Enhance Productivity Realize the full value of your investment in Microsoft technology with home-use rights, employee purchase plans, technical training opportunities, and more. Minimize the time and cost impact of IT support, freeing resources for core business needs. Reduce procurement and record-keeping overhead with a three-year agreement. Maximize IT staff and end-user competency through training and support. Microsoft Confidential – No Public Release 20

Software Assurance Helps Your IT Staff Support the Business Microsoft Software Assurance provides proven resources to enhance control of IT environments, including: The means to support businesses more easily and productively. Tools to train staff and end-users for greater IT self-reliance. Rights to the most current versions of Microsoftware covered. Software Assurance can make your organization more productive by: Providing resources and support for smoother, more manageable deployments. Decreasing support calls with more proficient end users through e. Learning courses. Increasing mobility through home-use and employee purchase rights. Software Assurance: Provides access to assistance and options. Increases IT self-reliance. Reduces costs and provides access to benefits of enhanced Tech. Net. Speeds and simplifies deployment. Increases IT staff proficiency. Reduces the impact of attrition. Reduces help desk overhead. Keeps your IT environment standard and current. Microsoft Confidential – No Public Release 21

Software Assurance: Better Tools for Lower Risk: IT Pro Messaging Microsoft Software Assurance eliminates the need to manage multiple, separate software usage scenarios for: Home use. Disaster-recovery scenarios. Software Assurance maximizes the value of Microsoft Volume Licenses to organizations by: Supporting compliance for home-use scenarios. Simplifying processes for procurement and record-keeping. Reduce business risk and enhance business productivity with contract terms. Indemnification and extended product warranty Use rights for training and evaluation licenses Get support for additional usage scenarios to maximize ROI. Reduce risk exposure with Software Assurance benefits that provide for home use and employee purchases. Lower procurement costs and increase business productivity. Reduce procurement and record-keeping overhead with a three-year agreement. Microsoft Confidential – No Public Release 22

Software Assurance: Streamline Record Keeping: Because it helps simplify procurement and record-keeping processes, Microsoft Software Assurance maximizes the value of Volume Licensing to your organization. With Microsoft Software Assurance, you can eliminate the need to manage multiple, separate software usage scenarios for home use. New version rights enhance software asset management. Work anywhere, anytime. Decrease risk exposure with Software Assurance benefits that provide for home use and employee purchases. Microsoft Confidential – No Public Release 23

Software Assurance: Clear Advantages: Procurement Messaging Microsoft Software Assurance is available to help you maximize the return on your organization’s technology investment. SA helps streamline your procurement and record-keeping processes. Available at time of license acquisition or included by default depending on your Volume Licensing plan Supports compliance for home-use and disasterrecovery scenarios Rights to the most current versions of Microsoftware covered Access to employee purchase plans and online training Microsoft Confidential – No Public Release 24

Questions? Microsoft Confidential – No Public Release 25

Microsoft Open Licensing Programs Thomas Kablau Licensing Marketing Manager Ph – 02 9870 2909 Email – tkablau@microsoft. com Microsoft Confidential – No Public Release

Agenda Brief overview of Open Govt Open Business and Open Volume Open License Value Renewing Open Agreements and Transferring licenses Microsoft Confidential – No Public Release 27

Open License Purchase Plans - Commercial Open Value Stay current with L&SA, spread payments annually, streamline affiliate purchasing with one agreement Open Business Easy entry minimum, up-front orders, broad reseller base Open Volume Compelling value proposition for customers based on a volume commitment Microsoft Confidential – No Public Release 28

Open Government Licensing Additional discount off commercial price for Federal, State and Local agencies 2 year agreement Minimum entry of just one license L or L&SA SKUs available No signed agreement Same channel model and Software Assurance Benefits as Open Business and Volume Microsoft Confidential – No Public Release 29

Open Licence – Business/Volume Positioning Qualifying Criteria How it Works Route to Market Software Assurance Benefits Microsoft Confidential – No Public Release 30

Positioning Low entry threshold – minimum five licenses Simple two-year agreement Media purchased seperately Easier than managing multiple FPPs Customers have access to web-based licence management tool Microsoft Confidential – No Public Release 31

Open Licence Pools Open licence Price Level Initial Open licence purchase order Applications Systems Servers Office XP = 2 points Windows XP Pro upgrade = 2 points Windows Server 2003 = 15 points 500 points 5 licences Open Volume Open Business Microsoft Confidential – No Public Release 32

