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Microsoft’s Partner Push Targets Small Firms

Microsoft rose to dominance selling its software through PC makers and companies that make a living maintaining the computer fleets of other businesses. But as CEO Satya Nadella focuses the company more on selling software on a subscription basis, Microsoft is adapting its approach.

In recent weeks, Microsoft has started to broaden its network of sales partners to include a wide range of small telecommunications and cable firms that provide Internet access to small businesses and can bundle Office 365 with their services. By broadening the array of telecom firms distributing its software, Microsoft will have access to a wider customer base in less populated parts of the U.S. and internationally.

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Microsoft has realized that the best sales partners for subscription software are those firms, like telecom providers, that have ongoing relationships with customers whom they can bill over and over again for subscription versions of Office.