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Azure IP Co-sell is one of Microsoft’s top go-to-market benefits for startups and partners building software on Azure. When your solution achieves Azure IP Co-sell status, two important things happen:
Your solution counts toward customers’ Azure spend commitments.
Many Microsoft customers have contracts that require them to spend a certain amount on Azure. If they buy your solution through the Microsoft Marketplace, that purchase can count toward the Azure budget they already need to use.You can co-sell with Microsoft’s sales team.
You can submit co-sell opportunities that allow Microsoft’s sales teams to work alongside you to help sell your solution to customers.
In short, Azure IP Co-sell helps startups sell faster by tapping into Microsoft’s sales organization and customers’ existing Azure budgets.
Startups in Microsoft for Startups have access to the Azure IP Co-sell Acceleration benefit, which provides a faster path to achieving the Azure IP Co-sell designation by making the criteria more attainable for startups while maintaining the rigorous technical standards Microsoft customers expect.
Azure IP Co-sell Acceleration Criteria
To achieve Azure IP Co-sell status through the Co-sell Acceleration benefit, startups must meet the defined set of readiness criteria outlined below. These requirements ensure that solutions have demonstrated technical readiness, customer traction, and sales momentum before accessing Microsoft’s co-sell motion.
Active Microsoft for Startups member
Be an active participant in the Microsoft for Startups program.Azure consumption threshold
Demonstrate at least $8,000 in monthly Azure consumption for the past three consecutive months. This may include paid Azure usage or Azure credit consumption.Transactable Marketplace offer
Have a live transactable SaaS offer in Microsoft Marketplace that has passed Microsoft’s SaaS technical validation.
See instructions: Transacting on Microsoft Marketplace and more details on Creating offers in Partner CenterProduct-market fit
Demonstrate traction by showing at least three customers within the past 12 months, evidenced by either:- Three referenceable customer stories, or
- Three customer purchases through Microsoft Marketplace
Complete the Co-sell Solutions page in Partner Center
Provide all required information on the Co-sell Solutions page in Partner Center, including a solution one-pager and pitch deck. Templates are provided to help you create these materials.
See instructions: Go to the Co-Sell > Solution PageQualified pipeline for co-sell
Demonstrate meaningful sales momentum by either:- Submitting co-sell referrals in Partner Center totaling $1M+ in estimated contract value, or
- Having one qualified sales opportunity valued at $500K+ in Marketplace-billed sales
See instructions: New user experience in Referrals
Maintaining Azure IP Co-sell Status
Startups that achieve Azure IP Co-sell designation through the Acceleration benefit are granted the designation with a 120-day validation period.
During this period, startups must demonstrate meaningful commercial traction by achieving one of the following milestones:
- $100,000 in Microsoft Marketplace billed sales, or
- $100,000 in paid Azure consumption in trailing 12 months
If neither milestone is achieved within the 120-day period, the Azure IP Co-sell designation granted through the Acceleration benefit will be removed until the standard co-sell requirements are met.
The Acceleration benefit can only be used once. If the IP Co-sell designation is lost after the 120-day period, you must meet the standard requirements to regain eligibility.
How to access Azure IP Co-sell acceleration benefit
The Microsoft for Startups team proactively monitors program participants that have published a transactable Microsoft Marketplace offer and meet the Azure consumption threshold. When these conditions are met, the team will reach out to inform startups that they are on track to qualify for the Azure IP Co-sell Acceleration benefit.
If you believe you meet these requirements and have not been contacted, please reach out to your Startup Advisor or submit a support ticket to Microsoft the Startups Support team for assistance.
FAQ
When Should I activate the IP Co-sell Acceleration Benefit?
Startups should activate the Azure IP Co‑sell Acceleration benefit when they have deals that are actively progressing and expected to close in the near term, particularly transactions that will drive Microsoft Marketplace billed sales or paid Azure consumption.
The acceleration benefit provides a 120‑day validation period during which your solution holds the Azure IP Co‑sell designation while you work toward meeting the commercial thresholds outlined above to maintain that status long term. Because this window is time‑bound, timing your activation strategically is critical.
The benefit is best activated when:
- You have customer deals close to closing that will transact through Microsoft Marketplace, contributing to Marketplace billed sales that count toward the $100,000 requirement
- You expect meaningful Azure consumption growth from customers in the near term that will contribute toward the $100,000 paid Azure consumption milestone within the validation period.
