SQL Server Licensing Price Increase

We have done a significant amount of work with clients recently preparing them for the changes that Microsoft made to SQL Server licensing.  Contrary to how Microsoft has positioned these changes in the market, most of our clients have faced price increases of 50% to 100% or more on their SQL Server licensing costs!

SQL Server 2012 License Changes

During the launch of SQL Server 2012 we were given the impression that SQL was transitioning to Core based licensing to allow clients the opportunity to purchase based on capacity.  In other words, as servers become more powerful and virtualization becomes more prevalent – clients can virtualize their SQL Servers and license based on capacity (Cores in use in Virtual environments) or license all cores in a server and have unlimited virtualization rights (requires SQL Enterprise with active Software Assurance).  On the surface the concept seems to make sense and promises savings, but in practice it costs clients more for their SQL Server licensing. 

Consider the following:

1 SQL Processor license = 4 SQL Core licenses

SQL Server Core Factor

SQL Servers That Are Not Impacted

For older servers there is really no price difference as most of those servers are running less than 4 cores per processor (we will ignore the impact of SQL Enterprise Server/CAL model disappearing for now) and the price is the same.  For more details on how SQL Server 2012 licensing works you can download the SQL 2012 Licensing Guide here.

Servers not impacted

SQL Servers That Are Impacted

The challenge is that most new servers are running 6 or more cores per processor (many as high as 32+ cores per processor) and for each of these your licensing costs continue to multiple.

The only way to avoid this multiplying licensing cost effect of Cores is to consolidate and virtualize your SQL Servers.  This is easier said than done as many of the applications that reside on these servers do not allow for deployment under these scenarios.

How Will SQL Pricing Changes Impact Users?

Let’s take a look at a hypothetical client (these clients exist out there):

Here is the scenario:

  • In 2nd year of an Enterprise Agreement
  • Currently have SQL Standard Servers, SQL Enterprise Server and CALs (for all users) on their EA
  • Have a SQL Standard Server Processor license but no SQL Enterprise Processor and no step-up option (to allow a move from SQL Standard to Enterprise)
  • Deploying a new “internal use only” SQL 2012 Enterprise that will be on a cluster of 2 servers with 32 cores each (total of 64 cores) deployed physically
  • Would normally purchase a SQL Enterprise Server and use all their CALs that they currently own to license this application

Worried that you are not licensing SQL Correctly?

Click here for information on our SQL Server License Optimization services.  

 

 

SQL Enterprise Server CAL Eliminated

Upon the launch of SQL 2012 Microsoft eliminated SQL Enterprise Server/CAL option. The only way to purchase SQL 2012 Enterprise is via Core licenses.

SQL Server CAL

SQL Server/CAL Licenses

Can’t this EA customer just use their SQL Server Enterprise Server CAL licenses?  That’s a great question! Let’s look at what the SQL Server 2012 licensing rules state for this client:

“SQL Server Enterprise Edition Customers Licensed Under the Server+CAL Model

As of July 1, 2012, Microsoft will no longer be offering SQL Server Enterprise Edition under the Server+CAL license model. Current customers with active SA coverage for existing SQL Server 2008 R2 Enterprise Edition server licenses should consider the following when transitioning to SQL Server 2012:

SQL Server 2012 Enterprise Edition server licenses will be available on price lists through June 30, 2012. EA and EAP customers with active agreements on this date can continue purchasing new licenses until the end of their current term.

After their current term expires, SA coverage can be renewed and maintained on SQL Server Enterprise Edition server licenses to provide continued access to SA benefits, including License Mobility rights and access to future releases.”

Sounds good so far, doesn’t it?  

Lets continue:

“SQL Server 2012 Enterprise Edition software licensed under the Server+CAL model is restricted to only run on servers with a total of twenty cores or less: There are now two versions of SQL Server 2012 Enterprise Edition software: a server-based version and a core-based version. Customers must run the software version for which they are licensed.

For customers running SQL Server 2012 Enterprise Edition server-based software instances in a physical environment, that OSE is only permitted to access a maximum of twenty physical cores. A per instance technical limit is also enforced.”

WHAT!!!!  They limit it to 20 Cores?????

Yes that is correct! This customer cannot license their new deployment via server/CAL even though they have an active EA because the server will use more than 20 cores (they are running 32 Core servers).

 

 

How Much Does SQL Server Cost Now?

Under an EA Level A they would have trued up 2 x SQL Server Enterprise for approximately $30,000 total (for the 2 licenses)

But instead:

Microsoft’s suggested solution is to sign an EAP Agreement for this purchase (positioning this as if the client will save 40% off list) as follows:

EAP Agreement – 32 x SQL Enterprise 2 pack Core licenses 3-year total approximately $480,000

The CIO is rightfully upset.  His $30,000 budget was just blown by 16x for this purchase!

