The Microsoft Office 365 subscription model allows cash to be allocated to other critical business needs this also reduces TAX liabilities and CFO’s find the ‘Predictable IT costs’ they need to plan ahead.
IOTAP has been consulting, designing and implementing cloud solutions for numerous clients for over a decade. IOTAP has an experienced team that has helped customers from various industries achieve the best of cloud.
WHY Convert CAPEX to OPEX
1CAPEX is a current expense from which you can gain benefits only at a later stage.
2Tax is directly proportional to expenditure, Higher the CAPEX, higher the Taxes.
3Investor see lesser value of assets and net income, when they see CAPEX on balance sheets.
4CAPEX is an investment which if underutilized turns into a liability
5The Time Value of Money is reduced. Money has its own appreciation rate, so saving taxes today is much advisable then saving taxes after a year.
As a wise man once said "Money saved is money earned". Opting for OPEX over CAPEX gives you a lot of benefits in terms of your IT expenses
Download the report of 'TEI of Office 365 Enterprise'
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This is what you are currently paying for
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Benefits using Microsoft 0365
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| 1 |
You pay upfront for the license cost |
You PAY only PER USER + 1 License covers 5 devices |
| 2 |
You Pay Maintenance cost – nearly 30% of CAPEX year on year. |
Maintenance Included + total cost is just above 30% of your current AMC |
| 3 |
You are liable for all IT costs and risks |
Microsoft’s is liable for all costs + They will pay YOU back if 99.9% SLA is not maintained. |
| 4 |
You invest every time when you need a new technology or Upgrades |
You will get the latest versions and upgrades automatically
TRY HERE |
| 5 |
You pay when life of SERVER & STORAGE is over |
50Gb Inbox + 1TB Online Storage Included, + Scalable without limits |
| 6 |
You will not find a person from Vendor once they ship the order |
Vendor is accountable till the END + you can unsubscribe at your will |
| 7 |
Your users invest time & money to access corporate data |
With Office 365 you can access data anytime anywhere |
Business case
Let’s take an example of a 100 user company with Active Directory, Exchange, SharePoint, LYNC & Office pro plus. Assuming standard costs for license and hardware and Software, along with implementation cost. Keeping in mind manpower required to maintain the hardware and that the life of a hardware is around 5 years. We can assume the following:
| Required Feature |
On premise cost |
Office 365 cost (per user) |
| Office pro plus |
₹ 30,000.00 |
₹ 9000.00 PA |
| Lync Server + SharePoint Server + Exchange Server |
₹ 40,000.00 |
NOT REQUIRED |
| Lync + SharePoint + Exchange CAL |
₹ 3,000.00 |
CALs NOT Required |
| Backup Software |
₹ 120,000.00 |
Included |
Hardware
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| Exchange Server |
₹ 200,000.00 |
No hardware Required Except end user Machines |
| LYNC Server |
₹ 200,000.00 |
| SharePoint Server
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₹ 200,000.00 |
| AD Server |
₹ 200,000.00 |
| Backup Server
|
₹ 200,000.00 |
| Storage |
₹ 500,000.00 |
Implementation cost (One Time Cost)
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| Cost to setup Hardware |
₹ 1,500.00 |
Not Required |
| AD + Exchange + SharePoint + Lync Deployment Cost |
₹ 5,000.00 |
₹ 50,000.00 |
| Backup (Optional third party tool) |
₹ 4,000.00 |
Included |
TCO
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| Description |
On Premise |
Office 365 |
| SOFTWARE + HARDWARE + IMPLEMENTATION For 100 users |
₹ 17,03,500.00 |
₹ 1,50,000.00 |
| TAXATION |
₹ 4,000.00 |
Included |
