Microsoft CSP changes: Arrow is ready to guide your transition

Arrow Electronics is uniquely positioned to help partners affected by Microsoft's upcoming Cloud Solution Provider (CSP) program changes. With Microsoft raising the revenue requirements for direct CSP partnerships beginning October 2025, many organizations will need to transition to an indirect model. At Arrow, we're already helping direct CSPs make this transition successfully and are ready to guide you through this change with our expert team, advanced technology platform and comprehensive support. 

"These changes represent a significant shift in Microsoft's channel strategy and Arrow has been helping partners navigate this transition for months now," said Brendan Murphy, Director, Global Public Cloud at Arrow Electronics. "We've developed proven processes and have the global infrastructure, local expertise and technology platform to ensure our partners succeed. Many direct CSPs are already making the move early to take advantage of our resource and support."

The upcoming changes include:

• Direct CSPs will need to achieve $1M in trailing twelve-month revenue
• Direct CSPs will need to pass an annual assessment and maintain a passing security score
• Partners who do not meet these requirements will need to transition to an indirect reseller model

"At Arrow, we believe the human voice of technology makes all the difference," says Eric Gourmelen, Vice President and Chief Technology Officer of Global ArrowSphere Cloud and AI. "Our ArrowSphere platform and ArrowSphere Assistant provide partners with AI-powered insights while our team delivers the wisdom and guidance needed to navigate Microsoft's evolving landscape. We think and act five years out—far ahead enough to share your future, but close enough to make it a reality today."

The ArrowSphere platform offers significant advantages to transition partners including:

• AI-powered business insight through ArrowSphere Assistant
• Simplified license management and billing
• Enhanced visibility into customer renewals and optimization opportunities
• Automated reporting and business analytics

"We've built a dedicated Microsoft practice with experts across North America who understand the nuances of transitioning from direct to indirect CSP models," notes Ken Heinrich, Sales Director of Microsoft North America. "Our team doesn't just help with the technical transition—we provide strategic guidance to ensure partners maintain and grow their profitability throughout this change. Partners who have already made the transition with us are seeing accelerated growth in their Microsoft business."

"The UK market presents unique opportunities for partners transitioning to the indirect CSP model. Our team has been working closely with Microsoft UK to ensure that partners not only navigate this change successfully but also leverage it to expand their service offerings and increase profitability. The partner-led approach we take throughout this process is what sets Arrow apart in a technology-driven transition." -Oliver Harvey-Jones, Director of Cloud UK&I

"In the French market, where regulatory and compliance concerns are paramount, our local team has guided numerous partners through the CSP transition while ensuring they maintain data sovereignty and meet all EU requirements. Our blend of local expertise and global resources provides partners with the confidence to embrace this change as an opportunity rather than a challenge." -Sophie Daval, Division Director

• Dedicated transition team: Experts who understand Microsoft's program requirements and can guide your business through the change
• Technical resources: Solution architects to ensure seamless platform integration
• Business consultation: Strategic guidance to maintain and grow your profitability
• Marketing support: Resources to help you communicate changes to your customers effectively

Arrow guides innovation forward by bridging the gap between what's possible and the practical technologies to make it happen. Many partners are already transitioning ahead of the deadline to take advantage our our support and resources—join them and contact us today to begin your transition journey.