Licensing Guide for Partners
Leveraging Data Center
Providers and Software
Services Resellers
LEVERAGING DATA CENTER PROVIDERS AND SOFTWARE SERVICES RESELLERS:
LICENSING GUIDE
Table of Contents
Introduction ............................................................................................................................................................................................ 1
What are Data Center Providers, Software Services Resellers and Outsourcing Companies, and how do
they work together? ............................................................................................................................................................................ 1
Using Data Center Providers ........................................................................................................................................................... 1
Using Software Services Resellers ................................................................................................................................................. 2
Using Microsoft Windows Azure as a Data Center Provider .............................................................................................. 5
Using Outsourcing Companies ....................................................................................................................................................... 5
Frequently Asked Questions ............................................................................................................................................................ 7
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Introduction
With an increasing dependency on virtualization technologies and a growing number of Service Providers looking to consume
infrastructure as a service (“IaaS”), Service Providers have requested greater flexibility under the Services Provider License
Agreement (SPLA) to host their offers on the platforms of other high capacity Service Providers (Microsoft Windows Azure and
others). The upcoming 2013 version of the SPLA addresses this scenario, both from the perspective of the Service Provider that
acquires IaaS and the Service Provider that provides IaaS. This Licensing Guide explains Microsoft’s policy with regard to the
entities’ related roles and responsibilities under the SPLA. It also addresses the policies with regard to the use of Outsourcing
Companies and Software Services Resellers.
What are Data Center Providers, Software Services Resellers and
Outsourcing Companies, and how do they work together?
Data Center Providers, Software Services Resellers and Outsourcing Companies are different entities with which Service Providers
can engage to facilitate the delivery of Software Services to end users.
A.
A Data Center Provider is a Service Provider that provides Software Services, usually IaaS, to another Service Provider
using Products licensed from Microsoft through its own SPLA.
B.
A Software Services Reseller is a legal entity that resells a Service Provider’s Software Services to end users. In some
cases, a Software Services Reseller can be another Service Provider that consumes IaaS from a Data Center Provider while
providing Software Services to end users under its own SPLA or offering services to end users based on non-Microsoft
products.
C.
An Outsourcing Company is an entity that performs data center management services or installation services for a
Service Provider.
Below is a more detailed explanation of how Service Providers work together with Data Center Providers, Software Services
Resellers and Outsourcing Companies, and how a Service Provider itself could function in any or all of these roles.
Using Data Center Providers
Microsoft does not require Service Providers to deliver Software Services out of their own data center. Service Providers may
acquire IaaS through a Data Center Provider. In this case, the Service Provider sells Software Services (e.g., hosted Microsoft®
Exchange) that are consumed and reported under its SPLA, but deployed on a Data Center Provider’s platform. The underlying
infrastructure layer is consumed and reported as IaaS under the Data Center Provider’s separate SPLA. In this model, the Service
Provider is also considered a Software Services Reseller for the Data Center Provider.
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LEVERAGING IAAS PROVIDERS AND SOFTWARE SERVICES RESELLERS: LICENSING GUIDE
Figure 1: Using a Data Center Provider - Selling software as a service (“SaaS”) on top of a Data Center Provider’s platform.
Contoso,
Inc.
End users acquire SaaS (e.g., hosted Microsoft Exchange) directly from Contoso, Inc. as a Service Provider.
1
Contoso, Inc., the Service Provider, reports SALs for Products comprising SaaS under its SPLA and, as a Software Services Reseller acquires IaaS (e.g., Microsoft Windows
Server, Microsoft System Center) from its Data Center Provider.
2
The Data Center Provider reports Processor and Core licenses for IaaS consumed under its SPLA.
3
Not all Products available through the SPLA are eligible to be included in Software Services delivered on top of a Data Center
Provider’s platform. The Services Provider Use Rights (SPUR) lists the Products that a Service Provider can include in Software
Services it delivers on top of a Data Center Provider’s infrastructure. While Microsoft permits Service Providers to leverage Data
Center Providers, Service Providers are still required to accurately report the Products used for their Software Services. A Service
Provider needs direct access to the physical hardware in a data center to accurately determine the number of processors and/or
cores used to support infrastructure software, as well as to stay compliant with the applicable use rights stipulated in the SPUR.
Accordingly, Products licensed under the per processor and per core licensing models in the SPLA are not eligible for Software
Services delivered on top of a Data Center Provider’s platform, and instead should be acquired from the Data Center Provider.
Service Providers that provide Software Services on top of a Data Center Provider’s platform must disclose to Microsoft upon
request the name and address of its Data Center Provider, and allow Microsoft to conduct a reasonable inspection of all the Data
Center Provider’s servers that contain Products licensed under the Service Provider’s SPLA.
