Changes to the Citrix Service Provider Program

Are you a Citrix Service Advisor (CSA) who is unsure whether you need to join the Citrix Service Provider (CSP) program?

Citrix has been making announcements recently about certain CSA partners who need to join as a Citrix CSP. If you’re confused about this transition and are wondering whether it affects you, don’t worry, others are wondering this too!

Here’s the bottom line: Citrix requires all CSA partners who are currently using their perpetual licenses to deliver Citrix-based hosted services for external users to instead join CSP and offer the same services to those users under a CSP contract.

So, if you are a CSA using Citrix products to offer hosted services to external users, you need to join CSP as soon as possible.

(for reference, see https://www.citrix.com/content/dam/citrix/en_us/documents/become-a-partner/citrix-service-provider-program-faq.pdf)

What changes did Citrix announce?

Citrix announced changes to the volume-discount programs (Easy, ELA, Education and GELA) that excluded hosted service, application service and infrastructure service providers from being eligible to purchase software or software maintenance in support of their service offerings for third parties.

Do changes to the CSP program apply to my business?

Joining the CSP program is a requirement for any service providers interested in selling subscription-based Citrix product licenses, or any service providers looking to transition their customer licenses from a perpetual model. The exclusion covers only hosted service, application service and infrastructure service providers. For the purposes of the exclusion:

  • Hosted service providers are customers that deliver a combination of traditional IT functions, such as infrastructure, applications, security, monitoring, storage, web development, website hosting and email to third-party customers over the Internet or other wide area networks.
  • Application service providers are customers that deliver application services in such a manner.
  • Infrastructure service providers are customers that deliver infrastructure services in the same manner.

I am a Citrix Solution Advisor. Am I impacted?

Only delivering on-premise, non-hosted solutions to customers? No…
Delivering “paid for” Citrix solutions for customers? Yes…

Can I be both a CSA and CSP?

Yes. You can continue to operate your CSA business and provide perpetual licenses for traditional on-premise customer deployments. Only the hosted/as-a-Service side of your business needs to move to CSP.

I am a Citrix System Integrator. Am I impacted?

Citrix System Integrator partners with an active hosting or outsourcing agreement are not impacted by this announcement.

I am an Independent Software Vendor (ISV). Am I impacted?

Only if you are an ISV that wants to deliver your applications as a hosted application while using Citrix.

I am a traditional (enterprise) Citrix customer that purchases perpetual licenses. Am I impacted?

No. You can continue to use and purchase perpetual licenses for use by your employees.

My business offers one or more hosted services using Citrix that is an adjunct to our core business. Am I impacted?

No. If for instance you are a bank or broker that offers a hosted account-monitoring app for your customers using Citrix XenApp you are not impacted because this Citrix-based hosted services use case is not core to your primary business.

What is the CSP program, and are its terms tied to it?

The Citrix Service Provider program provides end-to-end technology, marketing and business support to service provider partners who are looking to evolve beyond their current perpetual license resale, managed service or Microsoft RDS service to provide subscription-model monthly billing for hosted applications, desktops and mobile device management. Participating partners receive special product licenses and flexible pay-as-you-go licensing with no up-front license fee commitments.

What are the qualifications/requirements to join the Citrix Service Provider program?

  • Current member in the Microsoft Service Provider Licensing Agreement (SPLA) program
  • Agree to utilize Citrix products in an off-site, multi-tenant environment
  • Submit monthly point-of-sale (POS) reports on time to a designated Citrix Service Provider distributor
  • Maintain a minimum of two Citrix CCA certifications for each Citrix product deployed
  • Employ Citrix Usage Collector on all license servers that use Citrix Service Provider licensing
  • Allow Citrix the right to audit and access the facility to ensure reporting compliance

What happens to my existing maintenance and support agreements?

Each partner that registers as a Citrix Service Provider will be able to use their existing investment through December 31, 2017, as long as the assets remain active under Software Maintenance.

How does this effect minimize the impact to my customers and my costs?

