In October 2020, Microsoft announced the addition of revenue requirements for CSP Direct-bill partners. Over the past several months we have seen Microsoft enforce these performance targets for direct partners, leaving partners no choice but transition to the indirect model. This new revenue threshold is undoubtedly forcing existing partners across the world to re-evaluate the cost, time and investment required to maintain a direct relationship with Microsoft.
New partners enrolling in the Microsoft Cloud Solution Provider program will begin as an indirect resellers. These partners select their preferred indirect provider, such as SoftwareONE, who offers infrastructure, support, automation and services.
For existing direct-bill partners currently enrolled in the Cloud Solution Provider program, the new performance standard went into effect in January 2021. These partners must have met the new revenue target of at least $300K (USD) in CSP revenue during the preceding twelve months and have an active premier support plan to fulfill the new CSP direct bill requirements. These partners will need to meet the new performance requirement by the anniversary date of their paid support plan. If the direct-bill partner does not meet the new revenue requirements, they will need to re-enroll as a CSP indirect reseller and transition existing business to the CSP indirect model.
Microsoft’s new direct-bill partner requirements further showcase their commitment to the indirect channel model. Microsoft will continue encouraging partners to co-develop and co-deliver solutions to provide high-value outcomes for end users.