 

 

SQL 2014 License Change

With the launch of SQL 2014 Microsoft made another significant license change – they removed the right to only pay for the Active Server in an Active Passive Cluster.  They instead added this into Software Assurance (SA) Benefits. So previously you only needed to license the Active side, regardless of where you had SA or not. This change forces you to purchase SA for the Active side of the cluster.

How To Avoid SQL Server Price Increases

The question one needs to ask is if SQL is giving the company a 16x better return than it would have before June 30th?  Nope! Is Microsoft doing him a favor with the EAP offer? Nope! 16x over budget is 16x over budget. We’re not talking a 10% price increase here and this is hard dollars!

So what should this client do?  

What should you do if you find yourself in this situation or a similar situation?

SQL Server License Optimization Services

SQL Server is one of Microsoft most confusing licensing models.  It also is one of their most expensive products. This is why we developed a SQL Server Optimization Service.  Utilizing our proprietary developed licensing tool, you can rest easily knowing that you are licensed in the most optimal manner.  If you’d like to read more or the tool, please check it our here or if you are interested in having a call with one of our SQL Licensing experts please feel free to hit the talk with an expert button on the side to schedule a call.

Changes to Microsoft SA Benefits: Do They Impact You? (VIDEO)

Why Microsoft Software Assurance Benefits Matter

Microsoft announced that they would be making more changes to their Software Assurance Benefits (SA Benefits) Program in September of 2019. This is not the first time (nor will it be the last time) that Microsoft has made changes to their program. In 2018 for example, they made a change to the Home Use Rights that were part of their SA Benefits.

Although the announcement was made already, the changes do not start to take effect until February 1st, 2020 with some of them having little to no impact on certain customers until January 1st, 2022.

Changes were made to 3 of the SA Benefits:

  • Deployment Planning Services
  • Training Vouchers
  • 24×7 Problem Resolution Support

In this blog we are going to look at the recent changes Microsoft has announced to the SA Benefits Program. Specifically we will look at the changes to Deployment Planning Services, Training Vouchers and 24 x 7 Problem Resolution Support.

How Do You get SA Benefits?

Customers who purchase Software Assurance through Microsoft’s Volume Licensing Programs receive various benefits based on what products they purchase Software Assurance (SA) on. The quantity of each benefit you earn is outlined in the Microsoft Product Terms.

Deployment Planning Services Microsoft will be retiring Deployment Planning Services (DPS) over the next 2 years and moving customers to their FastTrack Program. Microsoft is making this change to align themselves more closely with their goal of driving adoption of their cloud products (Microsoft 365, Azure and Dynamics 365). Many customers in the past took advantage of DPS, as it allowed them access to Microsoft Consulting or Partner Services to assist with deploying Microsoft technologies.

Key Dates For Changes To The DPS

    • February 1, 2020 – all Cloud Services will be removed from the DPS catalog. If you want Cloud Services after this date, you will have to access them through the FastTrack program.
    •  

Note: Some customers elected to transfer their training vouchers in a 3:1 ratio to DPS credits. You will only have until this date to this after which you will no longer be able to trade in training vouchers. If you want to do this, it can be done via the Volume License Service Center Portal.

  • February 1, 2021 for customers who no longer receive additional DPS days for incremental purchases or true ups, it will also be the last day that new/renewing contracts can create DPS vouchers.
  • June 30, 2021 – is the last day to create a DPS voucher for you to use. The good news here is that you do have 180 days to use a voucher from the date from the date you create it (meaning the last redemption date is January 1, 2022).

Training Vouchers

Microsoft is evolving its training platform, both online and instructor led. Microsoft launched its online training portal Microsoft Learn, which is focused on instructor led training through certification and role-based curriculum.

 

Key Dates For Changes To The Training Vouchers Will Occur As Follows

  • February 1, 2020 – All Azure courses will be removed as well as the ability to transfer to DPS as mentioned above.
  • February 1, 2021 – Customers will no longer receive new training vouchers for incremental purchases or true ups. It will also be the last day that new/renewing contracts can create training vouchers.
  • June 30, 2021 – as with DPS this is the last day to create a training voucher with 180 days to redeem it.

24×7 Problem Resolution Support

This change may be the one where customers feel the most impact, as our clients tell us it is the most useful of all the Microsoft Software Assurance Benefits. So, what’s changing with Problem Resolutions Support (PRS)?

  • Customers will no longer receive a limited number of support incidents (how many you received was based on your spend, program, and the products that you purchased). Now, as long as your Software Assurance Spend is annually greater $250,000, you will receive a new basic support offering.
  • Customers who spend less than $250,000 per year and who do not have a support contract with Microsoft will be directed to partner support or can purchase Support Incidents from Microsoft for a cost.

