Top Banner
New Office 365 plans for SMBs Allen Filush Product Marketing Manager Microsoft Corporation
63
Welcome message from author
This document is posted to help you gain knowledge. Please leave a comment to let me know what you think about it! Share it to your friends and learn new things together.
Transcript

Overview of new Office 365 plans for SMBs

New Office 365 plans for SMBsAllen FilushProduct Marketing ManagerMicrosoft Corporation

9/30/20141Microsoft Office365 2012 Microsoft Corporation. All rights reserved. Microsoft, Windows, and other product names are or may be registered trademarks and/or trademarks in the U.S. and/or other countries.The information herein is for informational purposes only and represents the current view of Microsoft Corporation as of the date of this presentation. Because Microsoft must respond to changing market conditions, it should not be interpreted to be a commitment on the part of Microsoft, and Microsoft cannot guarantee the accuracy of any information provided after the date of this presentation. MICROSOFT MAKES NO WARRANTIES, EXPRESS, IMPLIED OR STATUTORY, AS TO THE INFORMATION IN THIS PRESENTATION.

ConfidentialityAll slides in this deck are able to be shared with Partners. When sharing with partners, use the partner accessible link found on Ready-to-Go Marketing at http://aka.ms/readytogo/modernbiz.o365.

Overview of Office 365 fall updatesNew Office 365 plans for SMBsDetails on additional fall updatesImpact for existing customers

Contents

abc9/30/20143Microsoft Office365 2012 Microsoft Corporation. All rights reserved. Microsoft, Windows, and other product names are or may be registered trademarks and/or trademarks in the U.S. and/or other countries.The information herein is for informational purposes only and represents the current view of Microsoft Corporation as of the date of this presentation. Because Microsoft must respond to changing market conditions, it should not be interpreted to be a commitment on the part of Microsoft, and Microsoft cannot guarantee the accuracy of any information provided after the date of this presentation. MICROSOFT MAKES NO WARRANTIES, EXPRESS, IMPLIED OR STATUTORY, AS TO THE INFORMATION IN THIS PRESENTATION.

New plans for SMBsOffice 365 Business plans

Office 365 plans prior to October 1, 2014Simplified admin experienceSmall Business PremiumOffice apps + cloud servicesMidsize BusinessOffice apps + cloud servicesEnterprise E3Office apps + cloud servicesSmall Business (1-25)Midsize Business (1-300)Enterprise (unlimited)Small Businesscloud servicesEnterprise E1cloud servicesProPlusOffice appsStandalone plans (e.g. Exchange Online)Other (e.g. PowerBI, Project, Visio, CRM)

Full Enterprise admin experienceFull Enterprise admin experience

Note: Not all plans are listed. Only listing top plans sold to SMB customers.

Talk trackOffice 365 has delivered on the promise of the cloud as a solution that is continuously up to date and improving. Microsoft has delivered hundreds of updates to the service since launchincluding new features and services as well as platform updates.

One thing that hasnt changed as quickly or as drastically in that time has been our SKU lineup and this has been intentional, as changes to plans can be disruptive, if not executed correctly.

At the original launch of Office 365 in June 2011, we delivered a simple, low cost plan for SMBs, called Small Business. In Feb 2013, we launched Office 365 Midsize Business and Small Business Premium plans to help further address the SMB segment of the market, providing plans that combined the core Office 365 services with the full Office desktop applications.

9/30/20145Microsoft Office 2012 Microsoft Corporation. All rights reserved. Microsoft, Windows, and other product names are or may be registered trademarks and/or trademarks in the U.S. and/or other countries.The information herein is for informational purposes only and represents the current view of Microsoft Corporation as of the date of this presentation. Because Microsoft must respond to changing market conditions, it should not be interpreted to be a commitment on the part of Microsoft, and Microsoft cannot guarantee the accuracy of any information provided after the date of this presentation. MICROSOFT MAKES NO WARRANTIES, EXPRESS, IMPLIED OR STATUTORY, AS TO THE INFORMATION IN THIS PRESENTATION.

Feedback on plans for SMBs

Office 365 ProPlus is not competitively priced for smaller businesses

We need to move between plans as our needs and business grow

We expect the ability to combine plans to meet our needs without worrying about which plans work together

I need functionality available in the enterprise plans

Selling (and upselling) are unnecessarily complex

Insufficient differentiation between Small Business Premium and Midsize Business plans

More simple on-ramps to the cloud, to get customers started

Choosing the right plan needs to be easierfrom customersfrom partners

Talk trackThese plans have been selling well. Microsoft has been actively soliciting feedback from customers and partners on how to improve. Weve heard these things.[see speech bubbles on slide]

Truly, this update is about removing the gotchas that were hidden through the Office 365 plan structure, to simplify the sales process and reduce complexity.

2014 Microsoft Corporation. All rights reserved. Microsoft, Windows, and other product names are or may be registered trademarks and/or trademarks in the U.S. and/or other countries. The information herein is for informational purposes only and represents the current view of Microsoft Corporation as of the date of this presentation. Because Microsoft must respond to changing market conditions, it should not be interpreted to be a commitment on the part of Microsoft, and Microsoft cannot guarantee the accuracy of any information provided after the date of this presentation. MICROSOFT MAKES NO WARRANTIES, EXPRESS, IMPLIED OR STATUTORY, AS TO THE INFORMATION IN THIS PRESENTATION.9/30/20146

New plans for SMBs coming Oct 1, 2014Business PremiumOffice apps + Cloud servicesBusinessOffice apps + OneDrive Business EssentialsCloud services$5 user/monthCompetitively priced/featured for entry-level cloud services Evolution of Small Business$8.25 user/monthFor customers who want just the Office appsMove customers off Office on-premises$12.50 user/monthHero offer for SMB rich tools for most SMB productivity needsEvolution of Small Business Premium & Midsize Business

All plans include:300 seat cap99.9% financially-backed uptime guarantee24/7 phone support for critical issuesActive Directory integration

On October 1, 2014, we will release three new Office 365 plans tailored to meet the needs of small and midsized businesses (SMBs), ranging from 1 to approximately 250 employees. The new plans are:Office 365 Business The full Office applications Outlook, Word, Excel, PowerPoint, OneNote and Publisher, with 1TB of OneDrive for Business cloud storage to access, edit and share your documents across your Windows PC, Mac, iPad, Windows tablet and smartphone.Office 365 Business Essentials The core cloud services for running your business business class email and calendaring, Office Online, online meetings, IM, video conferencing, cloud storage and file sharing and much more.Office 365 Business Premium Get everything from both the Office 365 Business and Business Essentials plans.

Each plan has a seat cap of 300 users, with a 99.9% financially-backed uptime guarantee, 24/7 phone support for critical issues and Active Directory integration.

This new lineup will replace our current plans for SMBs over time Small Business, Small Business Premium and Midsize Business. 2014 Microsoft Corporation. All rights reserved. Microsoft, Windows, and other product names are or may be registered trademarks and/or trademarks in the U.S. and/or other countries. The information herein is for informational purposes only and represents the current view of Microsoft Corporation as of the date of this presentation. Because Microsoft must respond to changing market conditions, it should not be interpreted to be a commitment on the part of Microsoft, and Microsoft cannot guarantee the accuracy of any information provided after the date of this presentation. MICROSOFT MAKES NO WARRANTIES, EXPRESS, IMPLIED OR STATUTORY, AS TO THE INFORMATION IN THIS PRESENTATION.9/30/20147

Office 365 Business plansBusinessBusiness EssentialsBusiness PremiumCore detailsPrice$8.25$5$12.5Seat Cap300 (for each plan)Office applicationsOffice desktop appsiPad, Windows RT & smartphone appsOffice OnlineStandard services1TB cloud storage (OneDrive for Business)Email, calendar (Exchange)Online meetings, IM (Lync)Team sites, internal portals (SharePoint)Enterprise social (Yammer)

All Office 365 plans include

99.9% financially-backed uptime guarantee24/7 phone support for critical issuesActive Directory integration

Combine ANY of these plans in a single Office 365 accountBusiness plans have 300 seat cap, per plan Enterprise plans have no seat cap

Core Office 365 plan layoutOne single, scalable admin experienceBusiness PremiumOffice apps + Cloud servicesEnterprise E1Cloud servicesProPlusOffice apps + OneDriveBusiness EssentialsCloud servicesBusinessOffice apps + OneDrive Enterprise E3Office apps + Cloud servicesOther services (e.g. Exchange Online, OneDrive for Business, Kiosk, Project, Visio, CRM, etc.)BusinessCore needsEnterpriseAdvanced needs

Only top plans for SMB listed

Note: Only core plans for SMBs listed (E4, Kiosk, and all standalones are not listed)

Advanced needs: Encryption, EOA, RMS, DLP, Enterprise voice, Office 365 Video, BI tools in Excel, Office controls - Group Policy, Telemetry, Update Controls, support for shared computer activation (RDS)

Transitions: At renewal/manually all supportedSwitch plans current core scenarios supported at 10/1, adding more as we go.

