Microsoft CSP Partner Program Updates - January & Early February 2026
Critical Deadlines and Actions
Immediate Deadlines (February 2026)
- MCA Attestation Blocking (February 2): All new customer orders are now blocked unless partners attest on the customer's behalf via the enhanced API or the customer accepts the agreement directly in the Microsoft 365 admin center.
- Dragon Copilot Physician Practice Launch (February 1): A new scalable offer for SMB healthcare customers is available, capped at 100 licenses per customer.
- MPA Program Guide Update (February 12): The updated Guide to the Online Services and Software Channel Authorization takes effect for existing partners.
- Cloud Ascent Update (End of February): Partners will gain visibility into which customers are impacted by the retirement of standalone SharePoint and OneDrive plans.
Critical Security and API Deadlines
- MFA Enforcement for APIs (April 1): To avoid blocked API calls and service disruptions, partners must enable multifactor authentication for all Partner Center APIs before this date.
- Extended Service Term (EST) Availability: While production availability for UX and API is currently delayed, the free grace period for non-renewed subscriptions is still scheduled to end on April 1, 2026.
Product and Program Retirements
- SharePoint and OneDrive Standalone Plans (SPO/ODB Plans 1 & 2):
- June 2026: End of sale for new tenants/customers.
- January 2027: End of life (no more renewals).
- December 2029: Full end of service.
- Qualified Referral Program (QRP): This program will be retired in Q3 FY26 and replaced by a unified Co-sell experience in Partner Center. Partners should begin using Partner Center → Referrals for all new opportunities now.
Product and Program Retirements
- SharePoint and OneDrive Standalone Plans (SPO/ODB Plans 1 & 2):
- June 2026: End of sale for new tenants/customers.
- January 2027: End of life (no more renewals).
- December 2029: Full end of service.
- Qualified Referral Program (QRP): This program will be retired in Q3 FY26 and replaced by a unified Co-sell experience in Partner Center. Partners should begin using Partner Center → Referrals for all new opportunities now.
Pricing and Promotions
- March Price Preview (February 1): Microsoft will not publish a March preview for NCE license-based services in the February price list.
- Microsoft Purview Suite Discount (June 30): The 50% discount for Microsoft 365 Copilot customers has been extended until this date.
Set Yourself Up for Success in 2026 with Hybr®
Grow Revenue, Increase Margins across your CSP Business
What are the key updates for Microsoft partners?
- MCA Attestation: As of January 2026, the legacy attestation API and UX-based experiences were retired. New customer orders are now blocked unless the customer directly accepts the agreement in the admin center or the partner uses the enhanced MCA attestation API.
- MFA Enforcement: Full enforcement for all Partner Center APIs begins on April 1, 2026. After this date, any API calls made without a valid MFA token will be blocked to prevent identity-based attacks.
- SharePoint/OneDrive Retirement: While end-of-sale begins in June 2026, the final "End of Service" is scheduled for December 2029. At that point, all standalone plans will be fully retired, and customers must have transitioned to Microsoft 365 suites or other storage options.
- Dragon Copilot Physician Practice: This offer is capped at 100 licenses per customer and is available only to CSP authorized partners. Additionally, partners cannot mix or combine these specific physician practice SKUs with Enterprise licenses within the same organization.
- AI Assistant Renewals: Partners can use the AI Assistant to identify Microsoft 365 Business subscriptions renewing within the next 60 days. The tool recommends specific Copilot Business bundle upgrade paths and identifies eligible promotions for those customers.
- Content Distribution: This multitenant feature allows MSSPs to replicate security content, such as analytics rules and workbooks, from a source tenant to multiple target tenants. It enables centralized control of security baselines while allowing the content to execute locally on the target tenant.
- Smarter Referrals: The system uses intelligent prompts to validate Budget, Authority, Need, and Timeline (BANT). It ensures estimated deal values are realistic and that estimated close dates are set in the future.
- QRP Retirement: Microsoft is retiring the QRP to simplify the partner experience by consolidating all lead and referral intake into a single system of record. This move is intended to reduce duplicate workflows, improve transparency, and accelerate customer response times.