Using Software Services Resellers
As an alternative to selling Software Services directly to end users, Microsoft allows Service Providers to sell Software Services
through Software Services Resellers. In this case, either:
A.
the Service Provider could be acting as a Data Center Provider for another Service Provider (as described in the “Using
Data Center Providers” section above) (see figure 2 below);
B.
the Service Provider could be using a reseller (not necessarily another Service Provider) to distribute both its IaaS and
SaaS applications to end users (see figure 3 below); or
C.
the Service Provider could be acquiring IaaS from a Data Center Provider (as described in the “Using Data Center
Providers” section above) while also using a Software Services Reseller to distribute its SaaS applications to end users (see
figure 4 below).
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Each case is allowed in the SPLA, and in all cases, the Service Provider is required to maintain agreements with its Software
Services Resellers ensuring that certain requirements are met. For example, while Microsoft allows flexibility in how Service
Providers structure and deliver their offerings, Service Providers must take measures to ensure that all Product deployment and
use is permitted, and tracked and reported in accordance to the SPLA terms, and that compliance with the SPLA and SPUR can be
verified. Upon Microsoft’s request, the Service Provider is also required to disclose the names and addresses of its Software
Services Resellers (including other Service Providers using its IaaS) to Microsoft. The Service Provider can distribute Client Software
(as specified in the SPUR and in accordance with its SPLA) through its Software Services Resellers to the end user, but remains
responsible for ensuring that all end users’ use of those Products is authorized.
Figure 2: Using Software Services Resellers - Selling IaaS as a Data Center Provider to Other Service Providers (see graphics key on page 1).
Contoso,
Inc.
End users acquire SaaS (e.g., hosted Microsoft Exchange) directly from their Service Provider.
1
The Service Provider, as a Software Services Reseller, acquires IaaS (e.g., Windows Server, System Center) from Contoso, Inc., the Data Center Provider.
2
Contoso, Inc., as the Data Center Provider, reports Processor and Core licenses for IaaS consumed under its SPLA.
3
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Figure 3: Using Software Services Resellers - Selling SaaS and IaaS to end users through Software Services Resellers (see graphics key on page 1.)
Contoso,
Inc.
End users acquire SaaS (e.g., hosted Microsoft Exchange) and IaaS (e.g., Windows Server) from a Software Services Reseller.
Contoso, Inc., as the Service Provider delivering both SaaS and IaaS, reports SALs for SaaS applications and Processor and Core licenses for IaaS consumed under its SPLA.
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Figure 4: Using Software Services Resellers - Selling SaaS to end users through Software Services Resellers on top of IaaS acquired through Data Center
Providers (see graphics key on page 1).
Contoso,
Inc.
End users acquire SaaS (e.g., hosted Microsoft Exchange) from a Software Services Reseller.
1
Contoso, Inc., as Service Provider delivering SaaS, report SALs for Products consumed under its SPLA and at the same time, as a Software Services Reseller, acquires IaaS
(e.g., Windows Server, System Center) from the Data Center Provider.
2
The Data Center Provider reports Processor and Core licenses for IaaS consumed under its SPLA.
3
Using Microsoft Windows Azure as a Data Center Provider
The Microsoft Windows Azure Services platform is considered a “Data Center Provider” and can be used by Service Providers to
deliver Software Services under the same terms as those governing the use of other Data Center Providers. Use of Products on
Windows Azure is subject to Microsoft’s verification under the terms of the Service Provider’s SPLA. Windows Azure is not
available through the SPLA. It can be purchased either directly at www.windowsazure.com or via a Microsoft Volume Licensing
Enterprise Agreement.
Using Outsourcing Companies
Companies that provide hardware resources and/or management services without an operating system layer or other Software
Services are considered Outsourcing Companies under a SPLA. They perform data center administration, testing and maintenance
support services on servers on a Service Provider’s behalf. They also usually provide a Service Provider data center space and fully,
physically dedicated servers, but can also operate within the Service Provider’s own data center (see figures 5 and 6 below).
Service Providers that use Outsourcing Companies are required to enter into agreements with the Outsourcing Company to
ensure authorized access only to the Products run in the Outsourcing Company’s data center and to allow access to and
inspection by Microsoft of servers running those Products. Conceptually, leveraging an Outsourcing Company is like outsourcing
one’s data center functions and responsibilities to a third party.
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LEVERAGING IAAS PROVIDERS AND SOFTWARE SERVICES RESELLERS: LICENSING GUIDE
Figure 5: Using Outsourcing Companies - Selling SaaS and IaaS to end users using an Outsourcing Company’s Data Center and Services (see graphics key on page 1).
Contoso,
Inc.
End users acquire SaaS (e.g., hosted Microsoft Exchange) and IaaS (e.g., Windows Server, System Center) from Contoso, Inc., the Service Provider.
Contoso, Inc., as Service Provider, reports SALs for SaaS and Processor and Core licenses for IaaS consumed under its SPLA, while outsourcing its operations through an
Outsourcing Company that provides data center space.
Figure 6: Using Outsourcing Companies - Selling SaaS and IaaS to end users using an Outsourcing Company’s Services (see graphics key on page 1).
Contoso,
Inc.
End users acquire SaaS (e.g., hosted Microsoft Exchange) and IaaS (e.g., Windows Server, System Center) from Contoso, Inc., the Service Provider.