Benefits of new plan layout:Combine any plansStart with any standalone, move to any planMove between plansOne single admin (used to have 3 different)

Advanced needs: Hybrid deploymentEmail & information protection (message encryption, archiving, rights management, data loss prevention, Enterprise voiceNew online service: Office 365 VideoBI tools (excel, powerbi)support for shared computer activation (RDS) 9/30/20149Microsoft Office365 2012 Microsoft Corporation. All rights reserved. Microsoft, Windows, and other product names are or may be registered trademarks and/or trademarks in the U.S. and/or other countries.The information herein is for informational purposes only and represents the current view of Microsoft Corporation as of the date of this presentation. Because Microsoft must respond to changing market conditions, it should not be interpreted to be a commitment on the part of Microsoft, and Microsoft cannot guarantee the accuracy of any information provided after the date of this presentation. MICROSOFT MAKES NO WARRANTIES, EXPRESS, IMPLIED OR STATUTORY, AS TO THE INFORMATION IN THIS PRESENTATION.

Full plan lineupBusinessEnterpriseBusinessBusiness EssentialsBusiness PremiumProPlusE1E3Target customerPrice$8.25$5$12.5$12$8$20Seat Cap300 (for each plan)Unlimited24/7 phone support from Microsoft1Critical issuesAll issuesOfficeWord, PowerPoint, Excel, Outlook, OneNote, Publisher22iPad, Windows RT & smartphone appsOffice OnlineAccessStandard services1TB cloud storage (OneDrive for Business)Email, calendar (Exchange)Online meetings, IM (Lync)Team sites, internal portals (SharePoint)Enterprise social (Yammer)AdvancedservicesActive Directory integrationSupports hybrid deploymentSupport for shared computer activation (RDS)Upcoming services Office 365 VideoCompliance Archiving, eDiscovery, mailbox holdInformation protection message encryption, RMS, DLP

Business plans include business hours support for all non-critical issuesAdds Group Policy, Telemetry, Push Deployment, Update Controls, IRM, DLP, BI, Enterprise Voice, Archiving & Retention 2014 Microsoft Corporation. All rights reserved. Microsoft, Windows, and other product names are or may be registered trademarks and/or trademarks in the U.S. and/or other countries. The information herein is for informational purposes only and represents the current view of Microsoft Corporation as of the date of this presentation. Because Microsoft must respond to changing market conditions, it should not be interpreted to be a commitment on the part of Microsoft, and Microsoft cannot guarantee the accuracy of any information provided after the date of this presentation. MICROSOFT MAKES NO WARRANTIES, EXPRESS, IMPLIED OR STATUTORY, AS TO THE INFORMATION IN THIS PRESENTATION.9/30/201410

Lead with OfficeGreater value for SMB plansMore upsell opportunitiesSimplified sales processNew on-ramps for SMBWhy is this greatfor partners?

This update delivers on partner requests for the following:Core Office apps for SMB. The Office desktop applications have been a key revenue generating product for our SMB partner channel over the past few decades. Partners can now more easily lead with Office when pitching a customer on moving to the cloud. Office 365 Business provides the core Office applications used by SMBs together with 1TB cloud storage, Office Online and access, editing and sync capabilities across PCs, Macs, iPad and smartphones all at a compelling price point of $8.25/user/month. It is also easier to get customers up and running, as this plans does not require the movement of email or data. Simplified sales process. The new plan layout will be simpler for partners to sell and for customers to understand. The new Business plans all have one consistent seat cap of 300 and customers can now choose to purchase any Office 365 plan, regardless of the specific trial they signed up for. This shortens sales cycles, as partners dont need to qualify a customer into a plan before moving to the trial stage. Greater value for SMB plans. Office 365 Business Essentials and Business Premium (which replace Small Business and Small Business Premium) increases the user limit from 25 to 300 users. This means that these plans can be sold to a larger set of customers at their affordable price points. We are also delivering additional value like Yammer, Active Directory support, and improved SharePoint and Exchange capabilities into these plans. Business Premium is also available at a more affordable price than Midsize Business ($12.5 to $15/user/month).New on-ramps for SMBs. Many customers prefer to get started with a single service in the cloud (e.g. email, cloud storage). Office 365 offers many standalone plans for this purpose, including the new Office 365 Business, Exchange Online plan 1 and OneDrive for Business. Customers are now able to start with these plans and move to Business Essentials and Business Premium. Previously, customers were only able to move to Enterprise plans. Improved upsell opportunities. Previous limitations in movement between Small Business, Midsize Business and Enterprise plans restricted the ability of partners to increase revenue through an upsell motion. Customers can now move fluidly between Business and Enterprise plans and add additional services like PowerBI, Project, Visio, Dynamics CRM, Azure RMS and more as they require. 9/30/201411Microsoft Office365 2012 Microsoft Corporation. All rights reserved. Microsoft, Windows, and other product names are or may be registered trademarks and/or trademarks in the U.S. and/or other countries.The information herein is for informational purposes only and represents the current view of Microsoft Corporation as of the date of this presentation. Because Microsoft must respond to changing market conditions, it should not be interpreted to be a commitment on the part of Microsoft, and Microsoft cannot guarantee the accuracy of any information provided after the date of this presentation. MICROSOFT MAKES NO WARRANTIES, EXPRESS, IMPLIED OR STATUTORY, AS TO THE INFORMATION IN THIS PRESENTATION.

New choiceNew flexibilityNew valueWhy is this greatfor customers?

The new Office 365 Business plans will provide customers with the following benefits: New Choice: The Office 365 Business plan ($8.25/user/month) makes it simple to get just the familiar, full Office apps at a great price always up to date and available on all your devices including your PC, Mac, iPad and smartphone.The included 1TB of cloud storage makes it easy to access and edit your important files from anywhere.New Value: The Business Premium plan can be used by companies up to 300 users and costs $12.50 user/month. For comparison, the existing Small Business Premium plan has a 25 user limit and Midsize Business costs $15/user/month. Business Essentials also matches Small Business on price ($5/user/month), but offers a higher 300 user limit. Both plans also include often requested capabilities like Yammer and Active Directory support.New Flexibility: As you grow and your technology needs change, you can move your company (or just specific users) to an Enterprise plan, and even add solutions like Project, Visio, Dynamics CRM Online and more.

9/30/201412Microsoft Office365 2012 Microsoft Corporation. All rights reserved. Microsoft, Windows, and other product names are or may be registered trademarks and/or trademarks in the U.S. and/or other countries.The information herein is for informational purposes only and represents the current view of Microsoft Corporation as of the date of this presentation. Because Microsoft must respond to changing market conditions, it should not be interpreted to be a commitment on the part of Microsoft, and Microsoft cannot guarantee the accuracy of any information provided after the date of this presentation. MICROSOFT MAKES NO WARRANTIES, EXPRESS, IMPLIED OR STATUTORY, AS TO THE INFORMATION IN THIS PRESENTATION.