- SAP on Azure Specialization: The ACR threshold has been significantly lowered from $30,000 to $7,500 totaled over three months. Additionally, skilling validation has been streamlined to allow partners to verify coursework directly within Partner Center.
- Security Immersion Briefing: These 90-minute sessions now focus on Microsoft Defender and Purview for Business Premium customers with 50–300 licenses. Microsoft has removed execution caps, allowing partners to run unlimited briefings with up to 20 submissions open at any given time.
What happens if a partner fails to provide MCA attestation after February 2, 2026?
As of February 2, 2026, all new customer orders are blocked unless the partner provides attestation. Partners must either use the enhanced MCA attestation API to attest on the customer's behalf or ensure the customer directly accepts the agreement in the Microsoft 365 admin center.
When is the deadline for MFA enforcement for APIs, and what is the risk of non-compliance?
Full enforcement of multifactor authentication (MFA) for all Partner Center APIs begins on April 1, 2026. After this date, any API calls made without a valid MFA token will be blocked, which may lead to significant service disruptions.
What is the retirement timeline for standalone SharePoint and OneDrive plans?
Microsoft is phasing out standalone SharePoint Online (SPO) and OneDrive for Business (ODB) plans 1 and 2 according to the following schedule:
- June 2026: End of sale for new tenants and customers.
- January 2027: End of life, meaning no further renewals are allowed.
- December 2029: End of service, at which point all standalone plans are fully retired.
When will the Qualified Referral Program (QRP) be retired?
The Qualified Referral Program (QRP) will be retired in Q3 FY26. It is being replaced by a unified Co-sell experience within the Partner Center referrals workspace to simplify workflows and improve lead quality.
What are the limitations of the new Dragon Copilot Physician Practice offer?
Launched on February 1, 2026, this offer is specifically for SMB healthcare customers and is capped at 100 licenses per customer. Partners cannot mix or combine these physician practice SKUs with Enterprise licenses within the same organization.
How can partners identify upcoming renewals for Copilot upsell opportunities?
Partners can use the Partner Center AI Assistant to generate a report of customers whose Microsoft 365 Business subscriptions are renewing in the next 60 days. The assistant provides recommended upgrade paths to Copilot Business bundles and highlights applicable promotions.
What new security step-up SKUs are now available in the CSP channel?
Partners can now upsell Entra ID P2 and Defender for Endpoint P2 to existing Microsoft 365 E3 customers using an incremental pricing model. These SKUs are designed for customers who need advanced security but are not yet ready to move to full Security Suites or Microsoft 365 E5.
When does the free grace period for non-renewed subscriptions end?
The free grace period for accessing services on non-renewed subscriptions will be discontinued on April 1, 2026. After this date, customers who do not renew must either cancel and lose access immediately or enter a paid extended service term (EST) to maintain continuity.
Details and Key Actions
Critical Compliance and Security Mandates
MFA Enforcement for APIs
To mitigate identity-based attacks, Microsoft is implementing mandatory MFA for all Partner Center APIs.
- Deadline: Full enforcement begins April 1, 2026.
- Impact: Any API calls made without a valid MFA token after this date will be blocked, potentially causing service disruptions.
- Implementation: All APIs are currently MFA-enabled for testing. This follows the portal-based MFA requirements established in September 2025.
Microsoft Customer Agreement (MCA) Attestation
Effective February 2, 2026, legacy attestation methods for the MCA have been retired.
- Blocking Changes: All new customer orders are blocked unless the customer accepts the MCA directly in the Microsoft 365 admin center or the partner uses the enhanced MCA attestation API.
- Retired Tools: The legacy API, UX-based attestation experience, and bulk attestation tool are no longer active.
Multitenant Content Distribution
Security-focused partners (MSSPs) managing Microsoft Sentinel and Defender can now distribute a wider range of content across multiple customer tenants via the Defender portal.
- Supported Content Types: Analytics rules, automation rules, workbooks, and alert tuning rules.
- Capability: Partners can replicate custom detection rules from a source tenant to target tenants, ensuring a consistent security baseline with centralized control and localized execution.