Contoso, Inc., as Service Provider, reports SALs for SaaS and Processor and Core licenses for IaaS consumed under its SPLA, while outsourcing its operations within its own
data center through an Outsourcing Company.
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Frequently Asked Questions
1. What Products may I license via a SPLA and deploy with a Data Center Provider?
The Products you are permitted to license and deploy on a Data Center Provider’s platform (or cloud environment) are
identified in the SPUR (as of the October 2013 update).
2. Can I license Per Processor and/or Per Core products via my SPLA and deploy them on a Data
Center Provider’s platform?
No, Per Processor and Per Core products are not eligible for licensing and use on top of a third party infrastructure provider’s
platform (or cloud). While the SPLA program allows a Service Provider to provide Software Services even if it does not own a
data center, the Service Provider is still required to accurately report the Microsoft products used to provide its Software
Services. The Service Provider needs to have the day to day management over the physical data center to accurately
determine the processors and/or cores used to support infrastructure software. The Products Service Providers are permitted
to license and use on a Data Center Provider’s platform are identified in the SPUR (as of the October 2013 update).
3. I provide third party access to a qualified Unified Solution under the Self-Hosted Applications
Software Assurance Benefit. Can I move that Unified Solution to Windows Azure or another
infrastructure provider’s cloud?
No. The license terms governing the use of Microsoft products under the Self-Hosted Applications Software Assurance Benefit
require that all of the Microsoft products used within and in conjunction with the Unified Solution have active Software
Assurance coverage and are licensed under one of the Volume Licensing programs. Accordingly, infrastructure as a service
acquired through either Microsoft Windows Azure or a third party provider cannot be considered part of your Unified
Solution.
4. What’s the difference between a Data Center Provider and an Outsourcing Company in my
SPLA?
A Data Center Provider generally provides access to both the hardware on which the software is running and the
infrastructure as a service. A Data Center Provider is also a Service Provider delivering Software Services under its own SPLA. A
typical Outsourcing Company simply provides the hardware and day to day management of the data center. When you use
an Outsourcing Company, the hardware allocated to you will be dedicated to your use (i.e., single-tenant).
5. I am a Service Provider, and I want to use a third party data center to deliver my Software
Services. The company I am working with does not offer SQL Server. Can I still use and report
Microsoft SQL Server under my SPLA?
SQL Server is available for use on top of a Data Center Provider’s platform under the SAL model only. You cannot use and
report SQL Server under the Per Processor or Per Core model on top of a Data Center Provider’s platform (or cloud). If SQL
Server per SAL is not a practical option for you, you can find a Data Center Provider that provides the infrastructure Products
you need.
6. I am a Service Provider without my own data center. Can I deploy on a third party provider’s
platform using Products I report under my SPLA?
Yes, however, you need to obtain infrastructure software (for example, Windows Server, System Center, SQL Server Enterprise)
from the Service Provider that also provides hardware (meaning from a Data Center Provider). While the SPLA program allows
a Service Provider to provide Software Services even if it does not own a data center, the Service Provider is still required to
accurately report the Microsoft products used to deliver its Software Services. The Service Provider needs to have the day to
day management over the physical data center to accurately determine the number of processors and/or cores used to
support infrastructure software. Microsoft allows Service Providers who deploy on Data Center Providers’ platforms to use and
report application products because Service Providers can accurately count user SALs. In other words, Service Providers do
not need to know physical hardware specifications to properly license application products under the SAL license model.
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7. Do I have to disclose who my Data Center Provider is to Microsoft?
Yes, you must identify your Data Center Provider to Microsoft upon Microsoft’s request. Any time you are using third parties
to deliver your Software Services to end users, whether it is Data Center Providers, Software Services Resellers or Outsourcing
Companies, Microsoft may require you to disclose their name and address.
8. I am a Data Center Provider; do I have to audit my customers who buy infrastructure as a
service from me? (Am I responsible for their compliance if they have a separate SPLA with
Microsoft?)
You are not required to audit your customers who buy Software Services from you; however, as a Data Center Provider, you
are required to enter into agreements with your Software Services Resellers obligating them to pass through to their end
users certain terms and conditions regarding use of the Products reported under your SPLA, and ensuring Microsoft’s right to
verify compliance with those terms. You are responsible for ensuring the obligations under your SPLA (e.g., compliant use of
the Products included in the Software Services you provide) are met. Your customer’s SPLA sets forth its obligations with
respect to the Software Services comprised of Products it licenses from Microsoft.
9. Can Volume Licensing customers use License Mobility through Software Assurance to deploy
Products with a Data Center Provider?
No, because a Data Center Provider, by definition, is a Service Provider that provides infrastructure as a service to other
Service Providers. Volume Licensing software that is eligible to be deployed on shared third party servers under License
Mobility through Software Assurance cannot be accessed and used for the benefit of third parties. A Volume Licensing
customer may deploy licenses in a data center of an entity that provides infrastructure as a service for both end users and
Service Providers alike, but its Volume Licensing software is still limited to internal use only (License Mobility through
Software Assurance does not allow Volume Licensing customers to provide a hosted service).
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