Microsoft EA Optimization & Negotiation
A global manufacturer known for its innovation and engineering excellence, needed to renew their Microsoft licenses. With their Microsoft Enterprise Agreement nearing expiration, the company recognized the urgency to evaluate and align its technology strategy with its long-term business objectives. This case study explores how the company defined their digital needs, optimize its technology investments, and avoided a significant price increase.
The Challenge.
In this case study, we explore the challenge of renegotiating a Microsoft Enterprise Agreement. Due to Microsoft’s price increases over the last three years, the organization faces the difficult task of avoiding a significant price increase without any new technology commitments. Furthermore, the organization downsized its commitment, which complicated the negotiation process. The challenge lies in minimizing the budget increase.
The Solution.
To address the challenge of renegotiating our Microsoft Enterprise Agreement, we asked the support of 2Data’s Microsoft Optimization Service. Leveraging their deep licensing expertise and market insights, 2Data assisted us in optimizing our license and Azure spending while developing a strategic negotiation plan.
Although we had already optimized our contract during its term and did not anticipate further optimizations, 2Data’s methodology optimized our licenses even further. By analyzing our current usage and targeted workshops to determine our technology needs, they identified additional opportunities for optimization. These optimizations focused on Azure, Windows Server licensing, and the Microsoft 365 technology stack. Despite these improvements, we still faced a lower—but significant—price increase.
In the second phase of the project, 2Data supported us in creating a robust negotiation strategy that strengthened our position. Utilizing 2Data’s licensing expertise and market insights was crucial. It provided us with an optimized Bill of Materials (BOM) and a strong negotiating position, resulting in an outcome that exceeded all benchmark data.
The Outcome.
As a result of our collaboration with 2Data, we successfully mitigated the substantial price increase that initially threatened our budget. By leveraging 2Data’s strategic insights and optimization techniques, we were able to secure a commercial contract that aligned with our budget constraints. The final agreement not only reduced the anticipated financial impact but also ensured that we maintained access to the necessary technology and services without compromising our operational needs. This outcome represented a significant achievement, balancing cost management with our ongoing technological requirements.