Pitching the right plans

Pitching the right suite planCustomerasks:Core needsAdvanced needsOfficeBusinessProPlusEmailBusiness EssentialsEnterprise E1Move me to the cloudBusiness PremiumEnterprise E3

Slide purpose: Understand which Office 365 plan to recommend a customer.

In order to understand which plan to pitch and sell to a customer, you simply need to understand two things:What technology is the customer looking to purchase? Office & Email: For most SMB customers two of the most important technology solutions are Office applications and Email. If a customer wants one of these, sell them a solution from that rowMove me to the cloud: If the customer wants both, or are simply looking to move to the cloud, pitch and sell them the bottom row. Whether the customer has Core or Advanced needsCore needs: the vast majority of customers will fall into this bucket. These customers simply need Office applications and great online services to run their business. You can always default to these plans, since the customer can always choose later to move up to an advanced plan. Advanced needs: customers who have advanced IT needs will buy these plans. These IT needs are often determined by the size of the organization (larger the company, the more needs they have) and by industry (legal, healthcare, etc). The previous section outlined some of the key Advanced features that would push a customer to consider the Enterprise plans.

The next 3 slides will take this framework and help bring it to life with examples. 9/30/201414Microsoft Office365 2012 Microsoft Corporation. All rights reserved. Microsoft, Windows, and other product names are or may be registered trademarks and/or trademarks in the U.S. and/or other countries.The information herein is for informational purposes only and represents the current view of Microsoft Corporation as of the date of this presentation. Because Microsoft must respond to changing market conditions, it should not be interpreted to be a commitment on the part of Microsoft, and Microsoft cannot guarantee the accuracy of any information provided after the date of this presentation. MICROSOFT MAKES NO WARRANTIES, EXPRESS, IMPLIED OR STATUTORY, AS TO THE INFORMATION IN THIS PRESENTATION.

Example 1 customer needs Office apps

Customer profile30 usersUsing Office 2007/2010Has mobile devices (smartphones or tabletsHas point solutions for collaboration & storage (Box, Dropbox, etc)

Business $8.25 user/monthOffice desktop apps - Word, PowerPoint, Excel, Outlook, OneNote, PublisherOffice mobile apps on tablet & smartphones 1 TB cloud storage built-in to Office appsOffice OnlineAdd email, online meetings and other cloud servicesEmail, calendar (Exchange)Unlimited online meetings, IM (Lync)Team sites, internal portals (SharePoint)Enterprise Social (Yammer)

Business Premium$12.50 u/mA more advanced set of Office appsAdd AccessEnterprise business intelligenceSupport for shared computer activationSupport for Exchange, SharePoint & Lync on-premises setupsProPlus$12 u/m

Upsell opportunities

2014 Microsoft Corporation. All rights reserved. Microsoft, Windows, and other product names are or may be registered trademarks and/or trademarks in the U.S. and/or other countries. The information herein is for informational purposes only and represents the current view of Microsoft Corporation as of the date of this presentation. Because Microsoft must respond to changing market conditions, it should not be interpreted to be a commitment on the part of Microsoft, and Microsoft cannot guarantee the accuracy of any information provided after the date of this presentation. MICROSOFT MAKES NO WARRANTIES, EXPRESS, IMPLIED OR STATUTORY, AS TO THE INFORMATION IN THIS PRESENTATION.9/30/201415

Example 2 customer needs cloud email

Customer profile75 usersLooking to replace aging email server OR for a more professional email solution Possible cloud storage needsMay be using point solutions for storage & online meetings

Business Essentials $5 user/month50GB inbox with custom domain, shared calendarsAccess on almost any device Built in malware and spam filtersAdditional online services 1TB of storage (OneDrive), unlimited online meetings, IM (Lync), team sites, internal portals (SharePoint), YammerAdd Office to complete the suiteOffice desktop apps - Word, PowerPoint, Excel, Outlook, OneNote, PublisherOffice mobile apps tablet, smartphone1 TB cloud storage built-in to Office appsOffice OnlineBusiness Premium$12.5 u/mAdditional online servicesOffice 365 VideoSupports hybrid deploymentEnterprise E1$8 u/m

Upsell opportunities

Compared to previously?Small Business would be great, but this company would be too big. Selling Enterprise E1, which is 60% more expensive Small Business Premium, Midsize Business - too much other stuff, too expensive Exchange Online standalone service - perfect solution for email. BUT - limited easy upsell. if you wanted to upsell, you had to upsell to E1/E3couldnt get them to P2/M, priced closer to SMB range

Future Upsell OpportunityAdd office to BPAdd project, visio, dynamicsMove some/all to any enterprise plans - advanced functionality

2014 Microsoft Corporation. All rights reserved. Microsoft, Windows, and other product names are or may be registered trademarks and/or trademarks in the U.S. and/or other countries. The information herein is for informational purposes only and represents the current view of Microsoft Corporation as of the date of this presentation. Because Microsoft must respond to changing market conditions, it should not be interpreted to be a commitment on the part of Microsoft, and Microsoft cannot guarantee the accuracy of any information provided after the date of this presentation. MICROSOFT MAKES NO WARRANTIES, EXPRESS, IMPLIED OR STATUTORY, AS TO THE INFORMATION IN THIS PRESENTATION.9/30/201416

Example 3 customer needs IT in cloud

Customer profile150 usersRunning out of date productivity infrastructure, looking to go to the cloud

Business Premium $12.50 user/monthOffice apps on desktop, tablet & smartphones + Office OnlineBusiness class email (Exchange)1 TB cloud storage built-in (OneDrive)Unlimited online meetings (Lync)And more!Support advanced needsAdd AccessEnterprise business intelligenceSupport for shared computer activationHybrid deploymentArchiving, eDiscovery, information protection (DLP, RMS)Enterprise E3$20 u/mCover other user typesCombine with any other planDeskless workers, contractorsAdd other online services like Project, Visio & Dynamics CRM Online Various

Upsell opportunities

Compared to previously?Small Business - too bigMidsize Business - perfect. But, can't mix and match. Some employees don't need full solution Enterprise E3 - BP is 38% cheaper

Future Upsell OpportunityAdd project, visio, dynamicsMix and match, cover other user typesE3 for advanced functionality 2014 Microsoft Corporation. All rights reserved. Microsoft, Windows, and other product names are or may be registered trademarks and/or trademarks in the U.S. and/or other countries. The information herein is for informational purposes only and represents the current view of Microsoft Corporation as of the date of this presentation. Because Microsoft must respond to changing market conditions, it should not be interpreted to be a commitment on the part of Microsoft, and Microsoft cannot guarantee the accuracy of any information provided after the date of this presentation. MICROSOFT MAKES NO WARRANTIES, EXPRESS, IMPLIED OR STATUTORY, AS TO THE INFORMATION IN THIS PRESENTATION.9/30/201417

Move to any Business (or Enterprise)suite planStandalone on-ramps for SMBEmail

Exchange OnlinePlan 1

$4 user/monthOffice apps

Business

$8.25 user/monthDocument storage

OneDrive for Business

$5 user/month*

Immediate upsell opportunity in Exchange Online plan 1 to Business Premium. We know youve asked for this to Midsize Business for some timewe are enabling this upsell for path starting October 1.