What Is Basic Support?

Microsoft has defined this as support during business hours with a 24-hour response time goal (Note that it is not a response time, but a goal, so it may be faster or slower).

Premier and Unified Support

Our clients received the most benefit from PRS when they converted their support instances to Premier Support. This conversion allowed them to reduce the costs of their Premier or Unified Support contracts, sometimes by hundreds of thousands of dollars. Microsoft has stated that after February 1, 2021, PRS credits will stop, but customers who have purchased Unified Support will receive credits at that time. They have not provided any details beyond this.

 

Key Dates For Changes To the Problem Resolution Support

  • February 1, 2021 – Convert the last of your PRS vouchers to Premier or Unified Support credit.
  • February 1, 2021 – Customers will no longer receive new PRS Credit.
  • February 1, 2021 – New support model launch (Basic Support and Credits for Unified Support)

Are you looking at an EA Renewal? Worried that these changes to SA Benefits will impact you? We know this can be stressful but it doesn’t have to be, that’s why we offer a Microsoft EA Renewal Negotiation Service. Head over to our services page to get the help you need.

If you have questions or concerns about how these changes will affect your organization, please feel free to reach out to us by clicking this box. We’re always happy to take five minutes to help you.

Microsoft Licensing Changes for Dedicated Hosts

On August 1, 2019 Microsoft announced changes to their licensing rules for customers utilizing bring your own licenses (BYOL) on dedicated hosts in AWS, Google, Azure, and Alibaba Cloud environments.  These licensing rule changes come into effect on October 1, 2019.  While these changes will primarily impact Windows and SQL Servers – other Microsoft technology such as SharePoint or Skype could also be affected.


How could this impact you?

While relatively few customers could be impacted today, these licensing rule changes could shape a shift in strategies for how you deploy to these cloud environments in the future.  The reality is that the change may give Microsoft a small licensing cost advantage over their competitors for cloud environments.

In the past, if you wanted to use licenses that you purchased – Microsoft offered two ways to do this:

  • Cloud Mobility Rights – that come with Software Assurance
  • Utilizing Dedicated Hardware Environments

Going forward, you will only be able to use License or Cloud Mobility Rights (if the license includes them – which SQL Server does) or Azure Hybrid Benefit (Windows Server and only available for use on Azure) to license Microsoft technology that is on third party cloud.

For more details you can check out:

https://www.microsoft.com/en-us/licensing/news/updated-licensing-rights-for-dedicated-cloud

Why does this matter?

Microsoft has embedded into their Product Terms, that Microsoft Volume Licenses (i.e. Those licenses you purchase through Enterprise Agreements, MPSA, Select etc.) are not allowed to be used in commercially hosted environments.  Commercial hosted environments are typically multi-tenant environments where two or more unaffiliated companies share the same hardware infrastructure (which represents most Cloud implementations).  This essentially meant that unless the licenses have Server Mobility rights (such as SQL Server), you had to purchase the licenses from the cloud provider vs. bringing your own licenses (BYOL).

What does this really mean?

Some organizations worked with AWS and purchased dedicated hardware.  Since this hardware was not shared hardware, it was treated as not commercially hosted, meaning these customers could utilize a BYOL strategy.  The nice thing about this BYOL strategy was that people may not have required Software Assurance at all and could utilize old perpetual licenses.

Microsoft has stated that licenses purchased prior to October 1, 2019 are exempt from the change.  In order to take advantage of this though, it is recommended that you have a strong Software Asset Management practice in place.

Does this mean Azure will be cheaper than AWS?

Not necessarily.  Licensing costs are only one factor when it comes to cloud computing costs.  On the Azure cloud, Microsoft will attribute upwards of 40% of the costs of Windows Compute to Windows licensing costs.  We just have not seen this to be the case for clients looking to move to AWS dedicated hardware.  Most often the cost of the dedicated hardware outweighed the license savings to move to dedicated hardware.  Clients often moved to dedicated hardware for other reasons such as security.

In order to determine costs, we recommend a cloud-sizing exercise where it can be assessed the costs to move to AWS and compare that to the costs to move to Azure.  This exercise will be best done when we look at the costs over a 12+ month period vs. a one-time (one month) purchase.

If you’d like to discuss this in more depth, please feel free to contact us!

Microsoft Audit Penalties

The High Cost Of Microsoft Audit Penalties

If stress kills, then receiving a notice with the opening line “Your organization has been selected to complete a Microsoft License Verification process” is practically lethal. As unpleasant as software audits are, if you have licenses with heavy-hitting vendors like Microsoft, IBM, and Oracle, it’s likely that software audits and compliance verification are just an unfortunate reality of business. So what are the Microsoft Audit fines and penalties that you could face when you receive an audit request?

