Microsoft Open License:
- Perpetual Licensing: Purchase once and own the license indefinitely.
- Minimum Purchase Requirement: A minimum of five licenses are required for the initial purchase.
- SMB Friendly: Designed for small to mid-sized businesses needing simplicity.
- Flexible: No ongoing subscription; buy licenses as needed.
- End of Availability: Replaced by other programs; transitioning to MPSA for new customers.
What is Microsoft Open License?
The Microsoft Open License is flexible and cost-effective for businesses that want to acquire Microsoft software. The program is tailored specifically to meet the needs of small—to medium-sized organizations, typically ranging from 5 to 250 computers.
It offers a simple way to purchase licenses for a single product or multiple Microsoft solutions, with significant cost savings.
Unlike retail or single-user licenses, the Open License allows companies to purchase software licenses in bulk, making it easier to deploy across several machines. This licensing model is subscription-based, which provides greater adaptability and flexibility as your organization grows.
Example: Imagine a small company with 20 employees wanting to upgrade its office productivity tools to Microsoft Office.
Instead of buying 20 individual boxed copies, they could use the Open License program to manage their licenses collectively, track usage more effectively, and get discounts that apply to bulk purchases.
Who Can Benefit from Microsoft Open License?
The Microsoft Open License program is ideal for a variety of users, such as:
- Small to Medium Businesses (SMBs): Companies with fewer than 250 employees want flexibility in acquiring software licenses.
- Educational Institutions: Schools that need affordable access to Microsoft’s suite of tools want to ensure their students and staff use authentic software.
- Nonprofit Organizations: Nonprofits that need cost-effective options for productivity software, with additional discounts that may be available specifically for nonprofits.
This licensing model is designed for organizations that need cost-effective and easily manageable solutions without being tied into a complex enterprise-level licensing agreement.
For example, a nonprofit organization may need a few licenses for collaboration tools like Microsoft Teams. The Open License model offers this flexibility without the high costs of enterprise licenses.
Benefits of Microsoft Open License
The Microsoft Open License program provides several key benefits for organizations using Microsoft software.
Here are some of the most significant benefits:
- Cost-Effective: Buying licenses through the Open License program often results in cost savings compared to purchasing retail licenses individually.
- Flexibility: It allows businesses to buy only what they need, making it scalable and adaptable as your company grows.
- Centralized License Management: Managing all your licenses becomes more efficient with easy tracking via the Microsoft Volume Licensing Service Center (VLSC).
- Bulk Purchasing Discounts: Businesses get price discounts when purchasing a certain number of licenses together, making the Open License program suitable for scaling operations.
- Two-Year Agreement: The Open License program typically has a two-year term during which companies can add more licenses as needed.
Example: A small IT firm initially needs 15 licenses for Microsoft Windows Server. Later, as the business grows, they can easily add more licenses without signing a new agreement each time.
Types of Products Available Under Open License
Under the Microsoft Open License, several products are available to help meet an organization’s different needs.
These include:
- Microsoft Office: Includes Office 365, Office Professional, and other Office suite products. These tools are essential for productivity, allowing users to create documents, spreadsheets, and presentations.
- Windows Operating Systems: Businesses can obtain licenses for Windows 11, Windows 10, or earlier versions if required.
- Server Products: Windows, SQL, and other server-related tools are available.
- Security Tools: Access to products like Microsoft Defender to ensure the safety and security of devices within the network.
- Developer Tools: Products such as Visual Studio are available, making it easier for development teams to build software.
Example: A school opting for the Open License program may acquire Microsoft Office 365 for Education and Windows Server licenses to manage its internal IT infrastructure and facilitate the learning environment.
How Microsoft Open License Works
The Microsoft Open License model is designed for simplicity. It allows businesses to acquire and activate licenses centrally through the Microsoft Volume Licensing Service Center (VLSC).
Here is a quick overview of how it works:
- Identify Your Licensing Needs: Assess your organization’s needs, such as how many devices require the license and what type of software is needed.
- Contact a Microsoft Partner: You can purchase Open Licenses through authorized Microsoft resellers. They will guide you in selecting the appropriate licenses.
- Receive a License Key: Once purchased, you will receive a license key allowing you to activate your organization’s software.
- Activate via VLSC: Log in to the VLSC, where you can manage the keys, track installations, and manage renewals.
The licensing term generally spans two years, after which businesses can renew and expand based on their evolving needs.
Example: If you purchase ten licenses for Microsoft Office Professional under the Open License model, you can activate these via the VLSC and manage them all from a single interface, streamlining operations and avoiding individual activations.
