As of January 2025, Microsoft has begun phasing out Enterprise Agreement (EA) renewals for mid-sized organizations, primarily those with 500 to 2,400 users on the Level-A Enterprise Agreement (EA) model. These customers are now encouraged to move to the Cloud Solution Provider (CSP) model for continued access to Microsoft licensing and services.
This shift reflects Microsoft’s broader strategy to enable more personalized and service-driven engagement through partners. By transitioning to CSP, businesses can benefit from flexible billing, access to expert guidance, and value-added services tailored to their evolving needs, especially as AI adoption grows.
Make the Transition from EA to CSP Seamless with Expert Support!
Partner with Kanerika.
Book a Meeting
EA to CSP: What Does It Mean to Mid Sized Businesses Using Microsoft Licenses?
If your organization falls within this segment, now is a good time to review your licenses and explore the best available options in CSP. To help make the transition smooth and aligned with your goals, you need to work with a Microsoft-certified Cloud Solutions Partner with a proven experience in licensing, cloud, and enterprise support.
Microsoft’s licensing update primarily affects customers under Level A of the EA program, specifically, those with 500 to 2,400 users by phasing out renewals under the traditional Enterprise Agreement (EA) model. This doesn’t mean services will stop. If you’re currently on an EA, your existing subscriptions and products will continue as usual until the end of your agreement term.
Opportunity to Re-evaluate Licenses and Costs with Trusted Guidance
The transition period presents a natural checkpoint to review how your organization consumes Microsoft services. You can assess whether your current licensing structure still aligns with your actual usage patterns and business objectives and use this as an opportunity to explore all CSP promos, bundles, and transition paths.
Working with a certified partner during this evaluation can provide insights into:
Current license utilization and potential optimization opportunities
Alignment between your licensing and actual business needs
Future technology requirements and growth planning
Cost analysis across different licensing approaches
Review of upgrade paths and the Microsoft promos and incentives available
EA Remains Valuable and Available for Larger Organizations
Enterprise Agreements continue to serve many organizations effectively, particularly larger enterprises and those in specific market segments. Organizations outside 2,500 user range may find EA continues to be their optimal licensing model. Microsoft hasn’t eliminated EA entirely; they’ve simply adjusted which customer segments they’re directing toward each model.
Kanerika: Your Partner for All Microsoft Licensing, Funding and Services
When choosing a Cloud Solution Provider, you need more than someone to process licenses. At Kanerika, we go beyond transactions—we act as your strategic Microsoft partner from start to finish.
We view Microsoft licensing as the foundation of your digital transformation journey, not the end goal. Our comprehensive partnership model ensures you maximize every dollar invested in Microsoft technologies while building a scalable, future-ready IT infrastructure.
1. Effortless Microsoft License Transition with Full Migration Support
Whether you’re moving away from an Enterprise Agreement or starting with CSP for the first time, we take care of the entire shift.
Full license audit and optimization to avoid over- or under-licensing
Mapping all promos, discounts, and funding opportunities
End-to-end license transition planning and execution
Compliance alignment with Microsoft’s CSP requirements
Hands-on training to ensure smooth user adoption for license upgrades
2. Retain Your Microsoft 365 and Teams Access Without Downtime
Your business shouldn’t be affected during a licensing change. With Kanerika, you retain all existing Microsoft entitlements—including Microsoft 365, Teams, and other apps—without loss of features or functionality..
3. Real Support from Microsoft Certified Professionals
You won’t be stuck in automated chat loops or faceless support tickets.
Understand your business model
Provide timely, accurate answers
Actively manage your account and optimize usage
4. Flexible, Predictable Microsoft Licensing and Billing
We offer monthly or annual billing options tailored to your operational and cash flow needs.
Scale licenses up or down anytime
Transparent invoicing with no hidden costs
5. Beyond Licensing: Microsoft Services and Strategy Support
When you work with Kanerika, you get a partner who helps you build, scale, and optimize your entire Microsoft stack. We’re not just here to help you buy licenses. We support your broader goals through:
Microsoft Fabric: A Game-Changer for Data Engineering and Analytics
Unlock new possibilities in data engineering and analytics with Microsoft Fabric’s robust, all-in-one solution for streamlined insights and efficiency.
