Microsoft Cloud Solution Provider changes

Effective October 1, 2022, new changes within the Microsoft Cloud Solution Provider (CSP) are being implemented. This concerns Microsoft’s outsourcing and hosting terms.

Added customer benefits will enable new scenarios for how they can license and run workloads with Cloud Solution Providers, such as SCHNEIDER IT MANAGEMENT. This excludes so called Listed Providers, such as Alibaba, Amazon Web Services, Google, and Microsoft.

The following changes give customers more choices, and make working with partners for hosted cloud easier, whether customers bring their licenses or get them from a partner.

  • Flexible Virtualization benefit: Microsoft introduces a new Flexible Virtualization benefit for customers that greatly expands customer choice when outsourcing. Under this benefit, customers with Software Assurance or subscription licenses will be able to use their own licensed software to build and/or install solutions and run them on any CSP’s infrastructure—dedicated or shared. Hence, customers can work with partners in the Cloud Solution Provider program to get pre-built hosted desktop and server solutions and either bring their own license or get the license from the partner. A Microsoft Customer Agreement with the participating partner and proof of license will be required to run these hosted solutions. This benefit will be available beginning October 1, 2022.
  • New option for customers with Software Assurance or subscription licenses to license Windows Server on a virtual core basis: Under this model, customers can buy licenses for only the virtual cores they need (subject to a per Virtual Machines (VM) minimum), without being tied to a physical number of cores on the server. With the virtual core licensing option, customers can license Windows Server by the number of virtual cores they are using in virtual machines, making Windows Server easier to license when virtualizing or outsourcing.
  • Easier virtualization of Windows 10 or Windows 11: Microsoft eliminates the Virtual Desktop Application (VDA) add-on license requirement for Microsoft 365 F3, Microsoft 365 E3, and Microsoft 365 E5 users who want to virtualize Windows 10 or Windows 11 on servers and don’t have a primary Windows Pro device.
  • One- and three-year subscriptions: Customers will have the choice of one- and three-year subscriptions for many products including Windows Server, Remote Desktop Services (RDS), and SQL Server, through partners in the Cloud Solution Provider program, to offer price stability with long-term subscriptions.

With these changes, customers have additional choices to deploy their solutions with more flexibility.

For the announcement of these changes in the Microsoft CSP program, please visit:

For software licensing information on Microsoft products, please visit:

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