Step-by-Step Guide to Purchasing an Open License
If you want to purchase a Microsoft Open License, follow these steps to ensure a smooth experience:
- Define Your Software Requirements: Identify what software and how many licenses your organization needs. Are you looking for productivity tools like Microsoft Office or server tools like Windows Server?
- Contact a Microsoft Reseller: Microsoft partners and resellers are authorized to sell Open Licenses. Consult with a reseller to discuss pricing, terms, and conditions.
- Get a Quote and Confirm: After identifying your requirements, get a quote from the reseller. Compare prices if possible to ensure you are getting the best deal.
- Make the Purchase: Once you have finalized the purchase, you will receive the license information via email. Ensure you have access to the Volume Licensing Service Center to manage all your licenses efficiently.
- Log in to VLSC: Use your corporate email to log in. You can add and manage licenses, track usage, and renew when required.
Example: A mid-sized consulting firm wanting licenses for Windows 10 Pro can contact a Microsoft partner to understand how the Open License program can benefit them. Once the quote is approved, they can manage all licenses using VLSC, making software deployment much more straightforward.
Licensing Costs and Renewal Considerations
The cost of acquiring a Microsoft Open License depends on several factors, such as the type of software, the number of licenses, and any applicable discounts based on bulk purchases.
The Microsoft Open License is valid for two years, after which it must be renewed. Renewal costs may vary depending on the software versions, additional licenses added during the term, and market conditions.
Key Cost Factors Include:
- Number of Licenses: More licenses often mean lower cost per license due to bulk pricing.
- Type of Software: Some software products are inherently more expensive. For example, SQL Server may be more costly than Microsoft Office.
- Duration and Renewal: Costs may increase at renewal based on added licenses or changes in Microsoft licensing terms.
Example: A small startup initially purchases five licenses for Windows 11 Pro. As they expand, they add five more licenses in the second year. The renewal cost for the third year will reflect the total ten licenses and possibly benefit from bulk pricing discounts.
Managing Your Licenses Effectively
Managing licenses can be challenging, especially as your organization scales. However, with the Microsoft Open License program, managing licenses becomes more straightforward through centralized management tools available in the VLSC.
- Track License Usage: The VLSC provides insights into the number of licenses in use, helping companies avoid over-deployment.
- Renewal Notifications: Alerts for upcoming renewals make it easier for businesses to stay compliant.
- Centralized Management: Everything is in one place, so there’s no need to search for individual keys or worry about maintaining records.
Example: A school that needs licenses for various classrooms can easily manage which licenses are assigned to which computer labs, making software audits easier and more efficient.
FAQ for Microsoft Open License
How does Microsoft Open License work?
Microsoft Open License allows businesses to purchase licenses in bulk, reducing costs over time with flexible purchasing options.
Who can use a Microsoft Open License?
Small and medium-sized businesses benefit most from Open License for cost-effective software licensing.
What products are available under Microsoft Open License?
Popular products like Windows Server, Office, and SQL Server are available through the Open License program.
Is Microsoft Open License subscription-based?
No, it is a perpetual license, meaning businesses own the software permanently after purchase.
What are the minimum requirements for an Open License?
Organizations must purchase at least five licenses to qualify for the Microsoft Open License program.
How long does the Microsoft Open License last?
The license is perpetual, meaning it doesn’t expire once purchased.
Can Microsoft Open Licenses be upgraded?
Businesses can upgrade products within the Open License framework by purchasing upgrade licenses.
Is there technical support included with Microsoft Open License?
Technical support is not included but can be purchased separately through Microsoft’s support channels.
Can licenses be transferred between users?
Yes, Microsoft Open License allows licenses to be transferred to different users within the organization.
What are the payment options for Microsoft Open License?
Organizations can make one-time payments or pay incrementally, depending on their purchasing agreement.
What happens if a business purchases fewer than five licenses?
Businesses must explore other Microsoft licensing options if fewer than five licenses are needed.
Does Microsoft Open License provide volume discounts?
Yes, purchasing through the Open License program offers discounts on larger volume orders.
What are the Software Assurance benefits of an Open License?
Software Assurance, if purchased, provides upgrade rights and additional benefits like training and support.
Is Microsoft Open License available for non-profits?
Yes, non-profits can access Microsoft Open License at a discounted rate through special programs.
How does Microsoft Open License compare to other licensing models?
Microsoft Open License provides flexibility with one-time purchases, which is ideal for long-term software needs compared to subscription models.