*OneDrive for Business pricing promotion available until September 30, 2014. Starting October 1, OneDrive for Business will be $5/user/month. 2014 Microsoft Corporation. All rights reserved. Microsoft, Windows, and other product names are or may be registered trademarks and/or trademarks in the U.S. and/or other countries. The information herein is for informational purposes only and represents the current view of Microsoft Corporation as of the date of this presentation. Because Microsoft must respond to changing market conditions, it should not be interpreted to be a commitment on the part of Microsoft, and Microsoft cannot guarantee the accuracy of any information provided after the date of this presentation. MICROSOFT MAKES NO WARRANTIES, EXPRESS, IMPLIED OR STATUTORY, AS TO THE INFORMATION IN THIS PRESENTATION.9/30/201418

Immediate standalone upsell opportunity

Exchange Online $4 user/month50GB inbox with custom domainShared calendarsAccess on almost any device Built in malware and spam filtersAdd Office apps & additional services for $8.50Combine with any other planDeskless workers, contractorsAdd other online services like Project, Visio & Dynamics CRM Online Business Premium$12.5 u/m

Add 1 TB of storage and additional services for $11TB of cloud storage & collaboration (OneDrive)Unlimited online meetings, IM (Lync)Team sites, internal portals (SharePoint)Enterprise Social (Yammer)

Business Essentials$5 u/m

Upsell to Business Essentials = $1, let me give you 1 TB of free storage, unlimited online meetings.

Reasons why?Immediate upsell opportunitySticky customerServicesHero for customer, customer loyalty and own a larger piece of their IT spend

Of courseif $1 doesnt sound like a good deal for you.Business Premium.

Upsell to Business Premium upsell to E3 is hard $4-> $20 jump. 4-12.5 for Office apps is much better.

2014 Microsoft Corporation. All rights reserved. Microsoft, Windows, and other product names are or may be registered trademarks and/or trademarks in the U.S. and/or other countries. The information herein is for informational purposes only and represents the current view of Microsoft Corporation as of the date of this presentation. Because Microsoft must respond to changing market conditions, it should not be interpreted to be a commitment on the part of Microsoft, and Microsoft cannot guarantee the accuracy of any information provided after the date of this presentation. MICROSOFT MAKES NO WARRANTIES, EXPRESS, IMPLIED OR STATUTORY, AS TO THE INFORMATION IN THIS PRESENTATION.9/30/201419

Deep dive details

Included Office 365 servicesOffice 365 Business

Plan descriptionAlways up to date version of Office applications, plus cloud storage to easily share, collaborate and edit your files on your computer, tablet and smartphone.

Target customer1-250 seatsUsing Office 2003, 2007, 2010, wants the latest Office appsWants to access and edit Office files on tablet and smartphoneHas employees using point-solutions for collaboration and storage like Dropbox and Google Drive/Apps

$8.25 per user/monthOffice apps on up to 5 PCs & MacsOffice apps for tablets & smartphonesOffice OnlineCloud storage and file sharing (OneDrive)Business-class email & calendar (Exchange)Online meetings, IM, video chat (Lync)Team sites & internal portals (SharePoint)Private social networking (Yammer)

Plan notesIncluded apps: Word, Excel, PowerPoint, OneNote, Outlook, PublisherApps can be fully installed to a PC or Mac, available offline1TB of OneDrive for Business cloud storage No domain setup requiredSupports on-premises Active Directory sync for single sign on300 user capFinancially-backed 99.9% uptime service level agreement24/7 support for business critical issues

Note on No domain setup: Our previous SMB plans that included the Office desktop apps were Small Business Premium and Midsize Business. Both required customers to setup their domain for email and identity. Since this plan is just the Office applications (no email, etc), customers are not required to do this step.9/30/201421Microsoft Office365 2012 Microsoft Corporation. All rights reserved. Microsoft, Windows, and other product names are or may be registered trademarks and/or trademarks in the U.S. and/or other countries.The information herein is for informational purposes only and represents the current view of Microsoft Corporation as of the date of this presentation. Because Microsoft must respond to changing market conditions, it should not be interpreted to be a commitment on the part of Microsoft, and Microsoft cannot guarantee the accuracy of any information provided after the date of this presentation. MICROSOFT MAKES NO WARRANTIES, EXPRESS, IMPLIED OR STATUTORY, AS TO THE INFORMATION IN THIS PRESENTATION.

Included Office 365 servicesOffice 365 Business Essentials

Plan descriptionThe core cloud services for running your business, including business-class email, online meeting tools and cloud storage to easily share, collaborate and edit your Office files on any device.

Target customer1-250 seatsIn need of a new email solution either first professional email or to replace aging email serverWants to access and edit Office files on tablet and smartphoneHas many point-solutions for collaboration, storage & online meetings and would like to manage holistically, while saving money

$5 per user/monthOffice apps on up to 5 PCs & MacsOffice apps for tablets & smartphonesOffice OnlineCloud storage and file sharing (OneDrive)Business-class email & calendar (Exchange)Online meetings, IM, video chat (Lync)Team sites & internal portals (SharePoint)Private social networking (Yammer)

Plan notes50 GB mailboxes with custom domains ([email protected]) & shared calendaring1TB of OneDrive for Business cloud storage Online meetings for up to 250 participants, with screen sharing, audio and video, virtual whiteboards, polls, and shared notes.Supports on-premises Active Directory sync for single sign on300 user capFinancially-backed 99.9% uptime service level agreement24/7 support for business critical issues

9/30/201422Microsoft Office365 2012 Microsoft Corporation. All rights reserved. Microsoft, Windows, and other product names are or may be registered trademarks and/or trademarks in the U.S. and/or other countries.The information herein is for informational purposes only and represents the current view of Microsoft Corporation as of the date of this presentation. Because Microsoft must respond to changing market conditions, it should not be interpreted to be a commitment on the part of Microsoft, and Microsoft cannot guarantee the accuracy of any information provided after the date of this presentation. MICROSOFT MAKES NO WARRANTIES, EXPRESS, IMPLIED OR STATUTORY, AS TO THE INFORMATION IN THIS PRESENTATION.

Included Office 365 servicesOffice 365 Business Premium

Plan descriptionAlways up to date version of Office applications, plus core cloud services for running your business - from online meetings to sharing documents to business-class email.

Target customer1-250 seatsUsing Office 2003, 2007, 2010, wants the latest Office appsIn need of a new email solution either first professional email or to replace aging email serverHas many point-solutions for collaboration, storage & online meetings and would like to manage holistically, while saving money$12.5 per user/monthOffice apps on up to 5 PCs & MacsOffice apps for tablets & smartphonesOffice OnlineCloud storage and file sharing (OneDrive)Business-class email & calendar (Exchange)Online meetings, IM, video chat (Lync)Team sites & internal portals (SharePoint)Private social networking (Yammer)

Plan notesIncluded apps: Word, Excel, PowerPoint, OneNote, Outlook, PublisherApps can be fully installed to a PC or Mac, available offline50 GB mailboxes with custom domains ([email protected]) & shared calendaring 1TB of OneDrive for Business cloud storage Online meetings for up to 250 participants, with screen sharing, audio and video, virtual whiteboards, polls, and shared notes.Supports on-premises Active Directory sync for single sign on300 user capFinancially-backed 99.9% uptime service level agreement, 24/7 support for business critical issues

9/30/201423Microsoft Office365 2012 Microsoft Corporation. All rights reserved. Microsoft, Windows, and other product names are or may be registered trademarks and/or trademarks in the U.S. and/or other countries.The information herein is for informational purposes only and represents the current view of Microsoft Corporation as of the date of this presentation. Because Microsoft must respond to changing market conditions, it should not be interpreted to be a commitment on the part of Microsoft, and Microsoft cannot guarantee the accuracy of any information provided after the date of this presentation. MICROSOFT MAKES NO WARRANTIES, EXPRESS, IMPLIED OR STATUTORY, AS TO THE INFORMATION IN THIS PRESENTATION.

