Overview of the commercial marketplace and enterprise procurement

In today's business landscape, flexible subscription-based cloud services are essential for cash flow management and cost control while fostering innovation in any organization. Marketplaces have emerged as a go-to resource for customers seeking to procure efficiently. The commercial marketplace provides tools to streamline procurement, deliver the agility and spending control that organizations require to expedite time-to-value, enhance efficiency, and effectively manage costs at the consumption level.

The commercial marketplace offers Azure-based solutions for deployment via the Azure portal. It facilitates informed procurement decisions by validating technology solutions through product information and peer reviews from validated users. For Azure customers, seamless access to software vendors and solutions with flexible pricing models and standard contracts enhances confidence and security. Customized terms, negotiated pricing, proof of concept prototypes, and tailored solutions through private offers cater to specific business needs, enabling smarter spending.

Leveraging eligible purchases for your organization's Microsoft Azure Cloud Commitment (MACC) optimizes budget allocation, while a private Azure Marketplace ensures governance and control without compromising on-demand resource consumption.

This article explores features for procuring solutions through Azure Marketplace and explains Azure concepts related to procurement. For purchasing through Microsoft AppSource, see Purchase apps on Microsoft AppSource

Important

Azure Marketplace currently doesn't integrate with enterprise procurement or workflow systems. Organizations with specific procurement policies must manage those externally.

Sourcing and qualifying software vendors

The marketplace is your centralized hub for evaluating and acquiring cloud solutions. Access a vast ecosystem of trusted Microsoft partners offering a wide range of solutions, from software to services-spanning infrastructure to AI gd.

To source vendors, leverage search and filtering capabilities to identify specific products or services that align with your requirements. View valuable information on each product, including detailed descriptions, pricing models, user reviews, and compatibility with your existing infrastructure or other software applications, gaining insights into the vendor and solution performance.

Custom solutions

The commercial marketplace is more than a one-size-fits all solution for customers. Through various custom deal-making opportunities, you can engage with partners to quickly customize the right offer to fit your specific needs and requirements. To learn more about details on custom deal making and the process to procure private offers, see Purchase a private offer.

Procurement under a Microsoft Azure Consumption Commitment (MACC)

As you look to digitally transform your business, a goal at Microsoft is to guide, support, and partner with you along the way. A MACC is a contractual commitment to consume a certain amount of Azure over a certain amount of time. Purchases of eligible Microsoft commercial marketplace offers count towards your organization's Microsoft Azure consumption commitment. To learn how purchases of Azure benefit eligible solutions count towards your Azure consumption commitment, see Azure consumption commitment benefit.

You can check if your organization has a MACC by signing into the Azure Marketplace experience within the Azure portal under a tenant associated with your organization. If you see the option to select Azure benefit eligible only as a filter option, you have a qualifying Azure consumption commitment:

Screenshot of the Marketplace - Get started page. The checkbox for Azure benefit eligible only Azure Marketplace Azure benefit is highlighted and selected.

Purchases of Azure benefit eligible solutions contribute toward your organization's Azure consumption commitment if purchased through the Azure Marketplace. Find Azure benefit eligible solutions by applying the filter in Azure Marketplace within the Azure portal experience. All Azure benefit eligible solutions contain a badge to clearly identify the solution counts towards your Azure consumption commitment:

Screenshot of a fictitious eligible solution called Contoso AI Automation that includes a tag for Azure benefit eligible.

Purchase with flexible pricing models

Purchase software instantly via three pricing models, or get custom pricing through a private offer:

  • Free: There are no software costs for free applications. Once you have found a free application, select the Plans + pricing tab on the Product detail page to learn more about available free plans and see estimates for Azure infrastructure costs associated with the product (if applicable).
  • Bring your own license (BYOL): In Azure Marketplace, you can find software that enables you to bring your own license (BYOL). BYOL gives you the flexibility you need to use subscriptions that you purchased outside of Azure Marketplace. With BYOL software applications, you pay the software vendor directly for licenses, while Azure infrastructure costs appear on your Microsoft invoice.
  • Pay as you go: Pay as you go applications include software costs and Azure infrastructure costs if they utilize underlying cloud services. All costs are billed to you directly by Microsoft and appear on a consolidated invoice. To view all costs associated with an application, including software fees and infrastructure costs, select the Plans + pricing tab on the product description page.
  • Custom pricing: Through private offers, you can procure solutions with customized terms and conditions, negotiated pricing and special configurations on offers sold through the commercial marketplace.

Purchase control options

There are different purchase control options available in Azure Marketplace to help organizations adhere to budgets and other governance considerations. To learn about the different purchase control options, including how to control purchases and curate approved solutions by enabling a private Azure Marketplace, see Purchase control options in Azure Marketplace.

Consolidated invoicing

One of the primary benefits of procuring through Azure Marketplace is the simplification of vendor relationships and invoices. Customers receive a single, consolidated monthly invoice from Microsoft, encompassing both Azure charges and Azure Marketplace purchases. These purchases are itemized as individual line items on the invoice. To learn more, see Billing and invoicing overview.

Note

If you purchase using an Enterprise Agreement (EA), all Azure marketplace purchases are included in your Azure invoice. Currently, separate invoices can't be generated for individual marketplace purchases when purchasing using an Enterprise Agreement (EA).

Cost management and budget analysis

Azure Marketplace customers can use Microsoft Cost Management and Billing to monitor and manage cloud spending and budgets, including solutions purchased through Azure Marketplace. To learn more, see Cost management for Azure Marketplace purchases.

Standard contract

Procuring solutions from the commercial marketplace can be simplified for solutions that are offered under the Microsoft standard contract. The standard contract sets the terms and conditions for all solutions offered under the standard contract. Therefore, your legal department needs to review and approve the standard contract once. It's important to note that these agreements are between the customer and the solution provider (Independent Software Vendor). Microsoft isn't a party to these contracts.

When purchasing the solution in Azure Marketplace within the Azure portal, you can find a link to the standard contract on the product detail page:

Screenshot of the Product details page for a fictitious app in the Azure Marketplace within the Azure portal called Contoso app. The page includes a link to the Standard Contract for Microsoft's commercial marketplace.

When searching for a solution in Azure Marketplace on the online store, you can find a link to the standard contract on the product detail page:

Screenshot of the Product details page for a fictitious app in the Azure Marketplace on the online store called Contoso app. The page includes a link to the Standard Contract for Microsoft's commercial marketplace.

Standard contract amendments

The marketplace provides solution providers the option to modify the terms of the standard contract through an amendment. Standard contract amendments allow solution providers to offer customers the standard contract for simplicity but include custom terms for the solution. As a customer, you only need to review the amendments to the contract if you have already reviewed the standard contract.

On the product detail page in Azure Marketplace on, the online store or in the Azure portal, you can see a link to any amendments. The following image shows the experience in the Azure portal.

Screenshot of the Product details page for a fictitious app in the Azure Marketplace called Contoso app. The page includes two links to contract amendments, labeled Amendment 1 and Amendment 2.