At Metrixdata 360, one question that we hear brought up a lot is, “What will a Microsoft software audit or Microsoft SAM review cost my company at the end of the day?” This article will answer that question, focusing on where your expenses will accumulate the most in a poorly conducted Microsoft License audit.

For more information on how you can get a better handle of your software audit, please visit our article Microsoft Audit: 10 Powerful Tips to help you take back control.

Stay up to date on Microsoft’s Audit Penalties:

Download our Audit Penalties PDF:





Microsoft SAM Engagement vs. Software Audit

SAM Engagement Software Audit
Medium of Delivery
You will be notified of a SAM review usually through an email. You will be notified of an upcoming audit through a formal letter in the mail.
People Involved
You are allowed to conduct a SAM review internally, using your own SAM tools and led by your own SAM team. It can also be conducted by Microsoft’s SAM partner. Microsoft will appoint a third-party auditor to conduct the process (this could be anyone from a specialized SAM partner to a large consulting firm like Deloitte or PwC).
Voluntary or Not?
Voluntary – sort of. Refusing to comply with a SAM review will likely result in being sent a software audit. In the minds of the software vendors, only those with something to hide refuse to be examined. Not voluntary. You’re contractually obligated to comply with a Microsoft License Audit. Ignoring a software audit can result in legal action on the part of the software vendor.
Process
The process is similar for both a SAM review and a software audit. Scripts on your network will be run, your Active Directory Records will be accessed, and deployment data from your SAM tool will be pulled throughout the process, among other similar tasks. This will be done to try and determine your usage of Microsoft products and then compare that to the licenses you own to create an Effective (or Estimated) License Position (ELP). If there are any grey areas, the auditors will take the liberty of assuming the worst-case scenario to inflate your license gap, therefore the quality and completeness of your data can have a significant impact on the final cost of the process.
Final Penalties
At the time of this post, under a SAM, Microsoft will not charge you any penalties. You will simply place an order for any license shortfalls against the terms of the contract that you purchased a license under (Enterprise Agreement, MPSA, Open, etc). In addition, you are not responsible for the cost of the SAM engagement as Microsoft funds the selected partner. Under an Audit, you need to read the terms of Microsoft’s rights to validate compliance in your contract to understand what the Audit Penalties are. If you are an Enterprise Agreement or an MPSA customer, this is typically found in your Business Agreement. It may differ depending on your region and the version of contracts you are under, but typically customers are subject to the Audit Penalty of paying the list price as well as an additional 5% penalty for all products found unlicensed. Any historical or contractual discounts the customer usually benefited from will not be applied. Customers will also be expected to pay for the auditors’ fees if they are found to be out of compliance by 5% or greater. How the 5% is determined varies but it is typically calculated based on the number of licenses owned compared to licenses required. You will need to read your agreement to understand what the exact terms of an audit with Microsoft are and what Audit Penalties you may be responsible for.

What are the Biggest Costs in a Microsoft Compliance Verification Audit?

Now that we can clearly distinguish a software audit from a SAM review, let’s talk about a few of the most common areas where expenses can accumulate. Settlements, true-ups, and wasted resources can prove the biggest detriment to a company’s license compliance during an audit. Let’s look at them one by one to answer why that is:

Settlements

Settlements occur at the end of the software audit and determine the fine that the company will pay for being out of compliance.

If it is discovered that the company attempted to hide things from the auditor during the process, then the company can be held in breach of their contract, which can worsen the situation. A study conducted in 2013 by KPMG found that 52% of companies reported that the losses they had incurred through unlicensed software amounted to 10% of their total yearly revenue.

True-Ups

True-ups are a lump sum payment that companies produce after a set period of time has elapsed (such as a year or three years) to the software vendor within 60 days of the date making the anniversary of the initial purchase of the software.

The payment is intended to cover all the expenses for another term, but it will be inflated to accommodate any unlicensed software that was discovered during the SAM review or audit. In a SAM review, the discounts can still be applied for purchasing new licenses. However, the reason why true-ups can prove so detrimental in a software audit is because the discounts that companies would have otherwise had with the software vendors are no longer applied.

Suddenly having to pay for software products at full price can prove a huge expense for companies to pay. After a software audit, a survey conducted by Flexera, with input from IDC, found that a company with a revenue of 50 million can expect a true-up cost of roughly $263,000. Meanwhile, a company with $4 billion in revenue could expect a true-up cost of roughly $1.6 million.