Office 365 Business v. ProPlusOffice ApplicationsOffice 365 BusinessOffice 365 ProPlusWord, Excel, PowerPoint, OneNote, Outlook, PublisherAccess, LyncCore ValueOneDrive for Business cloud storage1TB1TBOffice Online Core Excel BI features: PowerMap, PowerQuery (public data)Enterprise ValueEnterprise Excel BI features: PowerPivot, PowerQuery (enterprise data), PowerView, spreadsheet controls (compare/inquire)Compliance: create IRM mail, email retention, data loss, prevention (for use with on-premises deployments)IT controls: group policy, app telemetry, update controlsEnterprise voiceSupport for shared computer activation (RDS)LicensingPrice/user/month $USD (with annual commitment)$8.25$12Seat Cap300N/APC/Mac installs55Tablet installs55iOS/Android smartphone55iPad AppsOffice 2013 RT commercial use rights

9/30/201424Microsoft Office365 2012 Microsoft Corporation. All rights reserved. Microsoft, Windows, and other product names are or may be registered trademarks and/or trademarks in the U.S. and/or other countries.The information herein is for informational purposes only and represents the current view of Microsoft Corporation as of the date of this presentation. Because Microsoft must respond to changing market conditions, it should not be interpreted to be a commitment on the part of Microsoft, and Microsoft cannot guarantee the accuracy of any information provided after the date of this presentation. MICROSOFT MAKES NO WARRANTIES, EXPRESS, IMPLIED OR STATUTORY, AS TO THE INFORMATION IN THIS PRESENTATION.

BusinessBusiness EssentialsBusiness PremiumCore DetailsPrice per user per month $USD (with annual commitment)$8.25$5$12.5Seat Cap300 (for each plan)Office ApplicationsWord, Excel, PowerPoint, Outlook, OneNote, PublisherInstall Office desktop applications on up to 5 Windows PCs or MacsAccess to core Office apps and documents from all major smartphones, Windows tablets and iPadOffice Online - online versions of Word, Excel, PowerPoint and OneNote for collaborating on documentsStandard ServicesOneDrive for Business 1TB personal online document storage & access on PCs, smartphones and tabletsEmail - 50 GB email, contacts, shared calendars (Exchange)Online meetings - Web conferencing, IM, video, presence (Lync)Sites - team collaboration & internal portals, public website (SharePoint)Private social networking (Yammer)Othervalue99.9% financially-backed uptime guarantee24/7 phone support from Microsoft for critical issuesOn-premises Active Directory synchronization for single sign on

Office 365 Business Plans

WPC 2013 2013 Microsoft Corporation. All rights reserved. Microsoft, Windows, and other product names are or may be registered trademarks and/or trademarks in the U.S. and/or other countries. The information herein is for informational purposes only and represents the current view of Microsoft Corporation as of the date of this presentation. Because Microsoft must respond to changing market conditions, it should not be interpreted to be a commitment on the part of Microsoft, and Microsoft cannot guarantee the accuracy of any information provided after the date of this presentation. MICROSOFT MAKES NO WARRANTIES, EXPRESS, IMPLIED OR STATUTORY, AS TO THE INFORMATION IN THIS PRESENTATION.9/30/2014 5:47 PM25

BusinessEnterpriseBusinessBusiness EssentialsBusiness PremiumProPlusE1E3Target CustomerPrice per user per month $USD (with annual commitment)$8.25$5$12.5$12$8$20Seat Cap300 (for each plan)Unlimited24/7 phone support from Microsoft1Critical issuesAll issuesStandard ServicesInstall Office desktop applications on up to 5 computers per user (Office)Business2Business2ProPlus3ProPlus3Access to Office apps and documents from all major smartphones and iPadOffice Online - online versions of core Office apps for collaborating on documentsOneDrive for Business 1TB personal online document storage Email - 50 GB email, contacts, shared calendars (Exchange)Online meetings - Web conferencing, IM, video, presence (Lync)Sites - team collaboration & internal portals, public website (SharePoint)Private social networking (Yammer)AdvancedServicesOn-premises Active Directory synchronization for single sign onSupports hybrid deployment with on-premises serversUpcoming services: Office 365 VideoLegal compliance & archiving needs for email archiving, eDiscovery, mailbox holdInformation protection message encryption, rights management, data loss prevention

Full plan lineup for SMBsBusiness plans include business hours support for all non-critical issuesIncludes Word, Excel, PowerPoint, Outlook, OneNote, PublisherAdds Access, Group Policy, Telemetry, support for shared computer activation (RDS), Push Deployment, Update Controls, IRM, DLP, BI, Enterprise Voice, Site Mailboxes, Archiving & Retention

WPC 2013 2013 Microsoft Corporation. All rights reserved. Microsoft, Windows, and other product names are or may be registered trademarks and/or trademarks in the U.S. and/or other countries. The information herein is for informational purposes only and represents the current view of Microsoft Corporation as of the date of this presentation. Because Microsoft must respond to changing market conditions, it should not be interpreted to be a commitment on the part of Microsoft, and Microsoft cannot guarantee the accuracy of any information provided after the date of this presentation. MICROSOFT MAKES NO WARRANTIES, EXPRESS, IMPLIED OR STATUTORY, AS TO THE INFORMATION IN THIS PRESENTATION.9/30/2014 5:47 PM26

BusinessBusiness EssentialsBusiness PremiumERP Price$8. 25$5$12.5Direct/Advisor(annual/ monthly) (annual/ monthly) (annual/ monthly) Syndication Open ESD------FPP------EA------Cloud Solution Provider

Availability by program

Other updatesSimplified getting started experience & in-product navigation , easy & consistent admin controls

(more details coming)9/30/201428Microsoft Office365 2012 Microsoft Corporation. All rights reserved. Microsoft, Windows, and other product names are or may be registered trademarks and/or trademarks in the U.S. and/or other countries.The information herein is for informational purposes only and represents the current view of Microsoft Corporation as of the date of this presentation. Because Microsoft must respond to changing market conditions, it should not be interpreted to be a commitment on the part of Microsoft, and Microsoft cannot guarantee the accuracy of any information provided after the date of this presentation. MICROSOFT MAKES NO WARRANTIES, EXPRESS, IMPLIED OR STATUTORY, AS TO THE INFORMATION IN THIS PRESENTATION.

Simplified trial signup

New getting started pageSeen at first log in, for both administrators and end users

Existing customersWhat does this mean for me?

Key Transition InformationNew plans available in ALL channels from October 1, 2014. Midsize & Small Business plans no longer available for sale to new customers on October 1, 2014. Guidance for existing Midsize & Small Business plan customers is to continue using their current plans until their first renewal after October 1, 2015. Existing Midsize & Small Business customers will continue to get new features and updates. Customers can add seats as needed. Price of Midsize Business (M) drops to $12.50 ERP starting August 1, 2014. Office 365 Small Business (P1) & SBP (P2) cap raised to 300 users on October 2014.

Not all existing customers can be transitioned immediately on October 1, 2014.

Heres what to do

Goal: A great experience for all customers

New Customers& existing Exchange-only plan customers

Existing Customerson M & P plansRecommendationSell new plans when availableUpsell Exchange-only customers into new plans*!

RecommendationRenew into current plans until first renewal after October 1, 2015

*for customers using Exchange Online Plan 1, they can choose to move to new Business Essentials or Business Premium plan. This should be done close to renewal. Since Open customers pre-pay for their subscription, moving close to renewal limits the lost investment in Exchange Online Plan 1. 9/30/201433Microsoft Office365 2012 Microsoft Corporation. All rights reserved. Microsoft, Windows, and other product names are or may be registered trademarks and/or trademarks in the U.S. and/or other countries.The information herein is for informational purposes only and represents the current view of Microsoft Corporation as of the date of this presentation. Because Microsoft must respond to changing market conditions, it should not be interpreted to be a commitment on the part of Microsoft, and Microsoft cannot guarantee the accuracy of any information provided after the date of this presentation. MICROSOFT MAKES NO WARRANTIES, EXPRESS, IMPLIED OR STATUTORY, AS TO THE INFORMATION IN THIS PRESENTATION.

