Microsoft Gives University of Nebraska $250k to Move to Office 365

Like many educational institutions, the University of Nebraska (NU) had been looking to make a cloud move away from its old and busted IBM Lotus Notes messaging deployment. Naturally, Google and Microsoft cloud solutions were audited, and NU found both offered superior web-based interfaces. But Microsoft Office 365 offered the superior pricing scheme, apparently — although the $250,000 Microsoft paid out for the choice was probably a nice sweetener.

Apparently, the $250,000 came from a little-known Microsoft initiative called the “Business Incentives Fund.” According to InformationWeek, which first noted the deal’s mention on NU’s Office 365 migration FAQ, the Business Incentives Fund is a slush fund meant to help Microsoft partners and customers add extra incentive when it’s the difference between making or breaking a deal.

So what’s the money going to be used for? Here’s what that NU FAQ says:

When the migration finishes over the next 12 to 18 months, every NU campus will be getting Microsoft Exchange Online mailboxes and Lync Online instant messaging — except the University of Nebraska Medical Center, which is keeping its legacy e-mail thanks to HIPAA compliance concerns.

I thought that paying ISVs $250 a pop to develop for Microsoft Windows Azure was brazen. But $250,000 to further the fight with Google Apps is a whole different level.

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