Monthly Microsoft License Update September 2022
Welcome to the September 2022 instalment of the monthly Microsoft license update from the Version 1 Microsoft License Consulting Team. Each month Microsoft release license changes on their product terms some of these changes will have a material effect with others having no impact whatsoever.
For your convenience, we have uploaded a recording that discusses these changes in more detail.
As Microsoft license experts, my colleagues Niamh NI Shuilleabhain, Richard Ojo, William Nelson and myself will take time to consider and examine these changes, highlighting any Microsoft licensing trends or issues that are around the corner. In this session, we discuss the main changes from the September product terms update, which include the following:
Teams
Audio Services: Microsoft removed Teams Rooms Standard and Premium and added Microsoft Teams Rooms Basic and Pro to the Availability Table. Audio Services are busy with more changes to products and availability (see July when Business Voice for <300 users was dropped).
This month (September 2022) Microsoft has changed the offerings for Teams Rooms availability; dropping the ‘paid for’ Teams Standard & Premium and introducing Teams Rooms Basic & Pro. A Microsoft comparison of features available is detailed here. Microsoft has essentially made Basic a ‘free’ version for small businesses requiring limited Teams Rooms functionality for up to 25 Teams Rooms Devices. Basic will still need to be ordered via web, Microsoft Customer Agreement (MCA) including CSP; and as it is not intended for large organisations it’s not available to license via an Enterprise Agreement enrolment or MPSA program.
When a change of product occurs, customers should expect a change of license from Standard/Premium to simply Pro at renewal and compare costs.
In addition, it’s worth noting that Microsoft will technically enforce license rules for using Teams Rooms devices by July of next year (2023). What do they mean? Customers who use a 365 User account on Teams Rooms Devices in order to use Teams service will no longer be able to do so. Microsoft will enforce that only Teams Rooms Device licenses will be allowed to activate and user accounts will fail.
Privacy & Security Terms:
Microsoft has essentially added Qatar to their list of where customer data is stored at rest for Microsoft 365 services across all of Microsoft’s global cloud locations. This is in line with Microsoft’s current emphasis on the Data Protection Addendum.
Azure
Microsoft updated the ‘Data Box Device & Azure Stack Edge’ terms to focus on user rights and create clarity. There was also a re-wording of terms and conditions for ‘Data Box Device’ and/or ‘Azure Stack Edge Device’ and deployed software, to confirm that the customer is solely responsible for, but not exclusively:
- Data Protection — The customer is responsible for the protection of data, including retaining backup copies of customer data stored on ‘Data Box Device’ and/or ‘Azure Stack Edge Device’ in event of device failure, loss, or destruction.
- Customer Determination of Appropriateness — Customer agrees:
(i) that it is solely responsible for determining the appropriateness of using ‘Data Box Device’ and/or ‘Azure Stack Edge Device’ as set forth in these Additional Terms, and
(ii) that Microsoft shall have no liability to Customer or any other third party for any loss of data or other damages. Furthermore, the customer adheres to the following:
- No Transfer or Access — Customer agrees to not sell, assign, or transfer ‘Data Box Device’ and/or ‘Azure Stack Edge Device’ and will not directly or indirectly (through a third party) view, open, modify, disassemble, or otherwise tamper with ‘Data Box Device’ and/or ‘Azure Stack Edge Device’ (including the Software).
- Accreditation — To the extent that Customer is a governmental entity, Microsoft also grants Customer the right to place ‘Data Box Device’ and/or ‘Azure Stack Edge Device’ through its accreditation processes to meet its needs, including without limitation, accreditation requirements and processes for use in an unclassified, secret, or top-secret domain.
- Software — The Software deployed for use with ‘Data Box Device’ and/or ‘Azure Stack Edge Device’ is licensed, not sold.
From the 1st of October 2022, Microsoft will introduce a range of licensing changes designed to mitigate anti-competition concerns in Europe, by enhancing license Mobility to include Windows Server, Windows Desktop, and the Office suite on dedicated and shared hardware alike within 3rd party hosted environments.
These changes will not apply to listed providers i.e. Alibaba, Amazon and Google. As we approach October 1st we have seen both Amazon Web Services and Google Cloud publicly criticise these forthcoming changes.
Marcus Jadotte, VP Government Affairs and Policy at Google were openly critical on Twitter of Microsoft by stating, “Customers should be able to move freely across platforms and choose the technology that works best for them, rather than what works best for Microsoft.”
Elsewhere within various industry press sources, we saw a strong statement from AWS “Microsoft is now doubling-down on the same harmful practices by implementing even more restrictions in an unfair attempt to limit the competition it faces — rather than listening to its customers and restoring fair software licensing in the cloud for everyone.”
It will be interesting to see how these changes play out in the coming months and beyond from a Listed Providers perspective. Will we see Microsoft extend the same rights to their nearest cloud competitors?
As Microsoft license experts, we can help you simplify these and any other product changes and clarify what this could mean for your license position. If you have any questions relating to this or any other Microsoft licensing matter, please go to our website or contact us.
About the Author:
Karl is a Principal Licensing Consultant at Version 1, providing Microsoft license expertise to organisations globally and ensuring customers get the best value from their Microsoft assets.
