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Microsoft Partnership: Leveraging AI with Microsoft Copilot Chat and Partner Earned Credit

Writer's picture: ALIF ConsultingALIF Consulting

Updated: Feb 5

The Microsoft partner program has always been a cornerstone for innovation and growth within the tech industry. As we navigate an era defined by rapid technological advancements, particularly in Artificial Intelligence (AI), the landscape of partnerships is also evolving. Today, Microsoft is empowering its partners with unprecedented tools and resources, especially through the Microsoft AI Cloud Partner Program. This blog post will explore how you, as a Microsoft partner, can leverage these opportunities to drive your business forward, with a particular focus on the revolutionary Microsoft Copilot Chat and the financial advantages of Partner Earned Credit (PEC). This post will help you understand how to make the most of these resources and secure your position at the forefront of the AI revolution.

Key Takeaways

  • Microsoft is heavily invested in its partner network, providing resources, programs, and opportunities for growth.

  • The Microsoft AI Cloud Partner Program is a key initiative designed to empower partners to build and sell AI solutions.

  • Microsoft 365 Copilot Chat is a secure, no-cost AI chat solution powered by GPT-4o that integrates agents and provides IT controls, creating opportunities for partners to deliver value, accelerate AI adoption, and generate new revenue streams.

  • Copilot Chat serves as an on-ramp for AI adoption and is designed to work alongside Microsoft 365 Copilot.

  • Partners can drive new revenue by developing and managing agents, securing customer data, and offering AI advisory services.

  • "Partner as Customer Zero" is crucial, meaning partners should use Microsoft 365 Copilot internally to better understand customer needs and guide them effectively.

  • Partner Earned Credit (PEC) rewards partners who manage their customers' Azure environments and can be maximized by ensuring correct access permissions and using the available monitoring tools.

  • Access permissions are crucial for PEC, with options like Admin on Behalf Of (AOBO), Azure Lighthouse, and individual user accounts.

  • PEC is calculated daily and reflected in adjusted net charges, and partners have tools to monitor and manage it.

  • Microsoft provides various resources to help partners get started with Copilot Chat, including training, promotions, and marketing toolkits.

Table of Contents

The Microsoft AI Cloud Partner Program: A Foundation for Growth

The Microsoft AI Cloud Partner Program is more than just a partnership; it's a strategic alliance designed to provide the necessary resources for partners to thrive. It offers a comprehensive suite of tools, training, and support aimed at enabling partners to build and sell cutting-edge AI solutions. This program is essential for partners looking to expand their capabilities and revenue streams in the AI-driven market. Through this program, Microsoft is demonstrating its commitment to its partners, ensuring they have the guidance and resources to succeed.


Introducing Microsoft 365 Copilot Chat

What is Microsoft 365 Copilot Chat?

Microsoft Copilot Chat is a secure, no-cost AI chat solution powered by GPT-4o. It’s designed to integrate advanced agents directly within the chat interface, offering robust IT controls and enterprise-grade data protection. This powerful tool enables every employee to harness the power of AI, transforming how work is done across the entire organization.




Key Features and Benefits

Secure, Free AI Chat with GPT-4o

Copilot Chat leverages the broad knowledge of the web, is built on GPT-4o and is designed to be secure for business use. It allows users to perform market research, write documents, prepare for meetings, and much more.


Integration of Agents for Business Processes

The platform allows for the creation and use of agents directly within the chat, using natural language, to automate repetitive tasks and streamline business processes. For example, a customer service representative could access a CRM agent for account details, while field service agents could obtain real-time product knowledge stored in SharePoint.


Robust IT Controls

Copilot Chat includes the Copilot Control System, which offers enterprise data protection (EDP) for data privacy and security, as well as the ability to govern access and manage the usage and lifecycle of Copilot and agents. This system also allows for measurement and reporting.


How Copilot Chat Differs from Microsoft 365 Copilot

microsoft copilot chat

While Copilot Chat provides a solid foundation for AI adoption, Microsoft 365 Copilot remains the best-in-class personal AI assistant for work. Microsoft 365 Copilot incorporates the power of GPT-4o grounded in an organization's work data – meetings, emails, chats, and documents – and integrates Copilot in the familiar Microsoft 365 apps like Teams, Outlook, Word, Excel, and PowerPoint. Copilot Chat serves as a powerful on-ramp for an organization’s AI journey, whereas Microsoft 365 Copilot offers more capabilities and is our best-in-class personal assistant for work. Most customers will likely adopt a mix of Copilot Chat and Microsoft 365 Copilot, making both key to a comprehensive AI strategy.

Unlocking Opportunities with Copilot Chat: A Partner's Guide

Transforming Customer Businesses with AI

Copilot Chat opens exciting new opportunities for partners to enhance customer engagement and generate new revenue streams through tailored AI solutions. By deploying Copilot Chat, partners can set the stage for future opportunities with Microsoft 365 Copilot and Copilot agents, enabling their customers to explore web-grounded chat, build agents to transform business processes and improve employee productivity.