How It Works Step 1 Write a ‘shopping list’ of products Step 2 Assign each product to the relevant ‘product pool’ Step 3 Assign points to each product Step 4 Add up the points in each product pool separately Step 5 Find your licensing model for each product pool Microsoft Confidential – No Public Release 33

100 x Office XP 250 x Windows XP 2 x Map. Point 2002 4 x Project 2002 1 x Windows 2000 Server 1 x Front. Page 2002 1 x Exchange 2000 Server 100 x Exchange 2000 CAL Microsoft Confidential – No Public Release 34

How It Works Step 1 Write a ‘shopping list’ of products Step 2 Assign each product to the relevant ‘product pool’ Step 3 Assign points to each product Step 4 Add up the points in each product pool separately Step 5 Find your licensing model for each product pool Microsoft Confidential – No Public Release 35

AP P L I C AT I O N S SY ST E M S SE R V E R S 100 x Office XP 2 x Map. Point 2002 4 x Project 2002 1 x Front. Page 2002 250 x Windows XP Pro 1 x Windows 2000 Server 1 x Exchange 2000 Server 100 x Exchange 2000 CAL Microsoft Confidential – No Public Release 36

How It Works Step 1 Write a ‘shopping list’ of products Step 2 Assign each product to the relevant ‘product pool’ Step 3 Assign points to each product Step 4 Add up the points in each product pool separately Step 5 Find your licensing model for each product pool Microsoft Confidential – No Public Release 37

AP P L I C AT I O N S SY ST E M S SE R V E R S 100 x Office XP 100 x 2 points = 200 2 x Map. Point 2002 2 x 1 point = 2 4 x Project 2002 4 x 1 point = 4 1 x Front. Page 2002 1 x 1 point = 1 250 x Windows XP 250 x 2 points = 500 1 x Windows 2000 Server 1 x 15 points = 15 1 x Exchange 2000 Server 1 x 15 points = 15 100 x Exchange 2000 CAL 100 x 1 point = 100 Microsoft Confidential – No Public Release 38

How It Works Step 1 Write a ‘shopping list’ of products Step 2 Assign each product to the relevant ‘product pool’ Step 3 Assign points to each product Step 4 Add up the points in each product pool separately Step 5 Find your licensing model for each product pool Microsoft Confidential – No Public Release 39

100 x 2 points = 200 2 x 1 point = 2 4 x Project 2002 4 x 1 point = 4 1 x Front. Page 2002 1 x 1 point = 1 Total = 207 SY ST E M S 2 x Map. Point 2002 250 x Windows XP 160 x 2 points = 500 SE R V E R S AP P L I C AT I O N S 100 x Office XP 1 x Windows 2000 Server 1 x Exchange 2000 Server 100 x Exchange 2000 CAL Total = 500 1 x 15 points = 15 100 x 1 point = 100 Total = 130 Microsoft Confidential – No Public Release 40

How It Works Step 1 Write a ‘shopping list’ of products Step 2 Assign each product to the relevant ‘product pool’ Step 3 Assign points to each product Step 4 Add up the points in each product pool separately Step 5 Find your licensing model for each product pool Microsoft Confidential – No Public Release 41

OPEN VOLUME 500 Applications 500 Systems Servers OPEN BUSINESS OPEN VOLUME – required 500+ per pool OPEN BUSINESS – no points, no pools, just a minimum of 5 licences Microsoft Confidential – No Public Release 42

Route to Market e. Open Order Invoice Customer Invoice Order Reseller Microsoft Confidential – No Public Release 43 Distributor

Software Assurance Entirely optional purchase with Open licence Available for all products Linked to term of agreement (two years) • Start new agreement to buy SA Paid for at point of purchase Coverage expires with agreement Renewable in two-year blocks Microsoft Confidential – No Public Release 44

Open Licence Value Positioning How it Works Route to Market Microsoft Confidential – No Public Release 45

Positioning 3 Year Agreement Low entry threshold – minimum five licenses Benefits – Stay current Spread payments Bundled training and support tools (SA) Free media with initial order Standardisation advantages – Company Wide Option Microsoft Confidential – No Public Release 46

Open License Value - CWO Single price per desktop for standardising on one or more of the Platform Products Further discounted price for enrolling in Desktop Pro Microsoft Office Professional Windows Professional Upgrade Core CAL Windows CAL Exchange CAL SMS CAL Share. Point™ CAL Microsoft Confidential – No Public Release 47

