Microsoft CSP Partner Program Updates - February 2025
Critical Deadlines and Actions
- February 1, 2025 - February 1, 2026: 50% discount available on Microsoft E5 Compliance for customers with Microsoft 365 Copilot licenses.
- February 3, 2025: MFA enforcement for the Microsoft 365 admin center begins.
- February 4, 2025: The end-of-sale (EOS) scheduling for billing changes in Partner Center UI and API will be announced on March 10, 2025. The updated timeline for the Enhanced Microsoft Cloud Solution Provider Billing Reconciliation APIs migration deadline has been extended to April 21, 2025.
- February 6, 2025 (updated February 17, 2025): Microsoft AI Cloud Partner Program updates announced, including changes to specializations and the introduction of SMB paths for Azure designations in February 2025.
- February 7, 2025: Monthly update on security actions for partners, including MFA enforcement for the Azure portal, removal of unused Azure subscriptions, and deprecation of graph.windows.net audience tokens.
- February 9, 2025: New partner-to-partner transfer product types are made available.
- February 11, 2025: Monthly Cloud Solution Provider (CSP) updates and community reminder.
- February 19, 2025: CSP Technical Training call to discuss end-of-sale (EOS) scheduling for billing changes.
- February 2025: SMB paths for Data & AI (Azure), Digital & App Innovation (Azure), and Infrastructure (Azure) to be available for the Microsoft AI Cloud Partner Program.
- Updates to Business Applications specializations (Sales, Service, Finance, Supply Chain) to be available.
- Updates to Infrastructure and Database Migration to Microsoft Azure specialization to be implemented.
- March 10, 2025: End-of-sale (EOS) scheduling for billing frequency changes in Partner Center UI and API available.
- April 1, 2025: System Center 2025 is available to CSP partners after being made generally available on other channels in November 2024. All new and renewing monthly billing plans for annual and triennial subscriptions will be priced five percent higher than the yearly/triennial billing plan for annual/triennial subscription plans
- April 21, 2025: Deadline for partners to migrate to new Enhanced Microsoft Cloud Solution Provider Billing Reconciliation APIs.
- February 1, 2026: Discount on Microsoft E5 Compliance for customers with Microsoft 365 Copilot licenses ends.
What are the key updates for Microsoft partners?
System Center 2025 will be available to Cloud Solution Provider (CSP) partners starting April 1, 2025. It was initially available in November 2024 on other channels, but the CSP launch was revised for updates.
The new deadline for partners to migrate to the new asynchronous APIs for billing reconciliation in Partner Center is April 21, 2025. Migration by this date ensures uninterrupted service and access to faster download times.
Trying to access billing data from April 2025 billing period onward using the older APIs after April 21, 2025, will result in errors. This could disrupt your ability to reconcile billing, manage Azure consumption, and track unbilled usage.
Microsoft is offering a 50% discount on Microsoft E5 Compliance for all customers with Microsoft 365 Copilot licenses. This offer is available from February 1, 2025, to February 1, 2026.
Beginning March 10, 2025, customers on EOS and EOS with Conversion offers can schedule a change to edit the billing frequency for their annual term or triennial term subscriptions at renewal. The scheduling of billing frequency changes is being made available ahead of schedule.
- Three infrastructure security enhancements included in System Center 2025 are reduced use of NTLM and CredSSP, Gen 2 VMs by default, and TLS 1.3 support, and Azure Key Vault for secure passphrase storage.
- The pricing for System Center 2025 is increasing by 10% compared to the 2022 release. This increase supports the ongoing development and enhancement of System Center.
- Transfer product types now available to partners allows partners creating transfers to include the types of subscriptions they intend to be sent their way. This gives them more control and enables better checks for transferring Azure items.
- Microsoft is enforcing multifactor authentication (MFA) for all users signing into the Azure portal. This is to improve security for partner ecosystem and customer tenants.
- The AI assistant in Partner Center is designed to answer pre-purchase questions related to queries partners may have about memberships. This allows them to know all the details before purchasing or renewing any available program in the Membership workspace.
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When will System Center 2025 be available to CSP partners, and what benefits does it offer?
System Center 2025 will be available to Cloud Solution Provider (CSP) partners starting April 1, 2025. System Center 2025 introduces capabilities designed to significantly enhance the deployment, configuration, management, and monitoring of your IT infrastructure.
It offers strengthened infrastructure security, including reduced use of NTLM and CredSSP, Gen 2 VMs by default, TLS 1.3 support, and Azure Key Vault for secure passphrase storage. Furthermore, it provides unified management across workloads and modernizes infrastructure, leading to improved operational efficiency and reduced complexity.
What changes are happening with System Center 2022 and 2025 pricing and licensing?