Learn More
6. Get Full-Stack Microsoft Expertise
We’re not new to this. We bring deep, certified expertise across the entire Microsoft technology stack. That means you get smart advice, better implementation, and long-term results.
Our Microsoft Credentials:
Microsoft Solutions Partner – Digital & App Innovation (Azure) modern DevOps practices .
Microsoft Solutions Partner – Infrastructure (Azure) cloud infrastructure .
7. Microsoft Funding Programs to Cut Your Licensing and Service Costs
Microsoft offers various funding initiatives to support digital transformation for partners that hold Specializations —and Kanerika helps you qualify and use them effectively. We guide you through the process and help structure projects that align with Microsoft’s funding criteria—so you save more while doing more.
We help unlock access to:
ECIF (End Customer Investment Funds): For covering costs tied to pilots, PoCs, deployment, consulting, and adoption services.
Azure Innovate: Ideal for businesses modernizing infrastructure, migrating to Azure, or exploring AI/analytics use cases.
8. Microsoft Training Programs That Turn Users into Power Users
Empowering your team is just as important as choosing the right tools. Kanerika is a Microsoft-certified training delivery partner, offering hands-on enablement sessions that help teams get real value fast. These aren’t generic webinars—they’re interactive sessions , customized for your business context and delivered by experts.
Workshops we deliver:
Fabric Analyst in a Day (FAIAD): Learn Microsoft Fabric for unified data and analytics workflows.
9. Leading With Microsoft’s Newest Tech
Kanerika is proud to be among the first global implementors of:
Microsoft Fabric – Unified platform for data integration , engineering, and real-time analytics
Microsoft Copilot
10. Certified Microsoft Experts and Proven Delivery Leadership
We bring more than credentials—we bring experience and consistency that ensures your Microsoft stack works the way it should.
35+ Microsoft-Certified Professionals cover everything from Azure infrastructure to data engineering and licensing.
MVP-level leadership means your projects are led by professionals with deep insight and recognition from Microsoft.
Optimize Your Microsoft Licensing Costs, Access Funding & Full-Service Support!
Partner with Kanerika.
Book a Meeting
Frequently Asked Questions
What is Microsoft EA licensing? Microsoft Enterprise Agreement (EA) is a volume licensing program designed for organizations with 500+ users or devices. It offers discounted pricing for a 3-year commitment and centralized license management. EA customers have a direct relationship with Microsoft and must commit to minimum license quantities throughout the term.
What is Microsoft CSP licensing? Microsoft Cloud Solution Provider (CSP) licensing allows organizations to purchase Microsoft products and services—like Microsoft 365 and Azure—through a certified partner. It offers flexible monthly or annual billing, no minimum license requirements, and value-added services such as support, migration, and consulting.
What is a Microsoft MCA agreement? EA is a 3-year contract with fixed pricing, direct billing from Microsoft, and volume discounts for large enterprises (500+ users). CSP offers flexible billing (monthly/annual), no long-term commitment, and services delivered through a Microsoft partner. CSP is ideal for mid-sized businesses needing support and scalability.
What is the difference between EA and CSP? EA is a 3-year contract with fixed pricing, direct billing from Microsoft, and volume discounts for large enterprises (500+ users). CSP offers flexible billing (monthly/annual), no long-term commitment, and services delivered through a Microsoft partner. CSP is ideal for mid-sized businesses needing support and scalability.
Why move from EA to CSP? Many EA customers, especially those with 500–2,400 users, are no longer eligible for renewals. Moving to CSP offers more flexibility, cost control, and access to expert partner support. It’s also aligned with Microsoft’s shift toward a cloud-first, partner-driven licensing model.
What are the benefits of Microsoft CSP? CSP offers flexible billing, no minimum seat requirement, easy scalability, and direct access to partner services. Customers can bundle licenses with migration, support, cloud services, and cost optimization. It also enables faster access to Microsoft innovations and funding programs like ECIF and Azure Innovate.
Does Microsoft CSP include Software Assurance? No, Microsoft CSP does not include traditional Software Assurance (SA) benefits. However, many of the features previously offered under SA—such as version upgrades and deployment planning—are now integrated into cloud services or provided by partners as part of managed services.