Route to Market MVLS Invoice MSA Order Fee payment Order Invoice ALP Customer Microsoft Confidential – No Public Release 48

START Does the customer want to purchase L&SA, and spread their payments annually? No Recommend Open Business or Open Volume How many desktops does the customer have? Yes >250 Possibly Select or Enterprise Agreement <250 Does customer show interest in – • Growth Management? • Standardisation? • Asset Management? • Centralised purchasing? Microsoft Confidential – No Public Release 49 No Recommend Open License Value Yes Recommend OLV Company Wide Option

Open Business/Volume Renewals Microsoft Confidential – No Public Release 50

Open Value Renewals Microsoft Confidential – No Public Release 51

Open Value CWO Renewals Microsoft Confidential – No Public Release 52

Microsoft Select Agreement Presentation for Large Account Resellers Mike Parker Licensing Specialist Microsoft Australia Microsoft Confidential – No Public Release

Select Licence The purpose of this presentation is to: • specify what is involved in a Select Licence agreement • identify which products qualify • explain how to determine pricing levels • outline payment structure Microsoft Confidential – No Public Release 54

Positioning Transactional program Three year agreement with optional one-year or three-year renewal Perpetual licences 250+ PCs Volume-based pricing Flexibility • Monthly ordering • No commitment Microsoft Confidential – No Public Release 55

Software Programs Three product pools • Applications: Microsoft Office products and development tools • Systems: Windows Professional Upgrade • Servers: Server licences, Client Access licences, Connectors Choose between: • Licence-only (L) • Licence with Software Assurance (L & SA) • Software Assurance-only (SA) Work At Home licences Licences for training and evaluation Microsoft Confidential – No Public Release 56

Pools and Points Applications Office Pro L/SA Excel Project Systems 5 1 2 Windows XP upgrade Servers 2 Windows 2003 15 Server SQL Server Std Per 50 Proc L/SA Licence Types New licences Windows Pro Upgrade Software Assurance Microsoft Confidential – No Public Release 57

Forecast and Price Level A Level B Level C Level D Applications Level C Systems Level A Servers Level B 1. 500 12. 000 30. 000 75. 000 Points (3 years) Microsoft Confidential – No Public Release 58

Points Volume vs. Forecast Level D Level C Level B Level A AGREEMENT TERMINATED Microsoft Confidential – No Public Release 59 75. 000 30. 000 12. 000 1. 500

Select Agreement with Affiliates Microsoft Business Agreement (MBA) Microsoft Select Agreement Product pools Forecast and price levels Microsoft Select Enrolment Customer affiliate(s) Microsoft Large Account Reseller Microsoft Confidential – No Public Release 60

Select Agreement with Outsourcing Microsoft Business Agreement (MBA) Microsoft Select Agreement Product pools Forecast and price levels Microsoft Select Enrolment Customer affiliate(s) Microsoft Outsourcer Large Account Reseller Microsoft Confidential – No Public Release 61

Large Account Reseller Customer Microsoft Confidential – No Public Release 62 Ordering & invoicing Contract and price level Indirect Route to Market

What Is Not Permitted? • • Enrolment by orgs with < 50% ownership Reselling Aggregation: e. g. franchises, clubs etc Lending, leasing, renting or hosting (only via Outsourcing Enrolment) Microsoft Confidential – No Public Release 63

Transferring Select Licences In the event of a merger, divestiture, or acquisition To an affiliate Other transfers require Microsoft’s consent in writing Microsoft Confidential – No Public Release 64

Software Assurance Optional purchase with Select licence • Mandatory if Software Assurance Membership Available for all products Obtain for remaining duration of Select Agreement (1, 2 or 3 years) Amortized payments of L & SA and SA-only Coverage expires with agreement Renewable Microsoft Confidential – No Public Release 65

Software Assurance Desktop Offerings OFFERINGS PRODUCTIVITY New Version Rights Spread Payments Home Use Program (Office) Select licence SAM Employee Purchase Program SUPPORT TOOLS Tech. Net Online Concierge Chat Premium Content Win. PE Corporate Error Reporting TRAINING Enterprise Source Licensing Program e. Learning Training Vouchers Microsoft Confidential – No Public Release 66

Software Assurance Server Offerings Select licence SAM = Web Support for Standard Edition = Business Hour Telephone and Web Support Tech. Net Online Concierge Chat OFFERINGS PRODUCTIVITY New Version Rights Spread Payments SUPPORT Problem Resolution Support for Enterprise Edition Tech. Net Plus = Managed Newsgroups = Tech. Net Plus Subscription Media Extended Lifecycle Hot-Fix Support TOOLS Win. PE Corporate Error Reporting TRAINING e. Learning SA required on both Server and CAL Microsoft Confidential – No Public Release 67