- You have an active, qualified pipeline and are ready to engage Microsoft sellers through co‑sell referrals in Partner Center to help accelerate deal velocity during the 120‑day windows
What happens after you achieve IP Co-sell Status?
Once your solution receives Azure IP Co-sell designation, you can begin engaging with Microsoft’s co-sell motion by submitting co-sell opportunities in Partner Center.
Additionally, your solution will become discoverable to Microsoft sellers through internal sales tools, allowing Microsoft teams to identify and engage with your solution when working with customers.
How long does this process take?
The timeline for achieving Azure IP Co-sell designation through the Acceleration benefit depends on the readiness of your solution.
Preparation steps include:
- Publishing a transactable Marketplace offer: Transacting on Microsoft Marketplace, Creating offers in Partner Center
- Completing SaaS technical validation
- Building initial customer traction and pipeline
- Completing the Co-sell Solution page in Partner Center: Go to the Co-Sell > Solution Page
Review the Azure IP Co-sell Acceleration Criteria section for detailed criteria and instructions.
Once startups have completed the steps outlined above, a request is submitted on behalf of the startup. Review and approval of submitted requests may take between 7-10 business days.
What support is available for Marketplace publishing beyond the standard documentation?
Microsoft for Startups offers multiple support paths to help startups successfully publish and transact their solutions through Microsoft Marketplace. These options are designed to meet startups where they are—whether they need hands‑on guidance, a turnkey publishing solution, or access to Microsoft’s broader ISV enablement programs.
The primary Marketplace publishing support options available to startups include:
Support from your Startup Advisor
Eligible startups can receive direct, hands‑on guidance from their Startup Advisor throughout the Marketplace publishing journey. This level of support is designed to help startups understand Marketplace requirements and navigate the process with confidence.
This option is best suited for startups that want personalized guidance and already have an assigned Startup Advisor.
WeTransact (Marketplace publishing partner)
Microsoft for Startups also provides access to WeTransact, a third‑party Marketplace publishing partner that offers a streamlined, turnkey path to getting a transactable SaaS offer live in Microsoft Marketplace.
By being a company in Microsoft for Startups, you can access an exclusive WeTransact offer. Please reach out to your Startup Advisor or submit a support ticket to Microsoft the Startups Support team for assistance.
This option is ideal for startups that want to move quickly, reduce operational overhead, or prefer to outsource Marketplace publishing complexity.
ISV Success
Startups may also leverage ISV Success, Microsoft’s broader enablement program designed to help independent software vendors build, publish, and grow solutions on Microsoft platforms—including Microsoft Marketplace.
This option is well‑suited for startups that are comfortable with self‑service learning and want to take advantage of Microsoft’s standardized ISV enablement resources.
Learn more about ISV Success here: /partner-center/isv-success
Choosing the right support path
Startups may use one or more of these support options depending on their needs, timeline, and internal capabilities.
In all cases, Marketplace publishing support is intended to help startups:
- Successfully launch a transactable Marketplace offer
- Meet prerequisites for downstream GTM benefits such as Azure IP Co‑sell Acceleration
- Reduce friction in accessing Microsoft’s commercial and seller‑led motions
How does Azure IP Co-Sell status Helps Startups
Achieving Azure IP Co-sell status provides several meaningful advantages for startups:
- MACC alignment, allowing customers to apply committed Azure spend toward your solution when purchased through Microsoft Marketplace.
- Seller Incentive, allowing sellers to receive quota retirement to co-sell your solution to their customers.
- Increased deal exposure through visibility to Microsoft sales teams and Marketplace discovery.
- Ability to submit co-sell referrals, enabling partner-led opportunities with Microsoft participation.
- Joint customer engagement, including coordinated sales calls and deal planning with Microsoft sellers.
- Enhanced credibility with customers by demonstrating validated alignment with Microsoft technologies.
These benefits can significantly accelerate enterprise access and shorten sales cycles for early- and growth-stage companies.
How do I use Partner Center Referrals to engage Microsoft sellers?
Partner Center Referrals is the primary way to collaborate with Microsoft sellers on active customer opportunities. Once your solution has the IP co-sell designation, you can submit co-sell referrals in Partner Center to share qualified customer opportunities with Microsoft sales teams. These referrals allow you and Microsoft sellers to collaborate on deal planning, customer engagement, and joint selling activities. Microsoft sellers can also share opportunities with you when your solution is a good fit for their customers, creating a two‑way co‑sell motion focused on meeting customer needs through joint selling.
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