Microsoft’s $368B Backlog and Strong Negotiating Power

When Copilot launched, it was one of the first products that we saw that did not have level discounts. The list price for each level was $30 per user per month. And so what they've said is we're eliminating some. We're waiting to see what those sum are. It's going to be all products. And they're aligning that to the prices that are on Microsoft.com now here in a little bit I have a slide that shows what the impact is. But the other thing that they they're doing in general in market is they're tightening their discounting policy. For instance, so if you were negotiating an enterprise agreement and, you know, let's say the target discount that you potentially could get was maybe 15%, we're seeing half or less in terms of what they're pushing out into the market now. They've also cut, you know, the way that they pay your partners. So your reseller on your enterprise agreement or your lsp, they in December of last year basically eliminated the rebates that they gave back to them.