FY26 Q1 update: Make the most of your certified software designation
Key reminders for partners with current top tier benefits Now: Partners can start the process of attaining a certified software designation—which is required to access benefits like partner-reported Azure consumed revenue (PRACR) reporting. Until December 31, 2025: Partners can retain access to current top tier benefits, including PRACR reporting and Azure partner-led incentives. Starting January 1, 2026: Partners will need to have a certified software designation to continue accessing these benefits. Updates for FY26 PRACR-reporting partners PRACR reporting has moved to Partner Center: PRACR reporting is now centralized in Partner Center and tied to active contracts—meaning that partners will need to register legacy deals and renewals as net-new to maintain eligibility. Partners who missed the April 30 deadline for estimated Azure consumption (EAC) percentage (EAC%) will receive a default rate unless updated proactively. If partners are renewing expired deals as net new through the deal registration process in Partner Center, please ensure a co-sell motion has occurred as part of the renewal. Review the Partner Center requirements for PRACR and ensure your reported deals are registered accordingly. Make the most of PRACR with vNext documentation: To support your success with vNext PRACR, we’re launching a suite of clear, actionable documentation designed to guide you through onboarding, transitions, and ongoing participation. News and announcements From FAQs to playbooks, our resource collection has the tools you need to succeed as a Solutions Partner with a certified software designation. Explore resources Enhanced FY26 go-to-market benefits: Solutions Partners with certified software designations can access updated go-to-market (GTM) benefits, including solution play cards, solution briefs, and an animated solution video—all designed to raise awareness of your solution and support your co-sell success. Learn more here or here. New Industry AI designations now available: We introduced six new designations for industry-specific AI—Energy, Government, Telecom, Education, Defense, and Nonprofit—so software development companies can further differentiate and align their solutions to sector-specific needs. Learn more here. Incentives and offers Microsoft’s FY26 Partner Incentives empower software development companies to accelerate customer migrations and modernizations with substantial financial rewards. Partners with certified software designations—including Azure, Security, and Industry AI—can earn up to $175,000 USD for qualifying Customer Migrate & Modernize engagements. These incentives, a part of Marketplace Rewards Advanced Package, support a wide range of customer scenarios, from migrating on-premises environments to Azure-hosted solutions, moving from competitive platforms, expanding Azure solution footprints, and acquiring net new customers. Check out the “ISV Engagements” tab in the incentives guide for more information. Partner success Hear how Symphony AI, Rockwell Automation, Rescale, Accenture, and Avanade are leveraging their certified software designations to expand global reach, increase brand visibility, and deliver cutting-edge AI-powered solutions. View here. Follow the tag certified software designations to stay updated on quarterly partner news for certified software designations. *“Solutions Partner” refers to a company that is a member of the Microsoft AI Cloud Partner Program and may offer software, services, and/or solutions to customers. Reference to “Solutions Partner” in any content, materials, resources, web properties, etc. and any associated designation should be not interpreted as an offer, endorsement, guarantee, proof of effectiveness or functionality, a commitment or any other type of representation or warranty on the part of Microsoft. All decisions pertaining and related to your business needs including but not limited to strategies, solutions, partner selection, implementation, etc., rests solely with your business. **A certification is (1) specific to the solution’s interoperability with Microsoft products and (2) based on self-attestation by the solution owner. Solutions are only certified as of the date the solution is reviewed. Solution functionality and capability are controlled by the solution owner and may be subject to change. The inclusion of a solution in the marketplace and any such designations should not be interpreted as an offer, endorsement, guarantee, proof of effectiveness or functionality, a commitment or any other type of representation or warranty on the part of Microsoft. All decisions pertaining and related to your business needs including but not limited to strategies, solutions, partner selection, implementation, etc. rest solely with your business.
