This article explains the main differences between Direct CSP and Indirect CSP workflows in Sync 365.
Sync 365 supports both Direct CSP and Indirect CSP partners, but some Microsoft data and billing workflows behave differently depending on how you buy and manage Microsoft services.
A Direct CSP partner has a direct billing relationship with Microsoft. This usually provides more direct access to Microsoft billing, subscription, and customer data.
An Indirect CSP partner buys Microsoft services through a distributor or indirect provider. Your distributor may provide the commercial billing details, while Microsoft still provides tenant and subscription data through Partner Center and Microsoft APIs.
Some Sync 365 workflows depend on whether Microsoft exposes the required data directly to your partner account.
For example, Direct CSP partners may have access to more detailed partner-side subscription and billing data. Indirect CSP partners may need additional setup, estimates, vendor discount profiles, or distributor invoice checks.
Both Direct CSP and Indirect CSP partners can use Sync 365 for Microsoft 365 licence billing automation.
However, the level of subscription detail can vary. Direct CSP partners may see both partner subscription IDs and tenant-side subscription IDs. Indirect CSP partners may rely more on tenant-side subscription information.
For Microsoft NCE, the same licence name may have multiple subscription rows with different commitment terms or billing cycles.
Use Split to show subscription rows separately when they need different billing profiles. Use Merge when all subscriptions can be billed as one combined licence count.
Direct CSP partners can usually access Microsoft Azure billing data more directly from Microsoft.
You should still review billing periods carefully before approving them to the PSA, especially where credits, reservations, savings plans, software, marketplace items, or tax treatment are involved.
Indirect CSP Azure billing can require more configuration because your cost comes from your distributor.
Sync 365 may estimate Azure cost using Microsoft retail pricing and your configured Vendor Discount Profile. If the vendor discount profile is wrong or missing, cost and margin calculations may not match your distributor invoice.
Reserved instances, savings plans, software, and marketplace items can behave differently depending on CSP type and the source billing data available.
For Indirect CSP partners, make sure reserved instances have cost and sell prices configured where required.
| Area | Direct CSP | Indirect CSP |
|---|---|---|
| Microsoft 365 licence billing | Supported | Supported |
| Partner subscription IDs | Usually available | May not be available |
| Tenant-side subscription data | Available where Microsoft exposes it | Available where Microsoft exposes it |
| Azure cost source | Microsoft billing data | Often estimated from RRP and vendor discount |
| Distributor invoice reconciliation | Usually not required | Often required |
Contact support if you are unsure whether a feature is available for your CSP type or if data appears missing after setup is complete.
When contacting support, include whether you are Direct CSP or Indirect CSP, your distributor name if applicable, the customer company, and the feature or data that appears to be missing.