Support Tools explore. ms MVLS Microsoft Confidential – No Public Release 68

Select License Summary Feature Benefit Transactional Flexibility to buy licences if and when needed Monthly ordering Less overhead than FPP or Open licence Initial pricing based on volume forecast Immediate savings and no initial purchase order required Optional Software Assurance Predictable costs of new versions Single agreement for all affiliates Economies of scale and manageability Microsoft Confidential – No Public Release 69

When to Offer Transactional Programs Customer cannot commit to entity-wide standardisation Customer doesn’t want Software Assurance (SA) Customer doesn’t want Office Professional Customer doesn’t want Core Client Access Licence (CAL) In addition to an annuity-based program for obtaining additional products Microsoft Confidential – No Public Release 70

Questions? Microsoft Confidential – No Public Release 71

Academic Licensing Programs Andrea Mc. Donald Academic Licensing Specialist 02 9870 2913 0404 827 876 andreamc@microsoft. com Microsoft Confidential – No Public Release

Agenda User Definitions Program Options Perpetual Agreements Campus Agreement and School Agreement (CASA) Software Assurance Benefits Select Student Licensing Microsoft Confidential – No Public Release 73

Academic User Definitions Guideline link*: http: //www. microsoft. com/australia/education/howtobuy/meud/institutions. aspx Educational Institution Administration offices/Board of studies Students Education systems/consortia Higher Education Research Labs Public Libraries Charitable Organisations * May be updated with new agreements Microsoft Confidential – No Public Release 74

Academic Licensing Programs 4 licensing models for Academic customers Transactional licensing: Perpetual Academic Select (L) Academic Open (L) Software Assurance available (L+SA) *Subscription licensing: Non-perpetual Campus Agreement – Higher Education School Agreement -- K 12/Primary grades *Includes all the benefits of Software Assurance. Microsoft Confidential – No Public Release 75

Transactional Licensing – Open Agt Perpetual licenses Paying for ownership Academic Open License 2 yr term Widely accessible through any reseller Software Assurance optional. Media separately orderable. Microsoft Confidential – No Public Release 76

Transactional Licensing – Select Agt Perpetual licenses Paying for ownership Academic Select License 3 yr term Large Account Reseller (LAR) Forecast license model (1500 pts) Approximately 250 or more PCs Software Assurance optional Microsoft Confidential – No Public Release 77

Is a Subscription Agreement For You? Are you looking for a simple and flexible licensing agreement? Are you looking for a complete solution to software compliancy? Are you interested in receiving product upgrades at no additional cost? Do you like the idea of one annual payment? Do you want support resources, tools, and training for no extra charge? Microsoft Confidential – No Public Release 78

Subscription Licensing - CASA Easy compliance All eligible devices included. Low administration Subscription eliminates need to track licenses. Stay current on technology Subscription allows the most current version of the software products. Simple budgeting and purchasing One annual payment. Excellent value Cost effective way to use the license & access to current technology. SA Benefits § including support resources, tools, and e. Learning courses. Microsoft Confidential – No Public Release 79

Subscription Licensing - School Agreement K-12 Subscription Licensing Program Commitment based 300 Points Simple Agreement Structure Master Subscription Enrolment Anniversary orders Desktop Calculations Pricing Levels Flexible Product Selection Staff Work At Home Rights template Student Licensing Option Microsoft Confidential – No Public Release 80

Meet Minimum Order Requirements - SA Example: School Agreement customer with 100 eligible PCs Selects Office Professional, Front. Page, and Core CAL Selects two Class Server Licenses Adds application, system, and CAL units to server units to determine total units Microsoft Confidential – No Public Release 81

Subscription Licensing - Campus Agreement Higher education subscription program Commitment based 300 Points Simple agreement structure Master Subscription Enrolment Anniversary orders FTE Calculations Pricing Levels Flexible product selection Staff Work At Home rights template Student licensing option (100%) Microsoft Confidential – No Public Release 82

Meet Minimum Order Requirement - CA Example: University with 300 FTE Selects Office Professional Selects 2 SQL Server Standard Processor Licenses Adds application, system, and CAL units to server units to determine total units Microsoft Confidential – No Public Release 83

