What are software services?
What is SPLA ?
Who uses SPLA?
What are the benefits of SPLA?
What types of licenses are acquired through SPLA?
How does a SPLA work?
What are the license rights under the SPLA?
I am an ISV providing application to customers as a service. Can I use embedded OEM or ISV licenses for my service?
Can the prices in the Services Provider License Program change?
Does this program have a minimum license requirement each month?
Why doesn't Microsoft list SPLA pricing?

ANSWERS

Q1. What are software services?

A1. Access to software hosted in data centers using the Internet, telephony network, or private network; these services are rendered on a contract basis for commercial gains; here the hosted softwares are not directly installed at customer end.

Q2. What is SPLA?

A2. The Service Provider License Agreement (SPLA) program is specially designed by Microsoft to deliver a simple solution to all service providers who would like to offer software as a service. In short; the SPLA program provides user rights to service providers who would like to offer these to their customers. End-users can use the software as a service without having to sign a software license directly with Microsoft.

Q3. Who uses SPLA?

A3. SPLA is for you if you have one of the following business models:

Web hoster
Application services provider
Messaging and/or collaboration services provider
Platform infrastructure provider
Streaming media service provider
Web/Internet Services Provider
ISV providing hosted applications
IT Outsourcers providing software licenses
Business Process Outsourcers providing software licenses
Consultants providing software services

Q4. What are the benefits of SPLA?

A4. No up front capital costs,
Easy monthly payments
All software upgrades are included in the monthly cost
User licences can be added or subtracted as you require
Easy to manage licencing
Per subscriber or per processor licencing available (product dependent)
Competitive Pricing: SPLA pricing incorporates Software Assurance (Microsoft's new maintenance offering) in providing service providers with the most current versions of the products available in the Program for one simple monthly price. Pricing Stability: SPLA price changes (if any) will only occur on an annual basis in January and will be proportional to price changes in the Microsoft Open Licensing Program during the preceding year.
Use Rights Protection: The Service Provider Use Rights (SPUR) document details all product use rights for this program. Product use rights are specific to each version and will not change for the duration of the program.
Cash Flow Management: With SPLA, service providers have near zero start-up costs, since they only pay for licenses based on what they used to provide services each month.

Q5. What types of licenses are acquired through SPLA?

A5. Licenses acquired under the SPLA are monthly non-perpetual licenses that can be used during the term of the agreement

Q6. How does a SPLA work?

A6. The Service Provider License Agreement (SPLA) program, designed by Microsoft enables all service providers and ISVs to license Microsoft products on a monthly basis to provide services and hosted applications to their end customers. The end users can use the software as a service without acquiring software license directly with Microsoft.
SPLA is the only Microsoft licensing program that provides 3rd party license use rights to hosting and software service providers.

Q7. What are the license rights under the SPLA?

A7. The right for the licensee to provide software services.
The right for the licensee’s customers to access or use the Microsoft licensed products running on the service provider’s server.
The right for the licensee to provide multi-tenancy (more than one customer) to use the same Microsoft server products.
The right to pay for actual use on a monthly basis - Post paid
The right to no up-front license fees and no minimum commitments.

Q8. I am an ISV providing application to customers as a service. Can I use embedded OEM or ISV licenses for my service?

A8. Generally, Microsoft's OEM and ISV embedded licenses, or other Retail and Volume Licensing programs do not allow for hosting or provide any commercial use rights. ISV's who wish to provide services using Microsoft software should sign up for the SPLA.

Q9. Can the prices in the Services Provider License Program change?

A9. Microsoft reserves the right to increase prices every year on January 1 proportional to any increase in the product's Open price in the previous calendar year.

Q10. Does this program have a minimum license requirement each month?

A10. There is no minimum monthly license requirement. However, SPLA licensees must submit a zero license usage report in order to comply with the requirements of this program. Microsoft reserves the right to terminate an agreement with a service provider after six (6) consequent months of zero license usage reports.

Q11. Why doesn't Microsoft list SPLA pricing?

A11. Microsoft used to publish these prices, but resellers are responsible for most sales now and they each set their own price.