The Microsoft partnership you built may not survive FY27. For years, selling licences, managing renewals, and expanding your client base was enough. But FY27 added something that most partners were never managing. And that gap requires a fundamental change to your business model.
FY27
Microsoft has updated several parts of the co-op funding programme for FY27, and partners are trying to work out whether the rules have fundamentally changed or whether this is mostly a documentation and governance refresh. The biggest operational changes are the updated activity-category structure, tighter spend caps and a stricter POE standard.
Microsoft has updated several parts of the co-op funding programme for FY27, and partners are trying to work out whether the rules have fundamentally changed or whether this is mostly a documentation and governance refresh. The biggest operational changes are the updated activity-category structure, tighter spend caps and a stricter POE standard.
FY27 introduces performance-gated engagements – a separate investment stream from traditional co-op funding that partners can access alongside it. Unlike co-op, where you prove what you delivered, these engagements track whether the customer actually used the workload after deployment, feeding into the partner’s portfolio performance.