How to Transition from Open License to MPSA:
- Evaluate License Needs: Assess current Open License holdings to determine future requirements.
- Contact Microsoft Partner: Work with a Microsoft Partner to facilitate the transition.
- Review Agreements: Understand the Microsoft Products and Services Agreement (MPSA) terms.
- Migrate Assets: Move existing licenses to the MPSA portal.
- Training: Train IT staff on new MPSA tools for license management.
The Microsoft Open License program, one of the most popular ways businesses acquire software licenses, is gradually being phased out.
As Microsoft pivots to modernize its licensing, the Microsoft Products and Services Agreement (MPSA) has emerged as the successor.
Transitioning from Open License to MPSA may sound challenging, but it’s designed to simplify your licensing while offering greater flexibility and streamlined management.
This article will help you understand the core differences and benefits of the MPSA and guide you through a seamless transition.
What is the Differences Between Open License and MPSA
Before proceeding with the transition, it is important to understand the core differences between the two licensing models. Open License is a transactional program for purchasing perpetual licenses.
It suits organizations with minimal IT needs that want to buy software without ongoing commitments. However, this model lacks modern support for cloud services and subscription flexibility.
On the other hand, MPSA is a consolidated licensing agreement that combines various Microsoft products and services into one.
It provides a more centralized approach and is ideal for medium to large businesses that need both on-premises and cloud solutions.
Here’s a simplified comparison:
Open License:
- Transactional, perpetual licenses.
- Suitable for smaller purchases.
- Does not cover cloud services.
MPSA:
- Combines on-premises and cloud solutions.
- Offers both perpetual and subscription options.
- Designed for simplified, centralized management.
The key difference lies in MPSA’s centralized approach, which makes it more scalable, easier to manage, and perfectly adaptable for growing businesses.
Key Benefits of Migrating to MPSA
Migrating from Open License to MPSA brings a variety of benefits that can significantly improve the way your organization manages software:
- Consolidation of Agreements: MPSA consolidates multiple licensing agreements into a single, flexible contract, eliminating the need to juggle different agreements.
- Greater Product Flexibility: Under a single agreement, you can purchase cloud services, on-premises software, and even hybrid solutions.
- Ease of Management: By integrating all licenses under one platform, organizations can reduce administrative burdens and save time on licensing management.
- Volume Discounts and Cost Efficiency: MPSA allows you to benefit from volume pricing, making the total cost of ownership (TCO) more predictable and easier to manage.
- Scalable for Future Growth: MPSA can scale with your business as it grows, offering flexibility in adding new products or services without starting new contracts.
Step-by-Step Guide on Transitioning from Open License to MPSA
Transitioning from Open License to MPSA involves several strategic steps. Here’s a breakdown to ensure your migration is smooth and successful:
Step 1: Assess Your Existing Licensing Portfolio
The first step is to assess your current licenses under Open License. Identify:
- Which licenses are currently in use?
- Expiration dates and renewal needs.
- Opportunities for consolidation or elimination of unused licenses.
Example: Suppose your organization has been using Office Standard 2016 under an Open License. You should assess whether it is time to upgrade to Office 365 for additional features and whether moving to a subscription model will benefit you.
Step 2: Consult Microsoft or a Licensing Expert
Consulting with Microsoft representatives or a trusted Microsoft Licensing Partner will give you personalized guidance on the transition. They can:
- Help identify the best plan for your business needs.
- Provide details on available incentives or promotions for transitioning to MPSA.
Step 3: Choose Products and Services Under MPSA
Select which products and services will be required under MPSA. With MPSA, you can combine on-premises licenses with cloud services like Microsoft 365 and Azure subscriptions.
Decide whether a subscription model or perpetual licensing is best for each product.
Step 4: Set Up Your MPSA Account
Setting up the MPSA involves:
- Registering for the MPSA via Microsoft or an authorized licensing partner.
- Signing the Master Licensing Agreement that combines all products and services into a single contract.
Example: If your organization needs Microsoft 365 and Azure credits, MPSA will allow you to have them under one billing and management portal.
Step 5: Migrate Your Current Licenses
To ensure minimal disruption, carefully plan how you will migrate your current Open License products:
- Move any on-premises licenses under the MPSA agreement.
- Set up new cloud subscriptions under the same agreement.
- Decommission older licenses that are no longer needed.