Wasted Resources

One of the least known costs of a software audit is the loss of company time and resources. Software contracts can include clauses that state the “busy season” for a company and therefore a time when the company cannot be audited. When a software audit does arrive, it can still disrupt otherwise productive business hours. Workers often find their projects delayed or rearranged in the wake of an audit, while high-paid IT staff are often sent off to run fruitless errands at the software auditor’s bidding. To make matters worse, software audits can last anywhere from six months to multiple years.

Facing a Software Review or Microsoft Audit and Need A Guiding Hand?

Understanding where a SAM review or an audit can cost you the most money is important if you’d like to be able to prepare for each.

At MetrixData360, we would suggest that companies perform a self-assessment at least once a year to understand what their license position is. By doing this, you will have your own data to counter the auditor’s findings.

Over the years Metrixdata 360 has successfully defended companies from nearly every industry and saved them millions of dollars in heavy fines. If you’d like to know more about how Metrixdata 360 can save you money, check out our Audit Service page.

Book a Meeting with Your Office 365 Licensing Expert

Office 365 – Negotiating A Great Deal With Microsoft

MetrixData 360 specializes in helping organizations save money in their Microsoft Office 365 negotiations. We also defend organizations through software audits and provide Software Asset Management expertise which includes both, tools and services. MetrixData 360 also offers full managed services for companies that understand that SAM is essential but, putting together the people, process and tools to run a competent SAM practice is complex and requires expertise to do it properly.

In this presentation Sean will explain the best way to handle a negotiation with Microsoft and teach you how to view your data. We show how SAM Compass powered by Certero can help you to negotiate and get the best deal possible.

The key takeaway here is that you need to understand your data.  Understanding both deployment data and entitlement data will help determine not only what you do need but also and maybe more importantly, what you don’t need from Microsoft.  You only get to move to the Microsoft cloud once so make sure you do it right.

Does your organization strive to achieve a consumption based licensing model for your Office 365 environment? What I mean by consumption based, is that instead of paying for licenses or subscriptions up front or, for everybody in the organization, you only pay for the actual use of these products or, what you consume.  This blog post explains how you can use the Power BI Adoption Preview content pack and the provided Microsoft Portal to generate Office 365 Consumption Reports that you will need to properly manage your Office environment.  MetrixData360 is here to help you in your quest to optimize your organization’s Microsoft licensing (all licensable products deployed in the cloud, on-premise or in hybrid environments).  Let us know if you’d like our help.

Click Here to Learn more about Office 365 Consumption Reports

Microsoft News! Must-Dos after Feature Pack Installation and Turn Bluetooth Off When You’re Not Using it!

In this series we will examine the Microsoft news that’s making headlines around the internet and offer our thoughts and opinions!

My Choice Software Releases the Software Licensing CALculator™

This story is about a new tool that has been released into the market by My Choice Software.  The tool is used to look at users, devices, server specs and virtualization information to determine the optimal license configuration for Windows Server.

We really like the nifty name of the product CALculator, a play on Microsoft Client Access Licenses (CAL for short) licensing models.

The vendor claims that the tools saves time by identifying license compliance gaps, optimizing licensing spend on future purchases and saving headaches when it comes to Microsoft Software Asset Management (SAM) audits.

The current product is free but only targets Windows Servers.  Other products are being released shortly and will have a fee associated with them.

MetrixData360 has not tested this tool and are not familiar with My Choice Software who are a Value-Added Reseller based in California and who targets medium sized businesses.  The concept is good, but we caution people to make sure the tool is built for your size.  Our soon to launch Windows and SQL Server calculator took a long time to test and develop so we know how complex this type of development effort can be.

For more details click here.

No Software Assurance?  Must-Dos after Feature Pack Installation

Microsoft recently released Feature Pack 2 for SharePoint 2016 via the Public Update Channel.  There are several new features that have been added, but one of the key feature updates from a licensing perspective is OneDrive for Business modern experience.  This feature is available to Software Assurance Customers only.

The License Trap for this is that this feature is installed by default even if you do not have Active Software Assurance.  The feature can be turned off after installation.

MetrixData360 cautions customers to review all Feature Pack Updates for License Traps such as this one.  Your technical staff may inadvertently make you non-compliant by installing a feature that requires licenses that you do not own.  We are seeing Microsoft and their auditors validate these things via their Software Asset Management (SAM) audits.  We recommend you be proactive and validate if you have turned this feature on and have the appropriate licenses.

For more details, you can see the article here.

Hey, Turn Bluetooth Off When You’re Not Using It

Not so much a Microsoft news article but an important one for technical teams to be aware of.  This article talks about the importance of turning off Bluetooth when you are not using it, due to vulnerabilities.

This week the security firm Armis announced a Bluetooth vulnerability called BlueBorne, which allows any Bluetooth device affected to be attacked through several vulnerabilities.  This impacts, Windows, Android, Linux and iOS.

