I designed Microsoft's $5B EA channel architecture in 2001. The 2026 transition is missing what made it work
The man behind Redmond's direct billing model and its geo rollout explains why the new version forgets the channel to its cost
The expert critique emerges as Microsoft prepares for a substantial channel transition in 2026, highlighting perceived flaws before they are fully implemented.
This commentary from an architect of Microsoft's historical success underscores potential strategic missteps in a critical revenue channel, impacting partner ecosystems and customer relationships.
Microsoft's new channel strategy risks alienating partners by potentially sidelining the direct billing model that previously drove significant revenue and market reach.
- · Alternative cloud platforms
- · Microsoft competitors with strong channel programs
- · Microsoft (short-to-medium term)
- · Microsoft ecosystem partners
- · Customers reliant on direct billing relationships
Microsoft's channel partners express dissatisfaction and potentially explore alternatives, impacting sales volume.
Reduced partner engagement could lead to slower adoption of new Microsoft services or increased customer churn.
Competitors could leverage Microsoft's channel friction to attract disgruntled partners and gain market share in enterprise software.
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Read at The Register