Microsoft Is Changing Its Licensing Again…

by | Apr 17, 2023

And Here Is How It Impacts Your Organization

This topic is nearly as boring as it sounds. However, the new licensing changes by Microsoft are extremely important to your business.

The Short Explanation

Why is this important? Microsoft is now requiring everyone who uses their licenses to engage in a ONE (1) year contract commitment paid monthly (more expensive) or annually (less expensive) with them either directly or through your IT service provider.

The Long Explanation

Microsoft’s New Commerce Experience (NCE) licensing is a new way for businesses to purchase and manage Microsoft products and services. Essentially, NCE replaces the traditional volume licensing program with a more modern, streamlined approach.

Under the NCE program, businesses can purchase Microsoft products and services directly from the Microsoft website without going through a third-party reseller like your IT services provider. That can make purchasing faster and more convenient, as businesses can easily compare prices, choose the products and services they need, and pay online.

One of the key benefits of NCE licensing is flexibility. Businesses can purchase licenses on a subscription basis, meaning they can pay for the products and services they need monthly or annually. That can be particularly useful for companies with fluctuating IT needs, as they can easily adjust their licensing to match their changing requirements.

Overall, the goal of the NCE program is to simplify the licensing process and make it easier for businesses to manage their Microsoft products and services. By offering more flexibility and control over licensing, Microsoft hopes to make it easier for companies to get the most out of their technology investments.

Which Is Better: Going Directly to Microsoft or Having Your IT Service Provider Do It?

Managing your relationship with Microsoft licensing directly


  • Direct management means you own your licenses.
  • Licenses are not tied to an IT company for a year.


  • Microsoft licensing is complicated to understand and manage without an IT service provider.
  • You must pay Microsoft directly for any support on the account.
  • We cannot call on your behalf at this time.
  • The cost will go up for support. Microsoft will charge you directly for each support call, which can quickly add up.

Using an IT service provider for managing your Microsoft relationship


  • You don’t have to deal with Microsoft licensing, understanding the details, and dealing with the headaches that come with changes.
  • You benefit from our relationship with Microsoft and do not have to pay for their support. As a Microsoft partner, we have a relationship that saves you that money.
  • We can call on your behalf to resolve issues with your Microsoft license.


  • You are responsible for the costs of the licenses for the year, even if you leave your IT service provider. That means they will continue to bill you until the term is complete.


Microsoft licensing, let alone most vendor licensing, can be a hassle to manage. Nuances and hidden charges make getting the right services at the best price difficult, leaving many businesses with more work and paying too much. We recommend having your IT service provider handle licensing, as it’s already related to the daily management of your infrastructure and software.

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