As security itself has improved, attackers are looking to ancillary features such as Bluetooth to find ways in.  There are so many devices that can be impacted by Blueborne such as internet of things devices like smart TVs, speakers or even Smart Lightbulbs.

The best defence is to make sure you apply all patches when you can.  Or of course you can just shut Bluetooth off when you aren’t using it.

For more details, you can read up on this article here. 

News On Microsoft Azure and Office 365

Microsoft Announces the New Office 365 F1 Products:

New Office 365 F1 products are being released to replace the K plans.  The premise is for Office 365 F1 to be used by customers firstline employee such as customer service reps, factory workers, retail employees and even medical staff.  These are the type of employees who use Kiosks or are not typical Knowledge Workers that require full access to the suite of Microsoft products.

The offer includes a new Microsoft 365 F1 that includes Office 365 F1 along with Windows 10 updates and the new StaffHub application.  StaffHub allows Firstline workers to manage their work days with schedule management and connect applications via a web browser or mobile device.

MetrixData360 suggests that clients look at the F1 when creating profiles for their Microsoft EA Agreement.

Skype for Business and Microsoft Teams are combining:

Microsoft will slowly discontinue Skype for Business and will be replaced by Microsoft Teams.  No timeframe has been provided.  Microsoft Teams will include inbound and outbound calls and will have many features such as hold, call transfer, voicemail and an audio conferencing which will allow people to join a Teams meeting from any phone.  Microsoft still plans to release an updated version of Skype for customers who want VoIP.

For large Enterprises MetrixData360 suggests that you talk with your Microsoft Account team sooner rather than later to understand the impact of this change.  The Skype Client is going to be replaced by Teams which may have application compatibility or deployment challenges.

Microsoft Dynamics is adding AI Enhancements:

Microsoft Dynamics 365 is getting more creative with more Al enhancements and modular apps that will be available later this year.  An example of this is Dynamics 365 for Talent which integrate data from Dynamics 365 and LinkedIn to help candidates and track applicants for open positions.  This will provide increased insight into hiring and improve the overall hiring process.

Although many of our Enterprise customers currently do not use Dynamics, some LinkedIn features and Business Intelligence features that are embedded in Dynamics are being considered by some of our clients.  LinkedIn Training, through their acquisition of Lynda.com is another area of interest.  There is no solution to add this to your Enterprise Agreement, but we do see this as being an area where companies push Microsoft for change.

Chatbots coming to Microsoft Soon:

Chatbots are new in Microsoft products and are designed to augment existing customer support and sales processes with intelligent assistant technology.  These virtual agents can integrate with third party chat apps such as Facebook, Messenger, Kik, Microsoft Teams, Skype and Slack.

More Integration with LinkedIn:

It was announced that LinkedIn Graph is integrating with Microsoft Graph for better integrated data insights with a fully configurable integration.

Both Chatbots and Graph are not applications that we hear many of our Enterprise Customers inquiring about.  Both have powerful application in business and are something that we expect to see more interest in over the next 12 to 18 months.

Microsoft Bing being added to Office 365:

Microsoft announced a new service called Bing for Business for Microsoft 365.  This will allow you to perform internal company search.  It uses a native search tool and it drives personalized search results on company data, documents, people sites, locations and public web search results.  This is designed to save time and increase internal productivity.

MetrixData360 has wondered for quite some time when Microsoft would start to integrate more of Bing into their core product offerings.  Google is still the leader here and you must know Microsoft is chomping at the bit to do a better job.

Microsoft continues to Enhance Security:

Microsoft 365 will be adding better Advanced Threat Protection features such as increased anti-phishing capabilities, and expanded protection to SharePoint Online, OneDrive for Business, and Microsoft Teams. This is to avoid vulnerability and increased threat protection for secure hybrid cloud workloads.

Many of our most recent Enterprise Agreements have included security components.  Microsoft obviously is working hard to push customer to the full Microsoft 365 suite.  MetrixData360 however is still advising customers to create profiles and purchase what is required versus falling into the Microsoft bundle trap.

Azure was obviously a big focus:

Azure Stacks was the big announcement from the Azure team.  Azure Stack basically allows you to bring the Azure Cloud into your own datacenter.  There were other updates announced such as Azure Machine Learning, Azure CosmosDB and Azure Functions.  The Azure CosmosDB database service and server-less Azure Functions will allow developers to write a few lines of code that will tie into Internet of Things, perform database changes and much more.

Azure is being adopted by more companies every day.  If you are not utilizing it, it is likely a matter of when not if.  MetrixData360 highly recommends fully understanding how Azure pricing works before moving to the Azure Cloud.

Watch the Mike’s Minute Video on these topics:   I Want To Watch

Are you still watching and want more?  Check out our MetrixData360 youtube channel where we post much more content around various Microsoft topics.

