Select Licensing Phased Out by 2016

The phase-out of Microsoft’s Select License program will complete by the close of 2016, ending an eight-year period wherein customers could choose between the legacy Select volume licensing program and a newer variant called Select Plus. While in many ways customers may find Select Plus preferable, there may be circumstances in which Select Licensing could be used tactically to garner higher discount levels or to reduce the cost of acquiring rights to a future software version. As a result, some organizations may want to renew old Select Licensing agreements or start a new one while they still have the opportunity.

Although Select Plus was introduced in Oct. 2008, it was not until Mar. 2010 that Microsoft announced the eventual phase-out of the older Select License program. Starting July 1, 2011, Microsoft will no longer allow customers to enter into new Select License agreements. However, Select License agreements already in effect will continue under their original terms, which might include the right to renew for a one-year or three-year period. Even if renewed, the last of these agreements will expire by late 2016 (see the illustration “Phaseout of Select Licensing Agreements“), leaving Select Plus as the only comparable customer option for volume purchases.