How Microsoft extracts additional revenue from Office 365 customers

MVP

Microsoft has a goal of reaching an annualized revenue run rate of $20 billion for commercial cloud products by July 2018. To attain their goal, Microsoft needs to extract more revenue from customers by selling add-ons like Delve Analytics and Advanced Security Management, more expensive plans like Office 365 Enterprise E5, and offerings like Azure Active Directory Premium or the Enterprise Mobility Suite. So the promise of a fixed-cost expenditure for Office 365 licenses that made the transition to the cloud seem so attractive might not be quite as straightforward as it seems..

More cash for Office 365 add-ons and upsells

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According to Scott Guthrie, some 40% of Office 365 (I assume enterprise) tenants are using EMS, so that's quite an additional revenue stream right there...