Creating Quick and Easy Microsoft Effective Licensing Positions – Webinar Replay

Creating quick and easy Microsoft Effective Licensing Positions is pretty much fantasy for most of us.  Gathering the accurate numbers to execute a Microsoft True Up order can be challenging and there can be millions of dollars at stake. Even quickly generating a licensing position can be a time consuming exercise.

On this webinar we will show you the quickest way to painlessly compile an effective licensing position. Join Mike Austin as he shares his insights and cuts through the confusing jargon with straight talk! Mike Austin has been involved in countless Microsoft negotiations and audits and has negotiated over $1 Billion in software cost reductions.

Well organized Software Asset Management is key to saving your organization money in licensing fees. If you are looking to create a more effective licensing profile for your company, MetrixData360’s SAM Compass is for you. Contact us today to arrange a free consultation.

Straight Talk About Microsoft Azure Licensing

Demystifying Microsoft Azure Licensing: Understanding the Complexities and Pitfalls

Microsoft Azure licensing is Microsoft’s cloud computing platform.  Its one of the biggest cloud platforms in the enterprise space but the licensing is very complex and confusing. On this webinar we will cut through the confusion with straight talk and you will learn how Azure licensing works and the pitfalls to avoid!

Join Mike Austin as he shares his insights and cuts through the confusing jargon with straight talk! Mike Austin has been involved in countless Microsoft negotiations and audits and has negotiated over $1B in software cost reductions.

Office 365 Consumption Reports


a look into our office 365 reporting tools
a look into our office 365 reporting tools

Chances are your organization has some form of Microsoft Office 365 to answer your emails, to allow you access to Word, Excel, PowerPoint, OneNote, and Microsoft Teams. It would be nice if your organization could achieve a consumption-based licensing model for your Office 365 environment. However, wanting will only get you so far though, your organization needs action but where on this technology-driven Earth do you begin?

At MetrixData360, we’re here to help you in your quest to optimize your organization’s Microsoft licensing, including products deployed in the cloud, on-premise or in hybrid environments. Our CEO Mike has spent years working for and learning from Microsoft and so he knows all about how to get the data you need from the Power BI Adoption Preview Content Pack and the Office 365 Portal to properly manage your Office 365 environment.

How to Open and View Reports in the Office 365 Adoption Content Pack in Power BI

As of 2017, Office 365 Adoption Content Pack has been running strong, allowing customers a view into their usage and adoption figures. As Microsoft’s article Explore your Office 365 Adoption Data in Power BI discusses, to first connect to the content pack, you’ll have to enable your Office 365 Admin Center. On the Usage Report page, you’ll see at the bottom of the page a new card offering you the option of the content pack. Initiating this will kick start the data preparation stage, which should take anywhere from 2 to 48 hours, depending on the size of your organization and how long you’ve been using Office 365. The dashboard provides you with a quick overview of the main usage and adoption metrics. By clicking on the Top-Level Metrics, you can access the more detailed underlying reports. Each report tab contains data visualizations specific to an aspect of Office 365 adoption for your organization. The data collected is explained in the title of each report. A tile is also available that contains further information about the visualizations on the report tab that you are viewing.

Tips for Navigating Reports in Office 365 (With Pictures)

1. Use the navigation tabs on the bottom of the dashboard to navigate to different reports.

Office 365 Consumption Report -Figure 1
Figure 1. Navigation Bar.

2. Many reports contain a slicer where you can filter to the product or activity you want to view. These can be either single-select, or multi-select.

Office 365 Reports - Report Filter
Figure 2. Product Filter

3. Hover over data points to view a callout that contains details.

Office 365 Consumption Reports - Data Points
Figure 3. An example of Data Points.

Define Active User in Usage Reports

Regardless of which product you use, you will need to be able to effectively define an active user if you want to be able to gather your data with any degree of accuracy. An active user of Office products for the Office 365 Adoption content pack and the Activity Reports in the Office 365 admin center is defined by Microsoft in Figure 4, created with information drawn from Microsoft’s page Active User in Office 365 Usage Reports.

Office 365 Consumption Report - Active User matrix
Figure 4. Microsoft’s Definition of Active User from Active User in Office 365 Usage Reports page.

What is Power BI? Office 365 Adoption Preview

Navigate to your organization’s Power BI Office 365 Adoption Preview dashboard using your Internet Browser can be a simple and insightful experience, in this section we’re going to walk you through how to get the previews for your product usage through Office 365 Adoption.

