Microsoft New Commerce Experience (NCE): What is it and what does it mean for your organization?

Dynamics 365 ERP Microsoft

Microsoft is going to change the Cloud Solution Provider (CSP) licensing program. In this blog you can read more about the new program New Commerce Experience (NCE).

Over the years, Microsoft has introduced various licensing models. Many of those models came with different portals and go-to-market strategies. In order to create more clarity in the licensing landscape  and  to harmonize it, the existing CSP licensing model is giving way to a new variant: the New Commerce Experience (NCE).

New Commerce Experience was originally announced in 2019 for Azure. This time, Microsoft is running the New Commerce Experience for Office 365, Microsoft 365, Dynamics 365, Windows 365, Power Platform subscriptions. NCE will initially only apply to agreements with business customers.

What is the New Commerce Experience?

The New Commerce Experience is a licensing model that becomes available in a monthly and annual (1 or 3 year) licensing model. The model covers all CSP licenses. Think of  Dynamics 365 (Finance & Supply Chain Management, BC and CE), but also Office 365 and the Power Platform. In Azure, NCE was introduced 2 years ago. From now on, new improvements and developments will only take place in NCE, no longer in CSP.

There are roughly 3 NCE options for all licenses previously covered by CSP:

  • Monthly subscription: with this option you can count on a month of price protection and you can scale up or down monthly. Invoicing is also done per month. You pay 20% more than if you opt for a license per year.
  • Annual subscription: This option offers price protection for one year. You can scale down 1 time per year, but scale up every month. 
  • Do you opt for the three-year subscription? Then you can scale down 1 time every three years and scale up monthly. You can count on price protection for 36 months.   

The benefits of NCE

The New Commerce Experience brings several benefits to users of Dynamics 365 and other Microsoft applications. Here are the main ones:

  • You get access to simplified and unified Microsoft programs. No more hassle with different licenses, but a clear overview of the possibilities, scaling options and costs. Subscription and license management becomes a lot easier.
  • Switching to NCE is not difficult. You will also have the opportunity to enter into long-term relationships in the IT field. This makes it easier to build a sustainable and strategic relationship with your partner, which benefits continuity and peace.
  • The simplified set-up offers the possibility to combine different NCE subscription variants (mix and match).

Want to know more?

Do you want to know more about Microsoft NCE and what this new license form means for your organization? Then you’ve come to the right place at Focus Enterprise Solutions. As an expert in the field of Dynamics 365, we are happy to assist you with our expertise and expert advice. Feel free to contact us without obligation.

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