When it comes to Microsoft licensing, most organizations are choosing between two main paths: the Enterprise Agreement (EA) and the Cloud Solution Provider (CSP) model. Both are strong options, but they’re designed with very different needs in mind. Understanding the difference can help you decide which model delivers the most value for your business.
Enterprise Agreement is Microsoft’s traditional model and has been around for decades providing volume discounts and predictable costs. While Cloud Solution Provider, on the other hand, was designed for the cloud-first, fast-moving business world we live in today.
Let’s break it down and what to consider when making your choice.
The Enterprise Agreement is Microsoft’s traditional licensing model.
EA is best suited for large enterprises with stable IT needs as it’s predictable and usually cost-effective at scale. If you’re a global enterprise with thousands of employees and well-defined IT needs, EA can be the smart choice.
The Cloud Solution Provider model was designed for today’s cloud-first world. Instead of buying direct from Microsoft, you purchase licensing through a partner (like Coretek).
CSP is a great option for businesses that are looking for that personalized support, flexibility, scalable licensing options, and cost-efficient without the long-term lock-in of an EA. Perfect for dynamic organizations where headcount, budgets, or IT needs change often.
Category |
Enterprise Agreement (EA) |
CSP |
Contract Terms |
3-year contract, annual true-ups; harder to add/remove users mid-year |
Month-to-month or annual subscriptions; scale up or down anytime |
Pricing |
Volume discounts with stringent guidelines |
Competitive monthly pricing; access to Microsoft promotions + Coretek cost optimization |
Support |
Direct support from Microsoft sold separately |
CSP is first-line support with hands-on service, faster response, and tailored optimization |
Coverage |
Requires at least 500 users or devices to qualify |
No minimum seat requirement; works for SMBs and enterprises alike |
Value-Add |
Licensing only |
CSP adds migration help, cloud strategy, security, governance, and ongoing Microsoft environment optimization |
With Coretek CSP, you get more than Microsoft licensing. You get a partner who helps you stay flexible, optimize spend, and maximize the value of your cloud investment. Here’s how we stand out
Personalized Support
Cost Optimization
Flexibility & Scalability
Added Services Beyond Licensing
Proactive Partnership
Faster Time-to-Value
Today’s businesses move quickly. Teams scale up or down. Projects shift. Mergers happen. In this environment, CSP shines because it:
With CSP, you’re not just buying licenses, you’re gaining a partner who helps you make sure every dollar spent in Microsoft’s cloud is delivering value.
Both EA and CSP have their place. EA works best for very large, stable organizations with predictable needs. CSP, on the other hand, gives you flexibility, agility, and a partner in your corner, which is why more and more businesses are choosing it as their path forward.