Recently, Microsoft quietly posted a memo that pulled the rug out from under one of its most generous initiatives: the Azure startup credit programme. Once a golden ticket offering up to USD 150,000 in cloud credits, the programme has now been radically restructured.
Instead of vanishing completely, the programme has been split into two distinct paths, effective July 1. A fork in the road. For startups, the question is no longer “Can I get support?” but rather, “Which path can I take?”
The first path is the investor-backed track. It is shiny, appealing, and packed with promise. Here, eligible startups can still unlock more than USD 100,000 in Azure credits. But there is a catch: you need a referral. Accelerators, VCs, university incubators—without them, you do not get in. Get through the gates, though, and the perks keep rolling: tailored resources, dedicated support channels, even co-marketing opportunities. For those in, it could be a goldmine.
Then there is the second track, the lone wolf path: self-service. This one is for startups flying solo, without a fancy investor name behind them. What do they get? Up to USD 5,000 in credits; USD 1,000 for the first 90 days, and another USD 4,000 if they pass business verification. No red carpet here. No tailored help.
The abrupt change could cause disruption to many startups that may have already budgeted based on the previous USD 150,000 credit availability, with most startups unlikely to refocus their strategies given the short notice period.
Meanwhile, competitors are not standing still. Google is dangling USD 200,000 in credits, or a whopping USD 350,000 for AI startups. AWS offers a not-too-shabby USD 100,000, plus an extra USD 30,000 for those using its AI hardware. Microsoft’s once-generous programme suddenly looks lean by comparison.