What’s the process? Complete a CASA* Specify your FTE or D/top count** Choose the Microsoft products and meet the minimum order requirement Submit the Subscription Enrolment *if a 3. x has been signed no need to re submit ** depends on the Agreement type Microsoft Confidential – No Public Release 84

Student Select Enrolment Must have an Academic Select Agreement Extension of VL to students Products offered: Office Pro & STD Win XP Pro Upgrade Perpetual license (no SA) Min 25 licenses Administration & records Microsoft Confidential – No Public Release 85

Software Assurance Benefits* SA Benefits links: http: //www. microsoft. com/licensing/programs/sa/offerings_chart. mspx http: //www. microsoft. com/education/Software. Assurance. aspx Tech. Net Plus** Tech. Net Online Concierge Chat** Microsoft Windows Preinstallation Environment (Win. PE) Corporate Error Reporting Extended Lifecycle Hot-Fix Support Cold Back Up for DR e. Learning * additional SA Benefit to be released ** must have a min of 5 Servers in CASA Microsoft Confidential – No Public Release 86

And finally…. CASA 3. 4 Academic Select 6. 4 Charity Open Available from MAY 16 th Existing Agts will run for 120 days from launch Microsoft Confidential – No Public Release 87

Questions? Microsoft Confidential – No Public Release 88

Enterprise Agreement Sales Cycle April 2005 Robert Vogler National Licensing Manager Microsoft Confidential – No Public Release

Agenda Enterprise Agreement & Subscription Agreement Basics Basic Qualifying Steps Engagement Processing Checklist Resources Available Microsoft Confidential – No Public Release 90

Enterprise Agreement & Subscription EA Basics Microsoft Confidential – No Public Release

What is an Enterprise Agreement? Microsoft’s premier perpetual software licensing program that allows our strategic customers to take advantage of the savings that can be realised through their commitment to standardisation and maintenance of software across their entire enterprise. Microsoft Confidential – No Public Release 92

Product Offerings All EAs contain Software Assurance as a mandatory component There is not such thing as a “license only” EA. Platform Enterprise Products Chosen Enterprise Products must be ordered for all qualifying desktops Component or Platform EA Office Professional Windows Pro Upgrade Core CAL Desktop Professional = ALL of above Additional Products All other products that have coverage for Software Assurance are available as Additional Products. Qty of 1 or more can be ordered. Microsoft Confidential – No Public Release 93

Enterprise Agreement 6 Features Benefits Savings on standardisation Lower cost of ownership Additional products through the EA. Can be added at any time during term. Easier to manage licences under single agreement Fixed pricing for products added at signing for the term of the enrolment Increased budget certainty & price protection Load (previously ordered) software when you need it and report annually Easier deployment, simplified budgeting and administration. Annual payments Budgeting certainty, lower administration Software Assurance Membership All Software Assurance benefits entity-wide Access to evaluation copies of product Ensure that the product will fit your requirements prior to purchase Access to training copies of product Help to ensure that staff get maximum return on investment Local empowerment flexibility Ability to better tailor licensing solution to customer need Microsoft Confidential – No Public Release 94

What is a Subscription Enterprise Agreement? Microsoft’s premier non-perpetual software licensing program that allows our strategic customers to take advantage of the savings that can be realised through their commitment and standardisation of software across their entire enterprise. Microsoft Confidential – No Public Release 95

Enterprise Subscription Agreement Feature Benefit Savings on standardisation Lower cost of ownership Additional products through the EA. Can be added at any time during term. Easier to manage licences under single agreement Fixed pricing for products added at signing for the term of the enrolment Increased budget certainty & price protection Load (previously ordered) software when you need it and report annually Easier deployment, simplified budgeting and administration. Annual payments Budgeting certainty, lower administration Software Assurance Membership All Software Assurance benefits entity-wide Access to evaluation copies of product Ensure that the product will fit your requirements prior to purchase Access to training copies of product Help to ensure that staff get maximum return on investment Annual reporting of quantities (up or down) Accommodates fluctuation in usage (acquisition/divestiture) Buy-out option Safety net at end of term/move to perpetual Local empowerment flexibility Ability to better tailor licensing solution to customer need Microsoft Confidential – No Public Release 96

