To stay ahead in the Microsoft ecosystem, be sure to register for our monthly Microsoft partner update webinar. Below are the key highlights from our October 2025 session.
Program Updates
CSP Requirements and Incentives
New compliance and performance benchmarks for indirect resellers are here. Effective October 1, 2025, indirect resellers must:
- Complete business vetting
- Have a minimum of $1,000 TTM billed revenue at the reseller tenant level
- Complete the mandatory requirements of the Partner Center security score (when made available)
- Accept the Indirect Reseller Microsoft Partner Agreement (MPA)
- Have Solutions Partner designation for solution areas or 25 partner capability points, specific to the solution area incentive
- Have $25,000 TTM revenue for all solution area incentives at PLA
Solution areas for incentives eligibility are defined as:
- Modern Work incentives: Solutions Partner designation for Modern Work or Security
- Business Applications incentives: Solutions Partner designation for Business Applications
- Azure incentives: Solutions Partner designation for Data & AI (Azure), Digital & App Innovation (Azure) or Infrastructure (Azure)
Potential Microsoft Commerce incentives are also changing in FY26 — catch up with everything Microsoft announced back in May here.
Also, any customer who signed an MCA prior to April 2023 is now required to sign the newest MCA. And effective January 5, 2026, all indirect resellers must have their customer sign the MCA through either a partner attestation API or through direct customer acceptance. Failure to have the customer sign the MCA will result in failed orders.
Dynamics 365 Business Central Price Increase
Microsoft has pushed back to November 1 when it will increase price and storage entitlements for the following Dynamics 365 Business Central SKUs:
- Essentials – $80/month with 3GB
- Premium – $110/month with 5GB
- Device – $45/month with 1.5GB
Updates to Microsoft 365 with and Without Teams Bundled
In alignment with commitments made to the European Commission, Microsoft is introducing new licensing options and pricing structures for Microsoft 365 and Office 365 suites. Starting November 1, 2025, customers will be able to choose between suites with Teams or without Teams, offering greater flexibility and transparency.
Promotions and Sales Programs
Microsoft Offers
Currently offered are 50% off E5 Compliance for new and existing M365 Copilot customers with qualified pre-req SKUS and 15% off annual terms for new M365 Copilot customers with qualified pre-req SKUs (minimum 10 seats, maximum of 300 seats). See linked FAQs for more information.
Pax8 Modern Work Security Optimization (MSO) and Nerdio
Upgrade 10 licenses per tenant from M365 Business Standard to Business Premium and receive six months of Nerdio for Modern Work free. This offer is valid through December 31, 2025. Book time with your Pax8 Productivity Solution Consultant to learn more and get started.
Microsoft 365 Copilot
New Report from Pax8
As AI reshapes how businesses operate, scale and deliver value, MSPs are evolving into AI-driven models. Pax8 defines this next wave as Managed Intelligence Providers (MIPs), which represent the future of intelligent tech partnerships.
Our report on The Agentic Inflection Point covers three converging forces reshaping the business landscape:
- The paradigm shift from human-scale to agentic work
- The rise of the Al-built SMB
- The agentic stack and market opportunity
Read the report and learn where to start with your clients and how Pax8 helps you simplify AI go-to-market by connecting the channel ecosystem to our enablement tools and cloud marketplace.
AI Readiness
It’s important for partners to develop their AI strategy from within, acting as their own first customer. This allows for better customer support than partners that have no direct use of the tools.
Here’s a breakdown of things to consider as a Partner when building a holistic AI strategy:
- Business strategy
- Adopt Al principles
- Consult on Al outcomes
- Prepare for Al capabilities
- Cloud migration
- License optimization
- User training and expectations
- Transformation strategy
- Unified security
- Identity access
- Data management
- Governance
- Orchestration
- Estate modernization/migration
- Drive adoption
- Start with a pilot projection
- Build business buy-in
- Monitor your Al solutions
- Work with Pax8 Professional Services
If you need support as you scale, Pax8 is here through all the phases of AI adoption. Learn more about AI readiness planning with Pax8.
Enablement Resources
As Copilot continues to develop, Pax8 has your back with the Microsoft Hub at Pax8 Academy. This hub features on-demand courses, hands-on-labs and Microsoft updates in one convenient area, including our:
- Data and AI Guided Growth Track, designed for partners at any stage of AI maturity
- Copilot Guided Growth Track, designed to help partners understand how to define, deliver, sell and support M365 Copilot and Copilot Chat
- Pax8 + Microsoft Enablement Track, which helps you accelerate your skills with Microsoft 365 Copilot and agents
Check out everything we have to offer at Pax8 at Pax8 Academy.
Join Us Throughout 2025
Stay informed and grow your Microsoft business by registering for our monthly webinar series.
