Microsoft EA vs CSP vs MCA

How the Enterprise Agreement, Cloud Solution Provider, and Microsoft Customer Agreement differ on price, term, and seats.

Microsoft sells the same products through three commercial paths. The Enterprise Agreement is the direct multi-year contract. Cloud Solution Provider is a partner resale. The Microsoft Customer Agreement is the newer direct paper, with an enterprise form called MCA-E.

The price gaps, as this library states them, are small next to a bad SKU mix, and they are real.

How the three differ#

PathWho you buy fromTerm shapeWhat the library says about price
Enterprise AgreementMicrosoft, directFixed term, often 36 months, with an anniversary true-upThe reference rate the other two are compared with
Cloud Solution ProviderA partnerMonthly, 12-month, or 36-month blocks under New CommerceAbout 3 to 8 percent above a comparable EA
MCA-EMicrosoft, directEvergreen, with 12, 24, or 36 month billing blocksAbout 1 to 3 percent below a comparable EA on M365

The CSP range is from the Cloud Solution Provider page, which also notes a wider gap on Azure than on frontline SKUs, and partner margin of 6 to 22 percent that may or may not be passed through. The MCA range is from the Microsoft Customer Agreement page, which puts Azure within about 1 percent of EA when a MACC sits on the agreement, and warns that buyers who had EA level protection can lose that step-down when the levels are gone. The Enterprise Agreement page is the baseline those comparisons use.

What changes in the negotiation#

An EA has a date. The anniversary true-up and the end of the 36 months are when quantity and price get reopened. True-up vs true-down is the quantity mechanic.

MCA-E, as the MCA page describes it, does not have that single end date. Price protection is negotiated on a shorter cycle, volume bands are absent unless they are written in, and a MACC can sit across subscriptions. The commercial event is quieter. Plan the price conversation without waiting for a renewal cliff that the paper no longer has.

CSP moves the counterparty. The partner's margin, the New Commerce rule that seats add and do not come off mid-term, and the partner's own fiscal calendar sit between you and Microsoft. A CSP quote compared only with another CSP quote misses the EA and MCA-E bands on those two pages.

Azure consumption on any of the three still has its own discount ladder. Does marketplace spend count toward a cloud commit? covers MACC burn. Discount ranges by annual commitment covers the spend tiers.

Frequently asked questions

What is a Microsoft Enterprise Agreement?
An Enterprise Agreement is Microsoft's direct multi-year contract. Quantity above the baseline is handled at an anniversary true-up. The term is fixed, commonly 36 months.
Is CSP cheaper than an Enterprise Agreement?
The Cloud Solution Provider page states that CSP rates typically land 3 to 8 percent above the equivalent negotiated EA rate. A partner can give some of its margin back. The rate still depends on that partner.
What is the Microsoft Customer Agreement?
The Microsoft Customer Agreement is Microsoft's direct purchase paper. MCA-E is the enterprise form. The MCA page states that negotiated MCA-E rates on M365 E3 and E5 ran about 1 to 3 percent below the equivalent EA in the deals it describes, with Azure close to flat when a MACC is attached.