Creating New Revenue Streams with Agents

With the introduction of pay-as-you-go agents, Microsoft Copilot Chat provides scalable monetization opportunities for partners10. By developing and managing these agents, partners can unlock significant revenue streams. Furthermore, the metered pricing model for agents allows managed service providers to benefit from Azure partner earned credits, further enhancing value10.


Ensuring Data Security and Building Trust

Data security is a primary concern for many customers, especially with the rise of consumer AI tools that may lack necessary IT controls. Microsoft Copilot Chat enables partners to seamlessly activate all users while ensuring enterprise-grade data protection, addressing these concerns and building customer trust.


Positioning Yourself as an AI Advisor

By leading the way in shaping your customers' business transformation strategies with AI, partners can identify key business needs and functional value propositions, driving impactful outcomes and strengthening customer relationships. Copilot Chat allows partners to be at the forefront of this transformation, establishing themselves as indispensable AI advisors.


The Importance of Adoption and Change Management (ACM)

Adoption and change management offers are vital for maximizing the impact of AI, helping customers overcome challenges and driving widespread adoption of Copilot Chat. Partners who can provide ACM support will significantly increase customer satisfaction and the overall value of their services.


Microsoft Partner Success Strategies

Partner as Customer Zero: The Value of Internal Use

Successful partners are those that utilize the technology internally to understand its full potential. By leveraging their internal-use rights (IUR), partners are better equipped to understand customer needs and guide them effectively. Partners who actively use Microsoft 365 Copilot themselves are better positioned to understand how to help customers realize the value of the technology.


Leading with Microsoft 365 Copilot

While Copilot Chat ensures all employees can benefit from AI, Microsoft 365 Copilot remains the hero offering, delivering value across the entire organization.


Building Tailored Agent Offerings

Automating tasks and transforming business processes through tailored agent solutions create high customer value and substantial ROI, presenting a significant revenue opportunity for partners.


Securing Customer Data

Addressing data security concerns is critical for building trust and safeguarding sensitive information. Partners can offer value-added services such as data governance consultations, security audits, and managed security solutions, addressing customer needs and simultaneously generating additional revenue streams.


Leveraging Microsoft Resources: Tools and Training

The most effective partners leverage Microsoft partner benefits and resources across the Microsoft Customer Engagement Lifecycle. This includes tools like Campaign in a Box (CiaB) to generate leads, Copilot Accelerate briefings to build customer intent, and promotions and incentives to close deals11. Microsoft also provides numerous training resources and courses in areas such as security, data governance, and agent development.


Partner Earned Credit (PEC): Maximizing Your Azure Investment

What is Partner Earned Credit?

Partner Earned Credit (PEC) is designed to recognize and reward partners who actively manage their customers’ Azure environments. This credit is applied to eligible resources and subscriptions, offering financial benefits for partners who maintain IT operational control.


Eligibility for PEC

To be eligible for PEC, partners must maintain an active Microsoft AI Cloud Partner Program agreement, hold an eligible Role-Based Access Control (RBAC) role, and set up appropriate access permissions. It is crucial to ensure these criteria are met. Otherwise, PEC may not be calculated correctly.


Access Permissions: AOBO, Azure Lighthouse, and More

There are three primary access permission types that qualify for PEC. Admin on Behalf Of (AOBO) is the default permission when a partner provisions an Azure Plan subscription. Azure Lighthouse is suitable for partners managing multiple customer environments, offering streamlined operations and enhanced security. Individual user accounts and service principals can be used for more granular control over permissions.


How PEC is Calculated and Applied

PEC is calculated daily and applied to eligible resources and subscriptions. Although PEC details don't appear as credits on your monthly invoice, they're included in the adjusted net charges line, reflecting the total charges after applying PEC.


Monitoring and Managing PEC

Partners can monitor PEC access through the daily rated usage file, which shows where PEC is applied (or not applied) on a daily basis. You can also use Azure monitor alerts to track changes to persistent privileged access, ensuring any modifications are quickly detected and addressed.


Tools and APIs for PEC Management

Microsoft provides tools like Cost Management in the Azure portal, which provides visibility into costs and PEC applications. The PEC API is also available through the Azure API toolset, enabling partners to efficiently apply their PEC to eligible resources.


Conclusion

The future of the Microsoft partner program is intertwined with the adoption and integration of AI technologies. Microsoft Copilot Chat offers an unprecedented opportunity for partners to drive innovation, enhance customer engagement, and generate new revenue streams. By understanding and leveraging the Microsoft partner benefits such as PEC, partners can ensure they are not only at the cutting edge of technology but also maximizing their financial potential. By adopting a "Partner as Customer Zero" mindset and leveraging the resources provided by Microsoft, you will be well-positioned to succeed in this new AI-driven era.

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