October update: What’s new for partners in Azure

News and Announcements

• Win modernization opportunities with the latest PostgreSQL capabilities: Customers are rethinking where PostgreSQL workloads should run as they balance performance, resiliency, operational efficiency, and future AI needs. That gives you an opportunity to influence database modernization decisions before platform choices are finalized. The latest PostgreSQL on Azure capabilities strengthen that conversation with both new capabilities and independent evidence. In tested 16-vCPU configurations, Principled Technologies found that Azure Database for PostgreSQL flexible server with Dv6 compute and Premium SSD v2 processed 72.7% more new orders per minute without high availability and 79.2% more with high availability than the tested competitor's solution for PostgreSQL configuration. Review the Partner Center announcement and Principled Technologies study to start and advance modernization discussions toward migration and managed services. 

• Turn Azure AI demand from SMBs into your next growth opportunity: Small and medium-sized businesses (SMBs) are moving beyond AI experimentation and looking for practical ways to modernize operations, use agentic AI, and create measurable business outcomes. Lead with Azure AI, an AI-ready data foundation, and sovereignty by design to modernize customer foundations and build a path to future AI innovation.

• • Lead customer conversations with "Modernize your data to drive results and leverage AI" and "Create a competitive edge with AI." These FY27 SMB conversations are designed to uncover modernization and agentic AI opportunities and align customer priorities to Azure solutions. 
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  • Build pipeline with Microsoft CloudAscent, Partner Marketing Center Pro, and co-op funds to identify in-market customers, generate demand, and increase the reach of your go-to-market activities. 
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  • Use the SMB pitch deck and discovery questions to land business value and connect customer needs to Azure modernization and AI scenarios. 
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  • Deliver a one-day, hands-on xIAD workshop to identify agentic AI and modernization opportunities, generate qualified leads, and create a path to the next engagement. 
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  • Scope a proof of concept with Frontier Accelerate for Azure to move opportunities from planning to execution with Microsoft-backed investments and resources. 
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  • Accelerate SQL Server modernization conversations with the SQL Server Migration & Modernization collection, including ready-to-use proposals, email templates, and pitch decks to engage customers and drive Azure SQL migration opportunities.
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  • Explore the FY27 Frontier Transformation SMB GTM Partner Playbook for conversation guidance, readiness resources, and proven engagement motions. 
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  • Join the Azure Infrastructure community to connect with peers on Azure modernization, AI readiness, partner investments, technical resources, and best practices. 

Incentives and Offers

• FY27 incentive updates: Build your growth strategy around high-value data and AI workloads: Effective October 1, 2026, Microsoft made targeted adjustments to the FY27 partner incentives portfolio to support long-term sustainability and align funding with the greatest areas of customer opportunity. For Cloud & AI Platforms partners, rates are rebalanced to focus on the key high-value workloads, with weighting toward data. Small and medium-sized business participation in large engagements is adjusted to better match engagement scope with customer profile and propensity. Portfolio-wide updates also adjust rates, expectations, and engagement controls to sustain investment availability throughout the year. Claims submitted on or before September 30, 2026, will be assessed using prior terms; the updates apply to claims submitted from October 1 onward. Review the incentives guide for complete details and join an upcoming community call to learn more. 

• Move from progress to proof: Earn your Frontier Transformation Engineer badge: Now that your team has started building Frontier AI capability, turn that momentum into visible proof. Complete the required certifications, project readiness milestones, and Frontier engineering training to earn your Frontier Transformation Engineer badge. Earning the badge validates your skills, strengthens customer confidence, gives your practice a clearer point of differentiation in customer conversations, and demonstrates your readiness to design, implement, and deliver Microsoft Frontier AI solutions. Keep progressing, complete the remaining steps, and earn your Frontier Transformation Engineer badge. 

• Turn co-sell into a scalable growth engine: Co-sell can drive stronger collaboration, faster deal progression, and better sales outcomes, but success requires more than occasional engagement. The new Co-sell Execution Engine video series on the Microsoft Partner Skilling Hub shows you how to build a repeatable co-sell motion that delivers long-term results. In five on-demand sessions, Microsoft co-sell leaders and experienced partners share practical frameworks and proven strategies to improve collaboration with Microsoft, increase deal velocity, and equip your business to win more opportunities. 

Skilling and Events

• Take your AI on the road: The Microsoft Frontier Tour kicks off in October, bringing the latest AI innovation to 35 cities around the world. The one-day events bring together AI, cloud, data, and security leaders, and the people making decisions about what comes next. For sponsors, it’s an opportunity to meet these audiences face-to-face, share what you’re building, and connect around real-world AI solutions. There are still sponsorship opportunities available for select stops. Now is a great time to make a plan and join us on tour. Ready to get started? Visit Microsoft Event Sponsorship or contact

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