Step 6: Train Your Team
Once the migration is complete, ensure your team is trained in managing licenses through the Microsoft Volume Licensing Center (MVLC), the MPSA portal.
The proper training will:
- Help the IT team understand how to use MVLC effectively.
- Enable quick adoption of new software and minimize issues.
Effective Management Strategies During Transition
Managing your licenses effectively during the transition is crucial to avoid disruption and confusion. Here are some strategies to help your organization:
- Centralized Monitoring: Use the MVLC to monitor all licenses from one dashboard. This will simplify tracking subscriptions, expirations, and deployments.
- Stay Flexible: MPSA allows you to add and remove products as needed. Take advantage of this by evaluating what software your teams truly need and eliminating anything that no longer serves a purpose.
- Audit Regularly: Conducting regular audits of your licenses ensures compliance and reveals areas where costs can be reduced.
Example: By auditing regularly, you may discover that an old Visio license that only a few users need can be replaced with a shared subscription, reducing overall costs.
Impact on IT Strategy
Switching from Open License to MPSA will impact your IT strategy and how you approach software management.
Here are a few areas that will be directly affected:
1. Simplified Procurement and Renewal
With all software under a single contract, procurement becomes a lot easier. You no longer need to handle separate renewal dates for different agreements. Everything renews at a single time, reducing management overhead.
Example: An organization with Office, Windows Server, and Azure Virtual Machines licenses will only need to renew under one contract rather than three separate agreements.
2. Enhanced Cloud Adoption
MPSA provides a simpler path to adoption by integrating cloud services seamlessly with on-premises licenses. For businesses looking to gradually move to the cloud, MPSA offers the perfect flexibility.
- Hybrid Solutions: Use on-premises servers with Azure services to meet specific needs.
- Subscription Management: Easily add or remove cloud services based on your company’s evolving requirements.
3. Financial Predictability
Under MPSA, costs become more predictable, and businesses can take advantage of volume discounts and consistent pricing over time. This allows for more accurate budgeting and financial planning, making it easier for CFOs and financial managers to forecast costs.
Key Takeaways for Transitioning to MPSA
- Start Early: Since the Open License is being phased out, early migration planning will ensure a smoother transition.
- Engage Stakeholders: IT managers, financial officers, and licensing experts must all be involved in the transition to ensure that every aspect of the migration aligns with the company’s needs.
- Leverage Microsoft Tools: Use the MVLC portal to manage the transition efficiently. Microsoft also offers webinars and documentation that can help guide your team.
FAQ for the Transition from Open License to MPSA
What is the key difference between Open License and MPSA?
MPSA provides a single agreement for all license types, while Open License requires separate agreements for each purchase.
Can existing Open License assets be transferred to MPSA?
Open License assets can be transferred, but the process requires coordination with a licensing partner.
Is there a deadline for transitioning from Open License to MPSA?
Yes, Microsoft has set deadlines for Open License retirement, so transitioning to MPSA before this is recommended.
How long does the transition from Open License to MPSA take?
The transition duration depends on the complexity of the licenses but typically takes a few weeks with proper guidance.
What happens if I don’t transition before the Open License expiration?
You may lose purchasing options through an Open License. MPSA is required for future purchases.
Are there cost benefits in moving to MPSA from Open License?
MPSA offers streamlined management, which can reduce administrative costs but does not inherently lower license fees.
Do I need a new agreement for each product under MPSA?
No, MPSA consolidates all products under a single agreement, simplifying management.
Can I purchase new licenses under Open License after transitioning to MPSA?
No, once transitioned to MPSA, new purchases should be made under that agreement.
Is MPSA available for all types of licenses?
MPSA supports various license types, including on-premises, cloud services, and software assurance.
What steps should I take before transitioning to MPSA?
Review current licenses, check compatibility, and contact a licensing specialist for a smooth transition.
Does the MPSA agreement cover all regions?
Yes, MPSA is a global agreement that covers multiple regions under one contract.
Are training resources available for MPSA management?
Yes, Microsoft and licensing partners provide resources to help manage MPSA.
Can I still get support for my Open License after transitioning?
Support for existing licenses continues, but new purchases must be made through MPSA.
Is there a penalty for not transitioning to MPSA?
There’s no direct penalty, but you will lose purchasing capability under the Open License program.
How do I sign up for MPSA?
Contact a Microsoft partner to begin the MPSA registration process and complete the necessary agreements.