Microsoft ISV Cloud Embed Program Handbook

What is the ISV Cloud Embed Program
  • The ISV Cloud Embed program has evolved to an OEM-only licensing model, providing licenses for ISVs to build on the Power Platform and extend first-party Dynamics 365 solutions. As part of the OEM model, the ISV packages an underlying embedded platform license with its IP that builds/extends Dynamics 365 or PowerApps and sells the combined solution to the customer.

  • Joining the ISV Cloud Embed program allows ISVs to acquire Dynamics 365 and Power Apps discounted licenses to create unified solutions that include those licenses and ISVs own business IP.This can be particularly useful when ISVs customers don’t have existing Dynamics 365 or Power Apps licenses already.For ISVs customers who do run their own underlying Dynamics 365 and Power Apps solutions which they procured directly from Microsoft (e.g., via an Enterprise Agreement),an embedded license is not required.

  • For details on OEM licensing discounts and how licensing fees affect revenue sharing calculations, please contact your Microsoft Partner Development Manager (PDM) or the Biz Apps Enablement desk

  • The requirements and criteria for obtaining embedded Dynamics 365/PowerApps licenses through the ISV Cloud Embed Program were updated to reflect ISVs’ required participation in ISV Connect program. Also, the price of embedded SKUs was recently reduced to (partially) mitigate the additional revenue sharing fee.
Microsoft Products and Services Available Under the ISV Cloud Embed Program
 
The following Microsoft Products and Services are available as “Embedded editions” for the ISV Cloud Embed Program. Microsoft can add additional Embedded editions of Products by updating this list. For clarity, Windows Embedded products are not available under the ISV Cloud Embed Program.
  • Dynamics 365 for Finance and Operations
  • Dynamics 365 for Retail
  • Dynamics 365 for Sales
  • Dynamics 365 for Customer Service
  • Dynamics 365 for Field Service
  • Dynamics 365 for Project Service Automation
  • Dynamics 365 for Customer Engagement
  • Dynamics 365 for Talent
  • PowerApps
Solution Eligibility for the ISV Cloud Embed Program
  • If a prospective ISV solution meets all the eligibility criteria below, the ISV may apply for the program by submitting ISV Cloud Embed Request webform.
Partner Eligibility Criteria
To be eligible for inclusion in the ISV Cloud Embed Program, a prospective ISV must meet the following eligibility criteria.
  • The ISV must be enrolled in the Microsoft Business Applications ISV Program prior to applying for ISV Cloud Embed Program.
  • Note: Current ISV Cloud Embed Program partners must enroll in the Microsoft Business Applications ISV Program to continue using the Embedded edition of a Product.
  • To be eligible for inclusion in the ISV Cloud Embed Program, a prospective ISV must be enrolled in CSP Direct.
    1. Learn about the CSP Program Click HERE
    2. Enroll in the CSP Program Click HERE
 
Solution Eligibility Criteria
To be eligible for inclusion in the ISV Cloud Embed Program, a prospective ISV solution must meet the following eligibility criteria.
  1. The ISV’s software applications and scripts (and third-party software applications, if applicable) included in the proposed Embedded Unified Solution (for the purposes of this page, these two items combined will be referred to as the “ISV Portion” of the prospective ISV solution) must run natively (be designed to run on) on one or more embedded editions of the product.Any Embedded edition of a Product
  2. If the prospective Embedded Unified Solution is to include more than one Embedded edition of the Product, the ISV Portion must run natively on each of the intended Embedded edition of the Products.
  3. The ISV Portion must adhere to the following:
    • Be listed on Microsoft AppSource and meet the guidelines available at https://appsource.microsoft.com/en-us/partners
    • Be validated across technical, architectural and business categories. Microsoft will determine, at Microsoft’s sole discretion, that the ISV Portion adds significant and primary end-to-end functionality to the Embedded edition of the Product using an algorithm that looks at entities, forms, business logic, etc.
  4. The ISV Portion must be integrated with the Embedded edition of the Products such that the prospective ISV solution can only be distributed and licensed by including the Embedded Edition of the Products together with the ISV Portion (i.e., the Embedded edition of the Product cannot be distributed on a standalone basis.)
  5. A prospective ISV solution that is built on an Embedded edition of a Dynamics 365 Product must be specifically designed for and marketed to a vertical industry.