Strategic Product Lifecycle and Transitions
Retirement of Standalone Storage Plans
Microsoft is retiring standalone SharePoint Online (SPO) and OneDrive for Business (ODB) Plans 1 and 2. The move is attributed to low demand, nonstandard usage, and high operational costs.
- Primary Transition Path: Customers are encouraged to migrate to Microsoft 365 suites or use capacity packs and pay-as-you-go storage.
- Key Timeline: | Milestone | Date | | :--- | :--- | | End of Sale | June 2026 (No new tenants/customers) | | End of Life | January 2027 (No renewals for existing customers) | | End of Service | December 2029 (Full retirement of all plans) |
Extended Service Term (EST) Delay
The production availability for the EST UX and API has been delayed. Originally, the free grace period for non-renewed subscriptions was set to end on April 1, 2026, requiring customers to either cancel or enter a paid EST. Microsoft will provide new dates for these features as soon as possible.
Sales Enablement and Growth Initiatives
AI-Driven Copilot Upsell
A new reporting feature within the Partner Center AI Assistant helps Cloud Solution Provider (CSP) partners target Microsoft 365 Business renewals.
- Functionality: Partners can prompt the AI assistant to identify customers renewing within 60 days.
- Output: The tool recommends specific Copilot Business bundle upgrade paths and identifies eligible promotions.
Microsoft Purview Suite Promotional Extension
The 50% discount on the Microsoft Purview Suite (formerly E5 Compliance) for customers with Microsoft 365 Copilot licenses has been extended to June 30, 2026.
- Eligibility: The offer applies to net-new Purview Suite license additions for customers meeting prerequisite requirements.
New Product Offerings
- Dragon Copilot Physician Practice: Launching February 1, 2026, this offer targets smaller healthcare organizations. It is capped at 100 licenses per customer and cannot be mixed with Enterprise licenses.
- CSP Security Add-ons: Partners can now upsell Entra ID P2 and Defender for Endpoint P2 to Microsoft 365 E3 customers using incremental "step-up" pricing, eliminating the need for complex escalations or channel shifts.
- Advanced Security for Business Premium: Issues preventing the purchase of Defender and Purview add-ons for Business Premium have been resolved, with SKUs now transactable in most major markets.
Partner Program and Operational Enhancements
Solutions Partner Designations
The Solutions Partner for Modern Work designation has expanded its eligible workloads to include 22 distinct services, such as:
- Microsoft 365 Copilot
- Microsoft Entra ID P1
- Windows 365
- Various Microsoft Teams components (Phone, Rooms, Premium, Frontline)
- The full Viva suite (Connections, Engage, Goals, Insights, Learning, Topics)
Specialization Requirement Updates
Effective January 2026, Microsoft has lowered the barriers for specific Azure specializations:
- SAP on Microsoft Azure: The Azure Consumed Revenue (ACR) threshold decreased from $30,000 to $7,500 over three months. Skilling can now be validated directly via Partner Center.
- Azure VMware Solution: The technical assessment and Broadcom certification requirements have been removed.
Referral Management Modernization
Microsoft is transitioning to a "Smarter Referral" experience and retiring the Qualified Referral Program (QRP) in Q3 FY26.
- Unified Intake: All referrals will be managed through the Partner Center UI to reduce duplicate workflows and improve pipeline transparency.
- Enhanced Features: Phase 1 includes AI-driven smart prompts to articulate customer needs, BANT (Budget, Authority, Need, Timeline) validation, and automated completeness checks.
- QRP Transition: Open QRP referrals will remain valid until accepted or expired, but all new opportunities must eventually move to the Partner Center referral door.
Pricing and Documentation Updates.
NCE Price List Update
There will be no New Commerce Experience (NCE) license-based services preview price list published on February 1, 2026, for March. No changes are currently scheduled for the March 1 license-based price list.
MPA Program Guide
The Microsoft Partner Agreement (MPA) Program Guide has been updated to include provisions for ISV Clinical Embed offers. For existing partners, these changes take effect February 12, 2026.
CSP Billing Ultimate 2026
Elite Growth Platform for Ambitious Businesses
