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| SPLA Ends Extended Term Licensing Option |
| Thursday, 10 November 2011 |
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Customers pay for hosted services and applications on a monthly basis, and service providers remit monthly payments to Microsoft for the services and applications that get used. For many products offered under SPLA, Microsoft offered an approximately 12% discount to hosters willing to make an upfront three-year commitment with ETLs. With no minimum purchase requirements, ETLs were beneficial to larger ISVs and outsourcers with stable infrastructures or anyone willing to commit purchasing SPLA licenses over three years. ETLs were billed in three annual installments, and no additional monthly reporting is required. Without the ETL option, hosters will not have the same discounts, and prices will not be fixed for the three-year SPLA term.
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