Matrix - EA/EA Subscription Features EA EA Subscription Savings on standardisation Yes Additional products through the EA Yes Fixed pricing for products added at signing for the term of the enrolment Yes Load (previously ordered) software when you need it and report annually Yes (True Up) Yes Fixed pricing for products added at signing for the term of the enrolment Yes Flexibility to decrease quantities No Yes Access to evaluation copies of product Yes Access to training copies of product Yes Buy-Out Option Not Applicable Yes Perpetual Licence at end of term Yes No SA-only pricing from second term Yes Not Applicable (no ownership) Local empowerment flexibility Yes Microsoft Confidential – No Public Release 97

Direct v Indirect Microsoft sells EAs through 2 distinct sales models in Australia Commercial EAs are all Direct Pricing is set by Microsoft Regional Sales (MRS) § Customer Price Sheet Customer is invoiced by, and pays, MRS pays channel partner a fee to provide licensing services Government EAs are Indirect Pricing is agreed between reseller (LAR) and customer § Channel Price Sheet to LAR from MRS Customer is invoiced by, and pays, LAR pays MRS and retains a margin Microsoft Confidential – No Public Release 98

Basic Qualifying Steps Microsoft Confidential – No Public Release

General Approach Lead with MS Technology Qualification first…Do NOT lead with Licensing. Ø You need to be satisfied the customer has bought into our product value proposition before anything else. Do not try and put a square peg in a round hole Ø Ø Not all customers see the value in maintenance across their entire enterprise (even when SA Benefits are included) Software Assurance in key business areas thru Select may be a more appropriate approach. We will not sign up EAs at any cost Properly qualify a customer as an EA candidate before contemplating any further action (see next slides) Ø Ø Ensure the customer answers all the basic qualifying questions (positively) before proceeding down EA model Second guessing only leads to hard work and bad deals Microsoft Confidential – No Public Release 100

Basic Qualifying Questions þ Does the customer have > 250 PCs Ø Ø Minimum EA commitment is 250 PCS If all other qualifying questions are positive, customer may be good OPEN Value – Enterprise-wide Option candidate þ Can the customer commit to covering their entire enterprise with a/multiple Microsoft Platform product Ø The more platform products the customer commits to, the stronger the candidate þ Can the customer commit to annual payments for an agreement term of minimum of three years Ø If customer has difficulty with the 3 yr term because of unpredictable growth, then a Subscription-based agreement may be more suitable þ Does the customer see the value of standardising on Office, Windows O/S, Core CAL, across their entire organization Ø Fundamental: If the customer does not have a strong positive position on standardisation, then this customer is not a candidate for an EA. Microsoft Confidential – No Public Release 101

Basic Qualifying Questions (Cont. ) þ Does the customer believe IT play a critical role in the success and competitive advantage of the business. Ø Customer may only see IT as a necessary evil and only be looking at ways to cut purchasing costs. Typically only value they will see is to push for lowest price. þ Does the customer see the value in staying current Ø Ø Fundamental: As a key component to EA is maintenance, if customer does not see value in being at latest version of technology, this is not an EA candidate EAs should not be viewed as the cheapest way to get to the next scheduled version, with a view to then ceasing coverage. þ Does your primary customer contact make a signed commitment on behalf of the customer Organisation Ø Fundamental: If not, then seek out the key authority and re-qualify the questions above þ Does your customer have adequate budget for the initial annual payment if an EA is signed. Ø Potentially a negotiation consideration. Customer cannot defer annual payments…so flexible payment plan needs to be considered and factored into overall list of concessions. Need to call this out as early as possible in the sales cycle. Microsoft Confidential – No Public Release 102

Further Qualifying/Prioritisation Questions þ Does customer find it license/Software Asset Management difficult Ø Explain key EA features of simplification, and ease of license administration/tracking þ Does the customer have/had issues of non-compliance Ø Ø An EA can be a good mechanism for a customer to “finance” their way out of a major compliance issue Explain key EA features of simplification, and ease of license administration/tracking þ Is there strong growth/deployment potential over the next 35 years Ø Ø Ø EA Offers predictable annual payment and true-up schemes for high growth customers Ability to deploy covered products immediately, and pay for any incremental copies at anniversary Explain key EA features of simplification, and ease of license administration/tracking þ Does the customer have a centralised purchasing model Ø Ø Ø Key question to influence final structure of EA and potential length of sales cycle. Centralised purchasing model is best Decentralised model introduces, fragmentation of EA deal, as different divisions want different components (or not at all). Requires more effort (longer sales cycle), and greater risk of one division derailing the whole EA concept Microsoft Confidential – No Public Release 103