With the release of System Center 2025, Microsoft is introducing new pricing across all commercial channels, affecting both the 2022 and 2025 versions. Prices are increasing by 10% compared to the 2022 release. System Center 2025 will be sold as a perpetual license.
The licensing model is the same as System Center 2022, differentiated only by virtualization rights. Licenses are required only for the endpoints being managed. The server management licensing is based on physical cores to align with the Windows Server 2025 model.
What improvements are available regarding partner to partner transfers in the CSP program?
Partners can now specify the types of subscriptions they intend to receive during partner-to-partner transfers, providing more control over the process. These "transfer product types" also enable better checks for transferring Azure items, validating that the target partner has a properly configured Azure plan.
Additionally, webhooks now support transfer expirations, providing event-driven notifications when transfers expire without action within 30 days.
What security measures is Microsoft enforcing for CSP partners?
Microsoft is enforcing multifactor authentication (MFA) for all users signing into the Azure portal and Microsoft 365 admin center portal. Microsoft has also begun to block unused Azure subscriptions (no activity or consumption for over 12 months), which will be deleted after 90 days of being blocked.
Account owners and service admins will be notified by email 30 days before the block is applied. Additionally, the security requirements API is now available in beta, providing direct access to essential security compliance data for partners. Microsoft is deprecating graph.windows.net audience tokens.
What are the recent updates to the Microsoft AI Cloud Partner Program?
There are updates to the AI Platform on Microsoft Azure and Build AI Apps with Microsoft Azure specializations, and SMB paths are being introduced for Solutions Partner designations in Data & AI (Azure), Digital & App Innovation (Azure), and Infrastructure (Azure).
Changes have been made to the performance and skill requirements for business application specializations (Sales, Service, Finance, and Supply Chain). The requirements for the Infrastructure and Database Migration to Microsoft Azure specialization are also being updated. An AI assistant is now available in Partner Center to answer prepurchase questions.
What changes are being made to the Partner Center Billing APIs, and what is the deadline for migration?
Microsoft has introduced new Asynchronous APIs (v2) for billing reconciliation in Partner Center, offering more efficient data retrieval. Partners must migrate to these new APIs by April 21, 2025, to avoid service disruption.
The affected APIs include the Get invoice line items API, Invoicing and reconciliation API v2 (beta), Get invoice billed commercial consumption line items, and Get invoice unbilled commercial consumption line items. After the deadline, accessing billing data from April 2025 billing period onward using the older APIs will result in errors.
What upcoming changes are happening regarding billing frequency for End-of-Sale (EOS) subscriptions?
Beginning March 10, 2025, customers on EOS and EOS with Conversion offers can schedule a change to edit the billing frequency for their annual or triennial term subscriptions at renewal. Customers can refer to the EOS Pricelist to see all EOS and EOS with Conversion offers.
On April 1, 2025, all new and renewing monthly billing plans for annual and triennial subscriptions will be priced five percent higher than the annual/triennial billing plan for annual/triennial subscription plans.
What discount is available for Microsoft E5 Compliance?
Microsoft is offering a 50% discount on Microsoft E5 Compliance for all customers with Microsoft 365 Copilot licenses. This promotion is available from February 1, 2025, to February 1, 2026, for both new and existing customers who have previously purchased Microsoft 365 Copilot without the Microsoft E5 Compliance SKU.
Details and Key Actions
- System Center 2025 Launch for CSPs (February 27, 2025)
- Key Information: System Center 2025 will be available to CSP partners starting April 1, 2025. It was initially available in November 2024 on other channels.
- Key Features & Benefits: Focuses on infrastructure modernization, enhanced security (reduced NTLM/CredSSP use, Gen 2 VMs, TLS 1.3, Azure Key Vault), unified management, and improved operational efficiency.
- "System Center 2025 introduces infrastructure modernization and enhanced security features that empower users to efficiently manage complex environments and fully take advantage of the advanced features of Windows Server 2025."
- Pricing & Licensing: 10% price increase across all commercial channels compared to System Center 2022. Perpetual license model with server/client management licenses, differentiated by virtualization rights. Core-based server management licensing aligns with Windows Server 2025.
- Call to Action: Partners should review the System Center product site, blog post, and Microsoft Cloud Partner Program details for System Center.
2. Security Enhancements (February 7, 2025)
- Key Information: Microsoft is actively implementing measures to secure the partner ecosystem and customer tenants.
- MFA Enforcement: Microsoft is enforcing multifactor authentication (MFA) for all users signing into Azure portal and Microsoft 365 admin center portal. Enforcement for Microsoft 365 admin center portal will begin on February 3, 2025. Partners need to review information and timelines.
- Removal of Unused Azure Subscriptions: Microsoft has begun to block unused Azure subscriptions (no activity/consumption for >12 months) since December 2024, with deletion after 90 days. Account owners and service admins will be notified 30 days prior to the block.
