NCE Licences - Upfront Billing

Modified on Tue, 16 Jan 2024 at 11:40 AM

What's new?

CloudBilling is switching from post-paid to pre-paid billing for NCE Licences. This change will enable customers to bill licences yearly instead of only monthly, will align your bill with the one you get from Microsoft and improve reconciliation checks on licences. It also means CloudBilling will support promotions on NCE Licences. Also, the Subscription API that Microsoft offers for reading out usage data for licences does not properly support coterminosity, so switching to another source will be necessary for all coterminous licences. This switch also greatly reduces the risk of data quality issues, due to it's extended availability compared to the subscription API.

How does this functionality work?

The feature is behind a feature flag, which means that it's inactive by default, until CloudBilling turns it on for your environment. Once we do, the first thing you'll see is a new screen in the connector settings, called 'NCE Upfront Billing'. In it, you can decide per customer when to opt-in to upfront billing for NCE Licences.

After opting-in, the licences will not immediately switch over to upfront billing. This will happen at the next renewal or cycle charge for each licence.

After activating the feature and opting-in on a customer level, purchases will no longer be created daily but only when renewals, cycle charges and mutations happen. These purchases will contain pricing overrides and go through a new set of pricing rules. The price plan will include sums on ReferenceId, subscriptionId and Product, giving you several options for printing to the invoice.

How can you start using this functionality?

Contact to activate the Upfront Billing feature. We will activate it for you and assist you with all of the subsequent steps.

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