Further Qualifying/Prioritisation Questions (cont. ) Clearly identify customer’s key EA value hot-buttons to determine strength of EA potential: Access to most recent versions of Platform (and Additional products) Access to Software Assurance Benefits elements (prioritise actual components the customer sees value in) Lower Total Cost of Ownership Reduced risk of non-compliance Simplified License tracking Simplified Budgetary Planning Facilitation of long-term relationship with MS Pricing Microsoft Confidential – No Public Release 104

Engagement Process Microsoft Confidential – No Public Release

Engagement Principles The Licensing Partner should be engaged early in Sales Cycle To provide background licensing information To develop Select vs EA comparison models Jointly develop licensing value proposition Engage Licensing Specialists only when customisation is necessary Include SA Benefits messaging in every engagement As a minimum, build core Services into every deal upfront Identify key stakeholders and key road blocks Develop EA Evaluation Plan Microsoft Confidential – No Public Release 106

Sample EA Evaluation Plan Event Date Go/No Go Action Customer to select LAR/ESA 27 Aug Complete Credit Application & send for approval 27 Aug * Customer Have legal review Microsoft agreements 3 Sept * Customer Finalise Products & Quantities 3 Sept Customer/ ESA Generate Preliminary Customer Price Sheet for review 6 Sept MS Finalise Customer Price Sheet 8 Sept Generate amendments (start date, SA, underlying Lic) 8 Sept MS Fill out Agreement paperwork 10 Sept MS/ESA Sign agreements & amendments 10 Sept * Customer Raise PO on MS Regional Sales 10 Sept * Customer Submit paperwork to MS Sydney for Review 15 Sept * ESA Microsoft Confidential – No Public Release 107 Customer * MS

Engagement Gotchya’s! Identify and engage with the key decision-makers in the business as early as possible. Are any major decision makers/influencers going to be absent during the negotiations? Identify and build into lifecycle timeline Does this deal require Board-Level Approval? Identify board meeting schedule, and key customer advocate who will present to Board Are there any customer re-organisations being rumoured/threatened Incorporate into negotiation strategy Is the licensing partner in synch with account team strategy, or is there a potential for each to be offering a different licensing model Microsoft Confidential – No Public Release 108

Negotiation Checklist Microsoft Confidential – No Public Release

EA Negotiation Principles Get all requests/concessions out on the table before we start to negotiate Negotiate the T&Cs at the same time as the financials Develop a negotiation strategy in conjunction with Licensing Specialist before committing to any concessions You must be convinced of the importance of the requested concession before engaging the Licensing team Don’t just be a pass-thru mechanism for the customer wish-list Ensure MS Account Team supports your negotiation strategy Always look to counter a price concession request with a value argument Follow “Give & Get” approach Do not devalue a concession by not getting something in return “We’ll get the deal if we give this” = Wrong Answer Remember: The Licensing Specialist is prepared to walk away from the EA if they believe it is a bad deal for Microsoft. Consider; Long-term effects, Precedence Microsoft Confidential – No Public Release 110

Agreement Structure Microsoft Confidential – No Public Release

Enterprise Agreement Contracts Microsoft Business Agreement (MBA) = Master Ts & Cs for all subsidiary contracts. = Evergreen. Only needs to be signed once. = Government EAs use GITC in place of MBA Enterprise Agreement Program Rules Enterprise Enrolment Defining the Enterprise - who’s in and who’s out Product Selection and Pricing (indirect) Independent 3 year term Supply Agreement (Direct only) Product Selection and Pricing Enterprise Subscription Agreement Program Rules Enterprise Subscription Enrolment Defining the Enterprise - who’s in and who’s out Product Selection and Pricing (indirect) Independent 3 year term Supply Agreement (Direct only) Product Selection and Pricing Amendments = Any of the above contracts may have a separate amendment to alter specific Ts & Cs Microsoft Confidential – No Public Release 112

Contracting Entities Microsoft Operations Pte Ltd Regional licensor of Microsoft products. Microsoft Regional Sales Regional distributor of Microsoft Products. Microsoft Institute Pty Ltd Australian company who licenses and distributes Federal Government EA licences. Microsoft Confidential – No Public Release 113

Microsoft Operations (MO) Regional licensor of all Microsoft products Commercial customers enter contracts with MO for the right to use MS software MBA Enterprise Agreement Enterprise Enrolment Enterprise Subscription Agreement Enterprise Subscription Enrolment Select Agreement Select Enrolment Microsoft Confidential – No Public Release 114