Step 1: The Dashboard

Office 365 Consumption Report - Power BI Dashboard
Figure 5. Office 365 Adoption Preview.
  • On the main dashboard, click the share button (identified with the red box in the right-hand corner of Figure 5) to share the dashboard with the MetrixData360 team.
  • If you chose to share your dashboard with the MetrixData360 team, you can skip to the ‘Office 365 Portal’ section of this article.
  • Alternatively, if you wish to gather the data by yourself, please print the screen as seen in Figure 5, selecting a method to Save as PDF. This should be done for all the information you wish to gather for any of the following products presented in this article.
  • Next, click the “Last month: % of users active in a product” tile (identified with the blue box in Figure 5) to load the Product Usage Overview.

Step 2: Product Usage Overview

In this report, you can see which products are being used in your organization and how they’re being used. For activity reports, select a product to analyze, or click to expand the product name and select a specific action. Looking at activity trends can show which Office 365 products people prefer for communication and collaboration.

By default, Exchange is selected when it is initially loaded.

Office 365 Consumption Report - PowerBI Dashboard
Figure 6. Product Usage Overview.
  • Select OneDrive and unselect Exchange from the Select a product or activity tile (identified by the red box in Figure 6).
  • With each selected filter (Exchange, OneDrive, SharePoint and Skype), print the screen and Save as a PDF. Each filter will show you data for that specific product.
  • After the data has been collected, printed and saved as PDFs for each product, click on the “Office activation” tab along the bottom to navigate to the Office Activations screen.

Step 3: Office Activation

Office Activation reports show how many users have been activated (and on what devices) compared to the number of enabled Office 365 users.

Select the Office product within the Select an “Office product” tile to view the details by product.

Office 365 Consumption Report - PowerBI Office Activation
Figure 7. Office Activation: Office 365 ProPlus.
  • Select the next product and unselect the current product within the “Select an Office product tab”.
  • Repeat the process of printing screens and saving them as PDFs for all products listed in the “Select an Office product” tile.
  • Within the bottom navigation menu, scroll all the way to the right using the right arrow (identified by the tiny blue box in Figure 7) and select the “Assigned licenses” tab.

Step 4: Assigned Licenses

This report provides a way to view the number of users subscribed by product, print off this screen and save as a PDF.

Office 365 Consumption Report - Assigned Licenses
Figure 8. Assigned Licenses: All.

Office 365 Portal

To help you navigate to various reports, here are a variety of reports with the navigation needed to find them located on the side of the image.

Usage Reports

Office 365 Consumption Report - Office 365 Usage Report
Figure 9. Usage Page.
  • Click on the “180 days” filter (identified by purple box in Figure 9).
  • Click on either “Email Activity”, “OneDrive files”, “SharePoint files”, “Skype for Business activity”, “Office activations”, or “Yammer activity” tile to drill down into the data of that specific product and follow instructions in Activity Data by Product.
  • You can also track which methods your employees use the most or filter on a specific person (although more personalized data will be hidden by default).
  • Print this off and save as a PDF as well.
  • For more information about Microsoft Office Reports, check out Microsoft’s page Activity Reports in the Microsoft 365 Admin Center.

Activity Data by Product

Office 365 Consumption Report - Activity Data by Product
Figure 10. Email Activity.
  • Click on the “Users” selection (identified by the red box in Figure 10).
  • Click on the “Export” link at the top right of the data table to export the data (identified by the blue box in Figure 10).
  • Click on the “Usage” navigation breadcrumb link (identified by the yellow box in Figure 10) to navigate back to Usage Report.
  • Refer to Usage Reports for a complete list of products to obtain detailed activity data.

Licenses

You will need to capture the following charts illustrated in Figure 11 and Figure 12 as PDFs to effectively capture your licenses and active users.

Office 365 Consumption Report - License Example 
Figure 11. Licenses Example.

Active Users (or All Configured Users

Office 365 Consumption Report - Active Users
Figure 12. Active Users.

Click the Export button (identified by the red box in Figure 12) to export the complete list of Office 365 users complete with licenses and subscriptions assigned.

For a more in-depth look at the services and features that are available with Office 365, please visit Microsoft’s page Office 365 Service Descriptions.

Congratulations, you now have the materials that you’ll need to understand your organization’s Office 365 usage. It’s important to generate these reports on a regular basis (weekly, bi-weekly, or monthly) so that you and your team can actively manage your organization’s Office 365 licenses and subscriptions. Remaining constantly aware of the state of your licenses will allow you to have better control over your Software Asset Management in the future. It should be noted, of course, that the tool is extremely complicated and doesn’t give you nearly enough information on how to run it effectively. Which is where our O365 reporting tool can come in handy, we can supplement the material you need for an accurate reading.

Metrixdata360 can make processes like these easy and efficient and by clicking the button below, you can learn more about how Metrixdata360 can help you reach peak software asset optimization while lowering your costs.