- Security Requirements API (Beta): Partners can access essential security compliance data directly through the new API.
- Deprecation of graph.windows.net Audience Tokens: A transition to a new method of interacting with Partner Center APIs is underway to enhance security.
- Call to Action: Partners should sign up for the CSP Community call, CSP Technical Training, and security training/certifications.
3. Microsoft AI Cloud Partner Program Updates (February 6/17, 2025)
- Key Information: Focus on providing partners with opportunities to differentiate their AI expertise and access new benefits.
- Updates to Specializations: Changes to "AI Platform on Microsoft Azure" and "Build AI Apps with Microsoft Azure" specializations, formerly "AI and Machine Learning" and "Build and Modernize AI Apps". Updates to Business Applications Specializations for Sales, Service, Finance, and Supply Chain have been implemented in early February.
- SMB Paths for Azure Designations: Introducing SMB paths for Solutions Partner designations in Data & AI (Azure), Digital & App Innovation (Azure), and Infrastructure (Azure) in February 2025.
- AI Assistant for Pre-Purchase: Partners can use an AI assistant plugin in Partner Center to answer pre-purchase questions about membership offers.
- "Partners can open the AI assistant from the Membership offer page or global entry point (sparkle icon in top right corner) in Partner Center and ask questions."
- New Benefits: Announcement of new benefits launched on January 22, 2025, providing product licenses (including Microsoft 365 Copilot, Microsoft Defender for Endpoint, GitHub Enterprise) via partner benefits packages, Solutions Partner designations, or specializations.
- Call to Action: Partners should visit the Microsoft AI Cloud Partner Program resources gallery, explore Solutions Partner designations, and review specialization requirements.
4. Billing and API Updates (February 4, 2025)
- Key Information: Mandatory migration to new asynchronous billing reconciliation APIs is required by April 21, 2025.
- "Partners must migrate to these new APIs before April 21, 2025, to avoid service disruption."
- Affected APIs: Get invoice line items API, Invoicing and reconciliation v2 API (beta), Get invoice billed commercial consumption line items, and Get invoice unbilled commercial consumption line items.
- Rationale: The new Asynchronous APIs (asynchronous v2 APIs) offer more efficient data retrieval, especially for large volumes of billing information.
- Limitations: New Microsoft Graph APIs are currently available only for the public/global cloud.
- End-of-Sale Scheduling for Billing Frequency Changes: Beginning March 10, 2025, customers on EOS and EOS with Conversion offers can schedule changes to billing frequency for annual/triennial subscriptions at renewal.
- Pricing Update: Starting April 1, 2025, all new and renewing monthly billing plans for annual and triennial subscriptions will be priced 5% higher than the annual/triennial billing plan.
- Call to Action: Partners must migrate to the new APIs by April 21, 2025. Review migration documentation, register for CSP Technical Training and Community Q&A Calls. Learn more about scheduling changes via the API.
5. Partner to Partner Transfer Improvements (February 9, 2025)
- Key Information: Enhancements to improve partner-to-partner transfers are now available.
- Transfer Product Types: Partners creating transfers can now specify the types of subscriptions they intend to receive. This provides greater control and facilitates validation, especially for Azure transfers.
- "Transfer product types give the partner creating the transfer more control of the types of subscriptions being transferred to them by the current partner."
- Expired Events for Webhooks: Support for transfer expirations has been added to webhooks, allowing partners to receive event-driven notices when transfers expire.
- Call to Action: Partners should review how transfers work for license-based new commerce and Azure plan items, review webhooks documentation, and explore Partner Center APIs for audit records.
6. Microsoft E5 Compliance Discount (February 3, 2025)
- Key Information: Microsoft is offering a 50% discount on Microsoft E5 Compliance for all customers with Microsoft 365 Copilot licenses, available from February 1, 2025, to February 1, 2026.
- Eligibility: Both new and existing customers who have previously purchased Microsoft 365 Copilot without the Microsoft E5 Compliance SKU are eligible.
- Call to Action: Partners should review the E5 Compliance for Microsoft 365 Copilot Promo FAQ for more details.
Recommendations
- Proactive Planning: Partners need to be aware of upcoming deadlines and changes to plan accordingly and avoid service disruptions.
- Security Focus: Prioritize security best practices and ensure compliance with MFA requirements and Azure subscription management.
- AI Opportunity: Leverage the Microsoft AI Cloud Partner Program to enhance their AI capabilities and differentiate their offerings.
- Billing and API Migration: The migration to the new billing APIs is crucial and requires immediate attention.
- Stay Informed: Actively participate in CSP Community calls and technical Training sessions, and monitor Partner Center announcements for ongoing updates.
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