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Revenue requirement for CSP indirect resellers

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Appropriate roles: Global admin

Microsoft will implement a minimum revenue requirement for existing Cloud Solution Provider (CSP) indirect resellers beginning in April 2024. Meeting the requirement will be a prerequisite for the reseller's continued CSP authorization.

If a reseller's trailing-12-months (TTM) revenue for their CSP tenant is less than USD1,000 (as recorded in Microsoft’s systems), the tenant will be subject to deauthorization and the partner will no longer be able to transact as a CSP indirect reseller at that business location. Eligible TTM revenue is based on CSP transactional revenue, which includes perpetual software, and excludes non-transactional revenue from Claiming Partner of Record (CPOR), Digital Partner of Record (DPOR), and Partner Admin Link (PAL) status. Microsoft will send a series of advance notification emails, starting three months prior to enforcement, to the resellers whose tenants are below the USD1,000 TTM revenue threshold. During this three-month period, the reseller can work with their indirect provider(s) to generate new revenue sufficient to exceed USD1,000 in TTM revenue for that tenant.

If the reseller’s TTM revenue is still below USD1,000 after the three-month period, the indirect reseller, their indirect provider(s), and their customers will be informed by Microsoft that the reseller’s tenant will be deauthorized from assignment to subscription orders by indirect providers. After deauthorization, the reseller must wait at least one year before re-enrolling for indirect reseller status at that business location.

Newly enrolling resellers will not need to meet the revenue requirement as a precondition of onboarding, and recently onboarded resellers will not need to meet the revenue requirement until they have completed 12 months with indirect reseller authorization for that tenant.

Next steps

  • Indirect resellers should connect with their indirect providers to work together on meeting the revenue requirement.
  • For more details on the requirement and its enforcement, download the reseller Frequently asked questions (FAQ) (partner sign-in required).