Independent Research Firm Names Microsoft a Leader for SMB Enterprise Applications Software Licensing and Pricing

COPENHAGEN, Denmark — Oct. 24, 2007 — Forrester Research Inc., a leading independent research firm, has placed Microsoft Business Solutions as a leader in the small and medium size business (SMB). Its findings — which evaluated the 12 enterprise applications vendors with greatest mind share and market presence — are reported in the latest Forrester Wave evaluation, The Forrester Wave: Enterprise Apps Software Licensing and Pricing, Q4 2007, October 2007.

Microsoft Corp. was named among the top three vendors for large enterprise software pricing and licensing, and Microsoft earned the highest strategy score for its extensive support of provisions in the enterprise software licensee bill of rights, a framework designed by Forrester that provides customers with guidance on the licensing process.

According to the report, “Extensive efforts at streamlining software and licensing for Microsoft Business Solutions (MBS) have paid off. Microsoft has maintained its client-friendly concurrent user license and aligned its packaging and pricing across the Microsoft Dynamics line. Business Ready Licensing, launched in July 2006, eliminates the module and SKU complexity of legacy pricing schemes in favor of a user-based licensing approach. Partners and customers agree that the new policy has improved simplicity.”*

To assess the state of the enterprise application software licensing and pricing market, Forrester evaluated 97 criteria to determine the position of evaluated vendors in current offerings, market presence and strategy. An examination of past research, user-need assessments, and vendor and expert interviews determined the comprehensive set of evaluation criteria.

“Our goal for Business Ready Licensing and Enhancement Plan is to deliver what customers need: a licensing program that is simple and transparent, and provides ongoing value for their money, every step of their lifetime as a Microsoft Dynamics customer,” said Gayle Hoshino, general manager of Microsoft Business Solutions pricing. “We believe that being named as a leader for SMB licensing and pricing indicates that we have the right strategy in place with Business Ready Licensing. We will continue listening to our customers and building on this solid foundation.”

About Microsoft Dynamics

Microsoft Dynamics is a line of financial, customer relationship and supply chain management solutions that help businesses work more effectively. Delivered through a network of channel partners providing specialized services, these integrated, adaptable business management solutions work like and with familiar Microsoft software to streamline processes across an entire business.

About Microsoft

Founded in 1975, Microsoft (Nasdaq “MSFT”) is the worldwide leader in software, services and solutions that help people and businesses realize their full potential.

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* The Forrester Wave: Enterprise Apps Software Licensing and Pricing, Q4 2007, R “Ray” Wang, October 2007

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