1. Selling the value! Craig Martyn Licensing Specialist

2. Agenda Which agreement is the right agreement? Pricing waterfall & Platform discounts. Enhanced Enterprise Desktop. Microsoft’s Product Lifecycle. SA Benefits. Post wave 12 EA Renewals. Questions & Wrap up

3. Which agreement is best? Ask the customer!

4. Which Agreement is best? Ask the customer! Ask Business questions, not licensing questions. How does your Customer like to do business. Try to understand the customer’s pain points. Explain how your proposed licensing solution best meets the customer’s needs. Remember: “Prescription without diagnosis is mal-practice”!

5. 5 Transactional Incorporates program and volume discounts – Open NL to Select A 3.8%, to Select B 10.4%, to Select C 18%, and to Select D 24% Committed Provides 15% (10% in OV) programmatic discount for further company-wide volume purchases in EA Committed Platform 15% to share the cost savings related to standardization

6. Pricing Waterfall - Example Enterprise Discount on LSA = 15% Enterprise Discount on SA = 5% Platform Discount on LSA = 15% Platform Discount on SA = 5% Select Level A (assume 10% LAR margin) EA Level A (Direct Corporate) 250 Seats (OS shouldn’t be at Select level A)

7. Pro Desktop Value

8. What does it cost to take out the OS? 250 x $17.31 x 3 = $12,982.50 Less loss of SA Benefits; 10 Day Training Vouchers ($10,000) eLearning for Windows ($15,000) Extended Hot Fix Support($150,000) Windows Fundamentals(Priceless!) Win PE for XP(Priceless!) Windows Vista Enterprise(Priceless!) (BitLocker, MUI, SUA, 4 Virtual OS, Ultimate) Eligibility for MDOP (SoftGrid, Assetmetrix, Group Policy, Recovery) Loss of Platform Discount!!!!!

9. Core CAL Value

10. eCAL Suite Value

11. Office SA Step Up Value

12. Enhanced Enterprise Desktop Windows Server CAL Office Exchange Server Std CAL Office SharePoint Server Std CAL Systems Management Server CAL Core CAL Suite Office Communications Server Std CAL Office SharePoint Enterprise CAL Office Exchange Enterprise CAL Windows Rights Mgmt Services CAL Microsoft Operations Mgr Client OML Office Communications Server Ent CAL Forefront Security Suite Outlook Word Excel Power Point Integrated Enterprise Content Mgmt Integrated Electronic Forms Information Rights & Policy Access Publisher Communicator OneNote Groove Office Professional Plus 2007 Four Virtual Operating Systems Windows BitLocker Drive Encryption Multi-lingual User Interface (MUI) Subsystem for Unix-Based Apps (SUA) Windows Vista Business Application Virtualization & Streaming Recovery & Diagnostic Toolset Advanced Group Policy Management SW Asset Inventory Services Windows Vista Enterprise MS Desktop Optimization Pack for SA Optimized Windows Client SA + SQL Server CAL (Option)

13. Microsoft’s Product Support Lifecycle Length of Support Guarantee: Microsoft guarantees a minimum of 10 years of support for Business & Developer Software Mainstream Support: Incident Support (no-charge incident support, paid incident support, support charged on an hourly basis, support for warranty claims) Security update support The ability to request non-security hotfixes Extended Support: All paid incident support options Security update support at no additional cost Non-security related hotfix support requires a separate Extended Hotfix Support contract to be purchased. Per-fix fees also apply. Microsoft will not accept requests for warranty support, design changes, or new features during the Extended support phase.

14. Evolving To Meet Customer Needs March 2006 Launched a competitive traditional maintenance offer including Spread Payments and New Version Rights with a vision for future value 2001 Announcing new benefits to address value and satisfaction feedback and differentiate the maintenance offer. Training, Support, Home Use, EPP, eLearning, TechNet, WinPE, CER, Disaster Recovery, ESLP... September 2003 Benefit Flexibility Major enhancements focus on customer value with biggest software release on horizon.

15. SA Benefits New Version Rights Spread Payments Windows Vista Enterprise 4 x Virtual OS Training – Enhanced for Enterprise Customers in 2006 eLearning Home Use Program Employee Purchase Program Enterprise Source License Program Desktop Deployment Planning Services Information Work Solution Services Windows Pre-Installation Environment Extended Hotfix Support 2006 Windows Fundamentals for Legacy PCs 24x7 Problem Resolution Support TechNet Plus Cold Back Up for Disaster Recovery Corporate Error Reporting

16. What do the analysts say about SA? Gartner Report (In your bag) IDC Yankee Group Report Forrester RIO Tool (MS Website) Case studies (CSR) Make sure you get SA Benefits activated. Research shows that renewal rates for Customers who have deployed and used at least one SA Benefit are greater than 90%

17. Why should I renew my EA? Post launch renewals. The Future is bright! The Future starts today! Economics favour renewal! More to come in the next few months

18. Thank You Microsoft provides this material solely for informational and marketing purposes. Customers should refer to their agreements for a full understanding of their rights and obligations under Microsoft’s Volume Licensing programs. Microsoft software is licensed, not sold. The value and benefit gained through use of Microsoft software and services may vary by customer. Customers with questions about differences between this material and the agreements should contact their reseller or Microsoft account manager. © 2006 Microsoft Corporation. All rights reserved. Microsoft is a registered trademark of Microsoft Corporation in the United States and/or other countries.