Guidance to existing customersCustomers current planBefore October 1, 2015Starting October 1, 2015Small BusinessStay on current plan1

Renew current planRenew to new Business Essentials planSmall Business PremiumRenew to new Business Premium plan(Note: Some customers may choose to renew to Enterprise plans)Midsize Business

It is Microsofts policy to give a 12 months notice for any changes to a customers core subscription. Customers will have No Required Action to take regarding their Office 365 plan subscription until their first renewal after September 30, 2015.

1. Customers will continue to receive all the benefits of Office 365, including any feature and security updates (i.e. admin center updates, new suite navigation) and any new services (i.e. adding Yammer to Midsize Business, increase in OneDrive for Business storage) that are relevant to their subscription. Customer will also be able to add seats, add new subscriptions, and renew their existing subscription.

Business Essentials includes all features in Small Business, plus additional capabilities

Business Premium includes almost all the features found in the existing plans. Customers that require Access, Lync PSTN capabilities, advanced Excel BI scenarios or advanced IT management should consider moving some or all of their users to an Enterprise plan9/30/201434Microsoft Office365 2012 Microsoft Corporation. All rights reserved. Microsoft, Windows, and other product names are or may be registered trademarks and/or trademarks in the U.S. and/or other countries.The information herein is for informational purposes only and represents the current view of Microsoft Corporation as of the date of this presentation. Because Microsoft must respond to changing market conditions, it should not be interpreted to be a commitment on the part of Microsoft, and Microsoft cannot guarantee the accuracy of any information provided after the date of this presentation. MICROSOFT MAKES NO WARRANTIES, EXPRESS, IMPLIED OR STATUTORY, AS TO THE INFORMATION IN THIS PRESENTATION.

Small Business plan customers

Small BusinessBusiness EssentialsEverything in Small BusinessPrivate social networking (Yammer)Active Directory support

Business-class email (Exchange)Online meetings (Lync)Cloud storage (OneDrive)Team collaboration sites (SharePoint)TodayRenew to current planRenew to new planOct 1, 2014Business plans launch $5/user/month25 seat cap

Small BusinessBusiness-class email (Exchange)Online meetings (Lync)Cloud storage (OneDrive)Team collaboration sites (SharePoint)$5/user/month300 seat capCombine with any Business or Enterprise plan

Oct 1, 201512-monthsView in presentation mode

Also note there are also some infrastructure improvements to SharePoint Online. Small Business previously included a custom version of SharePoint Online, now it is full SharePoint Online Plan 1.

Raising seat cap of Small Business from 25 to 300 to match new Business Essentials plan, starting Oct 1, 2014.

No lost functionality. 9/30/201435Microsoft Office365 2012 Microsoft Corporation. All rights reserved. Microsoft, Windows, and other product names are or may be registered trademarks and/or trademarks in the U.S. and/or other countries.The information herein is for informational purposes only and represents the current view of Microsoft Corporation as of the date of this presentation. Because Microsoft must respond to changing market conditions, it should not be interpreted to be a commitment on the part of Microsoft, and Microsoft cannot guarantee the accuracy of any information provided after the date of this presentation. MICROSOFT MAKES NO WARRANTIES, EXPRESS, IMPLIED OR STATUTORY, AS TO THE INFORMATION IN THIS PRESENTATION.

Small Business Premium plan customers

Business PremiumEverything in Small Business PremiumPrivate social networking (Yammer)Active Directory support

TodayRenew to current planRenew to new planOct 1, 2014Business plans launch Combine with any Business or Enterprise plan

Oct 1, 201512-months

Small Business PremiumOffice applicationsBusiness-class email (Exchange)Online meetings (Lync)Cloud storage (OneDrive)Team collaboration sites (SharePoint)$12.5/user/month25 seat cap

Small Business PremiumOffice applicationsBusiness-class email (Exchange)Online meetings (Lync)Cloud storage (OneDrive)Team collaboration sites (SharePoint)$12.5/user/month300 seat cap

AccessLync PSTN capability for enterprise voice

Upsell necessary seats to E3 ($20) OR ProPlus + Business Essentials ($17)View in presentation mode

Important note: Customers who need the lost functionality will need to move to Enterprise E3 for some or all of their users. With cross family mixing, customers can move only some users to E3, keep rest on Business Premium.

Lync PSTN capability required on-premises deployment of Lync Server 2013 in order to enable enterprise voice features. Likely almost zero customers would have enabled this, but rather deployed Enterprise E4 (which provides full Lync Server 2013 rights), as it would be more cost effective that Midsize Business + Lync Server 2013.

Notes on end user update experience, after customer uses Switch PlansUser will be prompted to update their Office appsLync will uninstall as part of the update process. Customers will need to install Lync Basic from the Software section of the Office 365 Settings page. Lync Basic provides almost all the capability of the full Lync app, minus the ability to connect with PSTNs. The update process will notify each user that their subscription to Office has expired

Raising seat cap of Small Business Premium from 25 to 300 to match new Business Premium plan, starting Oct 1, 2014.

9/30/201436Microsoft Office365 2012 Microsoft Corporation. All rights reserved. Microsoft, Windows, and other product names are or may be registered trademarks and/or trademarks in the U.S. and/or other countries.The information herein is for informational purposes only and represents the current view of Microsoft Corporation as of the date of this presentation. Because Microsoft must respond to changing market conditions, it should not be interpreted to be a commitment on the part of Microsoft, and Microsoft cannot guarantee the accuracy of any information provided after the date of this presentation. MICROSOFT MAKES NO WARRANTIES, EXPRESS, IMPLIED OR STATUTORY, AS TO THE INFORMATION IN THIS PRESENTATION.

Midsize Business plan customers

Business PremiumEverything in Midsize BusinessAccess

TodayRenew to current planRenew to new planOct 1, 2014Business plans launch Lync PSTN capabilityfor enterprise voice

Oct 1, 201512-months

Midsize BusinessOffice applicationsBusiness-class email (Exchange)Online meetings (Lync)Cloud storage (OneDrive)Team collaboration sites (SharePoint)$15/user/month300 seat cap

Midsize BusinessOffice applicationsBusiness-class email (Exchange)Online meetings (Lync)Cloud storage (OneDrive)Team collaboration sites (SharePoint)$12.5/user/month300 seat cap

IT controls: Group policy, app telemetryExcel BI features: PowerPivot, PowerQuery (of enterprise data), PowerView

Combine with any Business or Enterprise planPrivate social networking (Yammer)Private social networking (Yammer)Upsell necessary seats to E3 ($20) OR ProPlus + Business Essentials ($17)View in presentation mode

Important note: Customers who need the lost functionality will need to move to Enterprise E3 for some or all of their users. With cross family mixing, customers can move only some users to E3, keep rest on Business Premium.

Lync PSTN capability required on-premises deployment of Lync Server 2013 in order to enable enterprise voice features. Likely almost zero customers would have enabled this, but rather deployed Enterprise E4 (which provides full Lync Server 2013 rights), as it would be more cost effective that Midsize Business + Lync Server 2013.

Notes on end user update experience, after customer uses Switch PlansUser will be prompted to update their Office appsLync will uninstall as part of the update process. Customers will need to install Lync Basic from the Software section of the Office 365 Settings page. Lync Basic provides almost all the capability of the full Lync app, minus the ability to connect with PSTNs. The update process will notify each user that their subscription to Office has expired

Price changeAt their next renewal, existing Office 365 Midsize Business customers who have purchased through Direct and Advisor channels will see a price reduction from $15/user/month $USD with an annual commitment to $12.50/user/month $USD with an annual commitment. This is to match the new Office 365 Business Premium plan, which has a similar feature set, priced at $12.50/user/month $USD with an annual commitment.

Open customers may be able to purchase additional seats and renew their subscription of Office 365 Midsize Business at a reduced price. Microsoft is lowering the ERP for 1 year of Midsize Business from $180/user/year USD to $150/user/year USD. Actual purchase price may vary from partner to partner.