Microsoft Regional Sales (MRS) Regional distributor of all Microsoft products Commercial customers enter contracts with MRS for the supply of products and media Enterprise Supply Agreement Customer Price Sheet Large Account Resellers pay MRS for all Indirect agreement licences State and Local Government EAs Legacy commercial indirect EAs Via Channel Price Sheet Select Microsoft Confidential – No Public Release 115

Processing Checklists Microsoft Confidential – No Public Release

Contract Hierarchy (Direct) MBA Select Agreement Enrolment Enterprise Subscription Agreement Enterprise Agreement Enrolment Supply Agreement (MRS) Microsoft Confidential – No Public Release 118

Enterprise Agreement (Direct) þ þ þ þ MBA active? þ If not, new MBA v 6. 3 will need to be signed. Most commercial customers should have MBAs by now. Credit Application Approved by MRS and SAP account established? þ Account Profile document required if customer refuses to release financial results or other information Enterprise Agreement v 6. 3 þ EA 6. 3 caters for both Direct and Indirect enrolments Enterprise Enrolment v 6. 3 (Direct) þ Designate previous enrolment number if SA-only renewal Supply Agreement (per enrolment) v 6. 3 Customer Price Sheet (CPS) þ Attachment to Supply Agreement þ Signed by Customer Purchase Order þ Must match CPS þ Made out to MRS 2 original copies of all contracts must be provided Microsoft Confidential – No Public Release 119

Enterprise Subscription Agreement (Direct) þ MBA active? þ þ Credit Application Approved by MRS and SAP account established? þ þ þ Attachment to Supply Agreement Signed by Customer Purchase Order þ þ þ EA Subscription 6. 3 caters for both Direct and Indirect enrolments Enterprise Subscription Enrolment v 6. 3 (Direct) Supply Agreement (per enrolment) v 6. 3 Customer Price Sheet (CPS) þ þ Account Profile document required if customer refuses to release financial results or other information Enterprise Subscription Agreement v 6. 3 þ þ If not, new MBA v 6. 3 will need to be signed. Most commercial customers should have MBAs by now. Must match CPS Made out to MRS 2 original copies of all contracts must be provided Microsoft Confidential – No Public Release 120

Contract Hierarchy – Government (Indirect) MBA/GITC /VSS GOLP Agreement LAN Enterprise Subscription Agreement Enterprise Agreement LAN Enrolment Microsoft Confidential – No Public Release 121 Enrolment

Enterprise Agreement (Indirect) State & Local Government (except Sth Aust) þ þ þ þ GITC active and current? þ GITC agreements have set time spans. Enterprise Agreement v 6. x active and current? þ Government agencies may be able to enrol under Whole of Government Master þ Each State government has own negotiated Enterprise Agreement version linked to GITC. Enterprise Enrolment – v 6. 1 (Indirect) þ Designate previous enrolment number if SA-only renewal þ Use standard indirect enrolment (no specific government enrolments) Enterprise Enrolment Amendment v 6. x (Indirect) þ Sets pricing to Local Government level D Channel Price Sheet (CPS) þ Signed by LAR Purchase Order þ Must match CPS þ Made out to MRS 2 original copies of all contracts must be provided Microsoft Confidential – No Public Release 122

Enterprise Subscription Agreement (Indirect) State & Local Government (except Sth Aust) þ þ þ þ GITC active and current? þ GITC agreements have set time spans. Enterprise Subscription Agreement v 6. x active and current? þ Government agencies may be able to enrol under Whole of Government Master (if signed) þ Each State government has own negotiated Enterprise Subscription Agreement version linked to GITC. Enterprise Subscription Enrolment – Indirect V 6. 1 (indirect) þ Designate previous enrolment number if SA-only renewal þ Use standard indirect enrolment (no specific government enrolments) Enterprise Subscription Enrolment Amendment v 6. x (Indirect) þ Sets pricing to Local Government level D Channel Price Sheet (CPS) þ Signed by LAR Purchase Order þ Must match CPS þ Made out to MRS 2 original copies of all contracts must be provided Microsoft Confidential – No Public Release 123

Resources Available Microsoft Confidential – No Public Release

Resources Available (cont) http: //www. microsoft. com/licensing Current PUR Current Product List SA Benefits Licensing Briefs: http: //www. microsoft. com/licensing/resources/volbrief. mspx Product Licensing Web “PL Web” (available soon) Searchable by product Aggregates PUR, Product List and Licensing Briefs Product Licensing Summary Archived PUR Microsoft Confidential – No Public Release 127

Questions? Microsoft Confidential – No Public Release 128