DTA Achieves Sixth Licensing Agreement with Microsoft
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Quick Overview
- The Digital Transformation Agency (DTA) has finalized its sixth sourcing contract with Microsoft.
- This contract encompasses Microsoft 365, Azure, Dynamics 365, and security solutions.
- It spans a duration of five years with set price increments for financial transparency.
- A training fund of $1.55 million is allocated for skill enhancement in the Australian Public Service.
- Copilot AI is available for optional acquisition by government entities.
Overview of the Sixth Microsoft Licensing Contract

The Digital Transformation Agency (DTA) has finalized its sixth contract with Microsoft, showcasing the Australian government’s ongoing dedication to harnessing advanced technological solutions. Over the forthcoming five years, this contract will facilitate access to Microsoft’s enterprise and cloud offerings, bolstering the digital framework of government operations.
Details of the VSA6 Contract
Referred to as VSA6, this contract covers an array of Microsoft offerings including the Microsoft 365 productivity suite, Azure cloud resources, Dynamics 365 ERP, and Microsoft’s security and identity offerings. Moreover, the eagerly awaited Microsoft Copilot AI is part of this deal, although it is an optional purchase for government entities.
Emphasis on Financial Management
In light of budget constraints, the DTA has secured stable pricing and capped increases to ensure economical solutions for governmental entities. The specifics of these price caps remain confidential, yet they promise fiscal predictability.
Effect on Government Entities
This agreement is anticipated to sustain significant expenditures on core Microsoft 365 services and Azure, fueled by their extensive use among governmental entities. The last iteration of the agreement saw expenditures exceed $1.2 billion, highlighting the magnitude and importance of these technology integrations.
Skill Development Initiatives
Within the framework of the agreement, Microsoft has pledged a $1.55 million training fund aimed at enhancing the competencies of the Australian Public Service. This initiative is structured to promote a focused training program, emphasizing the ethical utilization of AI and other nascent technologies.
Preparing for Future Technologies
The standardized contracting framework established for VSA6 not only bolsters legal protections but also fosters the inclusion of emerging technologies. This strategic outlook guarantees that government systems remain resilient and flexible in adapting to impending technological developments.
Conclusion
The sixth Microsoft licensing contract exemplifies a progressive strategy by the Australian government to enhance its digital capabilities. With a focus on financial management, training, and technological progress, this agreement sets a new standard for public sector technology acquisition.
Q: What technologies are part of the VSA6 contract?
A:
The VSA6 contract encompasses Microsoft 365, Azure cloud resources, Dynamics 365 ERP, security and identity offerings, and the optional Microsoft Copilot AI.
Q: What advantages does VSA6 provide to government entities?
A:
VSA6 assures financial certainty with capped price rises, access to cutting-edge technologies, and a training fund to bolster public service skills.
Q: What is the importance of the $1.55 million training fund?
A:
The fund aims to enhance skill sets within the Australian Public Service, particularly focusing on ethical AI applications and other advanced technologies.
Q: Is Microsoft Copilot AI mandatory for agencies under VSA6?
A:
No, Microsoft Copilot AI is an optional acquisition, allowing agencies to decide on its procurement.
Q: What is Data#3’s role in the VSA6 contract?
A:
The specifics regarding Data#3’s role as a reseller are currently under an active procurement process, with details yet to be disclosed.