9/30/201437Microsoft Office365 2012 Microsoft Corporation. All rights reserved. Microsoft, Windows, and other product names are or may be registered trademarks and/or trademarks in the U.S. and/or other countries.The information herein is for informational purposes only and represents the current view of Microsoft Corporation as of the date of this presentation. Because Microsoft must respond to changing market conditions, it should not be interpreted to be a commitment on the part of Microsoft, and Microsoft cannot guarantee the accuracy of any information provided after the date of this presentation. MICROSOFT MAKES NO WARRANTIES, EXPRESS, IMPLIED OR STATUTORY, AS TO THE INFORMATION IN THIS PRESENTATION.

Moving plans after October 1, 2015When a customers current plan comes up for renewal after October 1, 2015, they should renew to a new SMB plan. The process will vary based on how the customer purchased their plan. New Switch Plans experience for prepaid customersAdvisor, DirectOpen, FPP, ESDNo data loss or downtimeSwitch plans tool

Microsoft will be releasing an update to enable customers who have purchased Office 365 through a prepaid channel (e.g. Open, FPP, ESD) to move to the new plans. 9/30/201438Microsoft Office365 2012 Microsoft Corporation. All rights reserved. Microsoft, Windows, and other product names are or may be registered trademarks and/or trademarks in the U.S. and/or other countries.The information herein is for informational purposes only and represents the current view of Microsoft Corporation as of the date of this presentation. Because Microsoft must respond to changing market conditions, it should not be interpreted to be a commitment on the part of Microsoft, and Microsoft cannot guarantee the accuracy of any information provided after the date of this presentation. MICROSOFT MAKES NO WARRANTIES, EXPRESS, IMPLIED OR STATUTORY, AS TO THE INFORMATION IN THIS PRESENTATION.

Moving plans before October 1, 2015Today: Manual licensing reassignmentWorks for standalone plan (i.e. Exchange Online, OneDrive for Business) customers

Advisor, DirectOpen, FPP, ESDToday: Switch plans toolWorks for majority of customers starting October 1, 2014.

Not Recommended: Microsofts guidance is that customers should continue using their existing plans until their first renewal after October 1, 2015. LimitationsMidsize Business (Open) & Small Business Premium (FPP, ESD) customers cannot move plansLimitationsCustomers with add-ons & multiple subscriptions do not have access to Switch Plans tool

Microsoft is working on a Switch plans for Prepaid customers feature for October 1, 2015No data loss or downtime, in any scenario

Renewing in Advisor & Direct with Switch Plans tool

Renewing to new plans in Advisor & DirectMicrosofts guidance is that customers should continue using their existing plans until their first renewal after October 1, 2015. Customer may opt-in to move earlier. Most customers who have purchased through Direct & Advisor will be able to use the Switch Plans tool to move to the new Business plans, starting October 1, 2014.There are a few restrictions that exist today with the Switch Plans tool. Small Business & Midsize Business customers with add-ons or multiple subscriptions will not be able to use the Switch Plans tool on October 1st, 2014. Microsoft is updating Switch plans for these customers to move by October 1, 2015.Learn more about the Switch Plans tool at http://aka.ms/switchO365plan.

41

Top supported transitionsCurrent PlanUpgrade OptionsSmall BusinessBusiness EssentialsBusiness PremiumEnterprise E1Enterprise E3/E4Small Business PremiumBusiness PremiumEnterprise E3/E4Midsize BusinessBusiness PremiumEnterprise E1Enterprise E3, E4Exchange Online plan 1Business EssentialsBusiness PremiumEnterprise E1Enterprise E3, E4

http://aka.ms/switchO365plan

Additional FAQs

Can I upgrade only a few users at a time?You must move all users from your current plan to the new Office 365 plan.

Will the Partner of Record status be preserved when I transition between subscriptions using the Switch Plans tool? Yes, the Partner of Record status will be automatically transferred to the new, upgraded subscription.

How will Partners selling through Advisor be compensated on the upgraded seats? The Switch Plans tool creates a new subscription for the newly upgraded seats, cancelling the existing subscription. The upgraded seats will be treated as a new sale, and partners will be paid Advisor incentives accordingly, earning both Sell and Manage incentives, as well as any Accelerator incentives the Partner is eligible for (i.e. Cloud Accelerate).

Why am I not eligible to switch plans? We have prioritized the top transitions, but some scenarios are not currently supported, such as customers with multiple subscriptions or customers with add-ons. We will release an update for these customers to enable them to move plans.

42

Office 365 admin center > licensingClick Switch Plans link to the right of subscription

Switch Plans feature available for direct or advisor customers. AdvisorThis example is of a Midsize Business customer moving to Enterprise E3. The process works the same for a customer moving to Business Premium.

Choose a new plan pageSee a list of all available plans that you may switch too with new subscription pricing

Advisor

Review and pay for new plansOld subscription will be automatically cancelled and a prorated credit for any unused service will be returned

AdvisorFollow the steps to pay and you are done!Note: This process signs the customer up for a new Office 365 subscription, with a new end date of 1 year from use of Switch Plans tool.

Switching plans finished!

ok

Microsoft Office 365 Midsize Businessto Office 365 Enterprise E3.

Advisor

Switching plans in Open/FPP/ESDAfter October 1, 2015

Coming soon.Microsoft is working on building a Switch Plans experience for Open, FPP & ESD customers.

Switching plans in OpenPrior to Oct 1, 2015

Renewing to new plans in Open (today)Microsoft will be releasing update by October 1, 2015, for all Prepaid customers to move to the new plans. Some current Open customers can move starting Oct 1, 2014 Exchange Online plan 1, OneDrive for Business and other standalone products. This process is as follows.Purchase necessary number of licenses of new Office 365 planChange each users license from their currently expiring Office 365 plan to the new Office 365 plan. This process can be done user by user, or done in bulk using PowerShell. Old Office 365 plan will expireCustomers will be able to renew to their new Office 365 plan without any downtime or data loss.

Why cant I use the switch plans feature? The Switch Plans feature is available for customers who have a direct billing relationship with Microsoft, in order to issues credits for the original subscriptions during the upgrade.

Customers who buy Office 365 through Open purchase directly from a partner and therefore do not have a billing relationship with Microsoft. Microsoft current has no ability to understand the purchase price (as partners can set their own prices) or to issue a refund for the original subscription.

50

Office 365 admin portal > licensingHere you will see your active Office 365 subscriptions.

Product KeyE1Expires March 30, 2014Note lack of Switch Plans option. Feature not available for subscriptions setup through OpenCurrent subscription approaching expiration The following example shows a customer moving from Enterprise E1 to Enterprise E3. The process for moving from a standalone plan to a new SMB plan is the same.Open

Office 365 admin portal > users and groups > [user]No action on this page. Visit this location to see current licensing status for your users.

(Plan 1)(Plan 1)Plan E1Open

Go to office.com/setup365On the right side, sign into your Office 365 account (if you are not already signed in)

Very Important: Confirm you are logged into the Office 365 tenant in which you would like to add the licenses. DO NOT create a new Office 365 accountCustomer needs to purchase the necessary licenses from their partner. In this example, 25 licenses of Office 365 Enterprise E3.Open

Add more user licensesEnter the Enterprise E3 product key code in here (purchased from partner for 25 seats)

25 user licensesOpen

Office 365 admin portal > licensing

You can now see your newly added licenses for Enterprise E3

Product KeyE1

Expires March 18, 2015New Enterprise E3 licenses now appear along with previous E1 licensesExisting E1 licenses still set to expire on March 30, 2014. Minimal overlap limits any extra cost associated with upgrade Expires March 30, 2014Open

Office 365 admin portal > users and groups > [user]User is current assigned an E1 license. You can see the 25 new Enterprise E3 licenses that were purchased.

(Plan 1)(Plan 1)Plan E1

25New licenses now appear. User is still licensed for E1

Open

Office 365 admin portal > users and groups > [user]Manual upgrade for this user is complete. Replicate for all additional users.