The CSP program gives your business and your customers more flexibility to scale according to demand and shift expenses to a pay-as-you-go OPEX model while still delivering the same enterprise grade Citrix experience. The CSP program also evolves your business into a cloud based consumption model, enabling you to capture the relatively untapped SMB and mid-size market. Finally, the CSP program enables you to increase your margins and average revenue per user (APRU) by using multi-tenant management tools including Citrix CloudPortal Services Manager and App Orchestration (not available outside of CSP) that increase your operating efficiencies, decrease onboarding time and improve scalability.

Which Citrix products are included in the CSP program?

The CSP program includes monthly usage-based pricing and licensing offerings for XenApp for Service Providers, XenDesktop for Service Providers, VDI-in-a-Box for Service Providers, XenServer for Service Providers as well as NetScaler VPX, Access Gateway VPX, Branch Repeater VPX, CloudBridge VPX, CloudGateway and CloudPortal Services Manager.

Why should subscription-model licenses by considered over perpetual licenses?

Consider discussing subscription-model licensing when:

  • The customer wants to shift their IT spending from a CAPEX to OPEX model
  • The customer wants a predictable IT spending model
  • The user count fluctuates throughout the year, such as in the accounting and retail industries
  • The end user is not willing to make a commitment for greater than three years
  • The end user organization indicates that they do not want to own the IT asset just the right to use the services offered

How does this impact my costs?

  • You have no upfront license fees or commitments. There is no cost to become a CSP partner or activate subscription based Citrix licenses. You don’t begin reporting license usage until the licenses are used
  • You to gain the benefits of pay-as-you go licensing. No concerns about over provisioning/purchasing licenses
  • Always have access to the latest Citrix product versions at no cost
  • Automated license reporting tools reduce the time and complexity of reporting monthly license usage, therefore lowering your operating cost and increasing your margins/Average Revenue Per User (ARPU) Free Citrix Technical Support is made available once you being reporting $300/month.

How do I sign up as a Citrix Service Provider?

Schedule a session with DXC SLMS Hosting today by contacting us at SLMSHOSTINGAMS@dxc.com. The DXC SLMS Hosting team is available to help service providers like you onboard and grow their business by consulting on a wide range of Citrix and Microsoft-based license and hosting environments.

What are the fees associated with getting started as a Citrix Service Provider?

There are no entry fees associated with joining the Citrix Service Provider program and no upfront license fees. Citrix does not have a minimum monthly billing threshold commitment for service providers. Citrix technical support contracts of five incidents are also available for new partners that require implementation support. Keep in mind, Citrix Service Providers who report $300 USD per month over a three month period are eligible for no-charge Citrix technical support, so establishing a successful service and reporting revenue quickly are keys to success.

How much do I pay for licenses?

The Citrix Service Provider program ensures service providers only pay for what their customers actually use or sign up to use each month. Billing is submitted on a monthly basis and there are no minimum monthly commitments.

How do I upgrade my license?

All CSP licenses include upgrades at no additional cost so partners always have access to the latest versions.

What specifically will DXC SLMS Hosting do to help me make this transition easier?

The licensing experts at DXC SLMS Hosting will help you with the following:

  • Answer questions about product, pricing, licensing, and the overall program
  • Assist you with determine which licenses you need, license ordering and activating your CSP licenses
  • Connect you with the right Citrix technical and program contacts and resources to answer questions about your solution
  • Find the technical support you need for your application
  • Identify the Citrix resource to find the right reference architecture

How will this transition impact my ability to manage licenses, and how will DXC SLMS Hosting provide assistance?

DXC SLMS Hosting Licensing experts will provide you with the knowledge you need to make educated decisions regarding your environment and develop strategies to maximize the value of your licenses.

What is Microsoft SPLA?

The Microsoft Service Provider License Agreement (SPLA) enables service providers and ISVs with a hosted offering to license Microsoft products on a monthly basis to provide services and hosted applications to their end customers. Many service providers equate SPLA with the monthly pricing and licensing model used to charge for hosted software services. The Citrix Service Provider program includes a similar Citrix Service Provider Program Agreement that defines service provider partners use rights.

What to Do Now?

Ready to make the transition from CSA to CSP? The DXC SLMS Hosting team is available to help service providers grow their business by consulting on a wide range of Citrix- and Microsoft-based license and hosting environments. What questions do you have for us? Schedule a session today by clicking on this link. And don’t forget to join our social communities for additional conversation on Twitter, Google+ and LinkedIn.