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The Changing Microsoft Partner Model is Impacting Your Azure Hosting

The Microsoft Azure cloud platform is now capable of supporting your organisation’s mission-critical applications and business processes in a sophisticated virtual environment.

Not only does Azure hosting provide a more cost-effective alternative to the traditional on-premise IT model, but it also directly reflects the recent global shift to remote work.

For Azure customers, finding a Microsoft partner to host and deploy your workload in the cloud for you is usually the most common approach to Azure hosting. However, working with a consultant or Azure hosting partner can be extremely costly.

If you’re reading this article, you’re probably already well aware of how the Microsoft partner model works. What you may not be aware of, though, is how a recent change to the partner model is impacting the prices partners will now charge you for Azure hosting.

If your hosting agreement is procured under the Azure CSP model then please read our article discussing that topic in detail here

The Azure partner model has been changed recently, so partners no longer receive the financial rewards they used to from a percentage of their customers’ fees.


What does this mean? Well, as those fees are removed, your costs will be significantly higher than they were previously, with most partners now increasing their fees because the percentage they’re paid is eroding over time.

Many Microsoft Azure hosting customers are now seeing their costs increase from their provider. This is making it far less financially-viable to take this approach to Azure hosting.

As this partner model changes, you could be at serious risk of rising prices for your cloud-based IT infrastructure. So, what can you do?

Thankfully, there are plenty of options available to you, and far more cost-effective solutions to Azure hosting. You can find Azure cloud specialists who work closely with you to understand your business goals, then recommend solutions tailored to meet your unique requirements as your business evolves.

If you want to learn more about how current trends and changes in the Microsoft Azure ecosystem will affect your business, read our in-depth article here where we explore this topic in detail.