(Plan 1)(Plan 1)Plan E1

241

User is now licensed for E3Click Save, and repeat for each user you would like to upgradeOpen

End user update experienceAfter an organization moves from their current Small Business or Midsize Business plan to a new Business Premium plan, each end user will have a few steps to complete: 1) Sign into Office -> Office will update2) Install Lync Basic (for organizations using Lync)

Note process is same for customers who have bought from an partner selling through Advisor model and customers who have purchased on Office365.com. 58

End-user Office update experienceCustomers moving from Small Business Premium or Midsize Business to new Business Premium plan. Update process will begin. Will only install/uninstall differences between this and ProPlus, so should be quickSubscription Expired

Sign inSelect optionSelect sign in

Note: Microsoft will release an update to make this language more end-user friendly.Microsoft Office 365 Business

Lync to Lync Basic

The update process will uninstall the Lync application. Business Premium includes a different but almost identical version of Lync known as Lync Basic. End-users who wish to continue using Lync will simply have to download Lync Basic from their Software portal in Office 365. https://portal.office.com/OLS/MySoftware.aspx Core FunctionalityLync BasicLyncInstant MessagingPresence free/busyLync to Lync voice callsHD video calls (1:1, group)Lync to Skype connectionOnline MeetingsScreen sharingAudio & videoVirtual whiteboardsShared notesAdd conf. details to OutlookExternal participantsOtherMobile appsPSTN connections

Microsoft is working on an update to make the Lync Basic download more visible to end users who have just undergone the update process. Note: end-users without Lync or Lync Basic installed will default to the Lync Web App experience -> so no users will not be stuck without the ability to join, present and participate in online meetings.

Screenshot is for todays Software download portal, this is being updated prior to Oct 1 launch. 9/30/201460Microsoft Office365 2012 Microsoft Corporation. All rights reserved. Microsoft, Windows, and other product names are or may be registered trademarks and/or trademarks in the U.S. and/or other countries.The information herein is for informational purposes only and represents the current view of Microsoft Corporation as of the date of this presentation. Because Microsoft must respond to changing market conditions, it should not be interpreted to be a commitment on the part of Microsoft, and Microsoft cannot guarantee the accuracy of any information provided after the date of this presentation. MICROSOFT MAKES NO WARRANTIES, EXPRESS, IMPLIED OR STATUTORY, AS TO THE INFORMATION IN THIS PRESENTATION.

2012 Microsoft Corporation. All rights reserved. Microsoft, Windows, and other product names are or may be registered trademarks and/or trademarks in the U.S. and/or other countries.The information herein is for informational purposes only and represents the current view of Microsoft Corporation as of the date of this presentation. Because Microsoft must respond to changing market conditions, it should not be interpreted to be a commitment on the part of Microsoft, and Microsoft cannot guarantee the accuracy of any information provided after the date of this presentation. MICROSOFT MAKES NO WARRANTIES, EXPRESS, IMPLIED OR STATUTORY, AS TO THE INFORMATION IN THIS PRESENTATION.

2012 Microsoft Corporation. All rights reserved. Microsoft, Windows, and other product names are or may be registered trademarks and/or trademarks in the U.S. and/or other countries.The information herein is for informational purposes only and represents the current view of Microsoft Corporation as of the date of this presentation. Because Microsoft must respond to changing market conditions, it should not be interpreted to be a commitment on the part of Microsoft, and Microsoft cannot guarantee the accuracy of any information provided after the date of this presentation. MICROSOFT MAKES NO WARRANTIES, EXPRESS, IMPLIED OR STATUTORY, AS TO THE INFORMATION IN THIS PRESENTATION.9/30/201461

Comparing Office apps in current SMB plans with Office 365 BusinessOffice ApplicationsSmall Business PremiumMidsize BusinessBusiness PremiumVersion of Office applications included:customProPlusBusinessWord, Excel, PowerPoint, OneNote, Outlook, PublisherLync Basic (core Lync functionality)Lync PSTN capability (for enterprise voice)AccessCore ValueOneDrive for Business cloud storage1TB1TB1TBOffice Online Core Excel BI features: PowerMap, PowerQuery (public data)Enterprise ValueEnterprise Excel BI features: PowerPivot, PowerQuery (enterprise data), PowerView, spreadsheet compare/inquireIT controls: group policy, app telemetryLicensingPC/Mac installs555Tablet installs555iOS/Android smartphone555iPad AppsOffice 2013 RT commercial use rights

9/30/201462Microsoft Office365 2012 Microsoft Corporation. All rights reserved. Microsoft, Windows, and other product names are or may be registered trademarks and/or trademarks in the U.S. and/or other countries.The information herein is for informational purposes only and represents the current view of Microsoft Corporation as of the date of this presentation. Because Microsoft must respond to changing market conditions, it should not be interpreted to be a commitment on the part of Microsoft, and Microsoft cannot guarantee the accuracy of any information provided after the date of this presentation. MICROSOFT MAKES NO WARRANTIES, EXPRESS, IMPLIED OR STATUTORY, AS TO THE INFORMATION IN THIS PRESENTATION.

Pricing changes for Midsize BusinessMidsize Business price is being reduced to an effective price of $12.50 USD, to match the new Business Premium plan which will be available on October 1, 2014. Existing customers will realize the price change during their next renewal. This reduced price will continue until customers renew to Business Premium. New customers will realize the reduce price on new purchases starting August 1, 2014. This will stay in effect until the launch of the new Office 365 plans on October 1, after which Midsize Business will no longer be available for purchase.ChannelStart DateEnd DatePrice change methodOpenAugust 1, 2014September 30, 2014On-pricelist promotional SKU. Partner can buy & sell M renewal SKUSyndicationAugust 1, 2014September 30, 2014Pricelist changeAdvisorAugust 1, 2014September 30, 2014New customers will see a notification on Office.com during the checkout process. Reduced price rice change also visible in Office 365 admin center at renewal, for existing customers. Direct August 1, 2014September 30, 2014New customers will see a notification on Office.com during the checkout process. Reduced price rice change also visible in Office 365 admin center at renewal, for existing customers.

Details for new customers by channel

At their next renewal, existing Office 365 Midsize Business customers who have purchased through Direct and Advisor channels will see a price reduction from $15/user/month $USD with an annual commitment to $12.50/user/month $USD with an annual commitment. This is to match the new Office 365 Business Premium plan, which has a similar feature set, priced at $12.50/user/month $USD with an annual commitment.

Open customers may be able to purchase additional seats and renew their subscription of Office 365 Midsize Business at a reduced price. Microsoft is lowering the ERP for 1 year of Midsize Business from $180/user/year USD to $150/user/year USD. Actual purchase price may vary from partner to partner.

9/30/201463Microsoft Office365 2012 Microsoft Corporation. All rights reserved. Microsoft, Windows, and other product names are or may be registered trademarks and/or trademarks in the U.S. and/or other countries.The information herein is for informational purposes only and represents the current view of Microsoft Corporation as of the date of this presentation. Because Microsoft must respond to changing market conditions, it should not be interpreted to be a commitment on the part of Microsoft, and Microsoft cannot guarantee the accuracy of any information provided after the date of this presentation. MICROSOFT MAKES NO WARRANTIES, EXPRESS, IMPLIED OR STATUTORY, AS TO THE INFORMATION IN THIS PRESENTATION.

Key Transition InformationNew plans available in ALL channels from October 1, 2014. Midsize & Small Business plans no longer available for sale to new customers on October 1, 2014.

Guidance for existing Midsize & Small Business plan customers is to continue using their current plans until their first renewal after October 1, 2015. Existing Midsize & Small Business customers will continue to get new features and updates. Customers can add seats as needed.

Price of Midsize Business (M) drops to $12.50 ERP starting August 1, 2014. Office 365 Small Business (P1) & SBP (P2) cap raised to 300 users on October 2014.

Heres what to do