Microsoft’s Software Assurance program (SA) is utilized by companies that purchase Microsoft software in volumes (typically 5 or more licenses). The SA program can be thought of as a Microsoft insurance policy for the purpose of offsetting the costs of re-purchasing software upgrades at new (typically higher) prices, and is similar to a maintenance contract for software. The way Software Assurance works is that the buyer of the software, at the time of purchase, agrees to sign up for SA and pays an additional fee, typically 20-25% of the total software price per year for the benefits of SA. Benefits are as follows:
- Additional levels of support for software
- Home use program – allows employees to install licensed software at home
- eLearning courses
- Free updates to the latest major releases of software (no need to re-purchase or pay upgrade fees)
For many customers who purchase Microsoft software in volume, and depending on the usage of the software, the SA program can make real financial sense from a cost-benefit standpoint. For example, companies that typically need to upgrade to the latest version of Microsoft’s software within 2-3 months of its release in order to take advantage of newer features should buy into the SA program. The SA program makes sense for companies who are eager to test and deploy the latest features of Microsoft software as soon as the new releases become available.
Of course, the decision to enroll software in the Software Assurance program is essentially limited by budget and upgrade considerations. Companies should at least consider the following:
- Impact of SA on the yearly IT budget vs. one-time upgrade costs
- Importance to the company of having the latest and greatest software at its disposal
Tags: licensing
