Vendor expertise / Cisco / Services EA True Up

CISCO SERVICES EA

Cisco now bills hardware support growth after the fact.

From July 26, 2026, hardware support growth in a new or renewed Services EA is billed retroactively each year, with a $200,000 minimum.

Jul 26, 2026Hardware support moves to True Up
$200KMinimum annual value for hardware support in Services EA
Late JulyCisco fiscal year end

Presented by the Deal IQ Cisco practice  ·  Updated September 2026

True Forward and True Up

  1. True Forward

    How software growth is billed

    Growth is billed from each annual milestone onward, not retroactively. Software support in the Services EA stays on True Forward.

  2. True Up

    How hardware support growth is now billed

    For new and renewed Services EA bookings from July 26, 2026, hardware support growth is billed retroactively once a year.

Hardware support in a Services EA now requires at least $200,000 in annual contract value.

Why it matters

Under True Up, growth that happens during the year is charged back to when it happened. For estates that are growing, that shifts cost and risk to the customer. Cisco has also raised hardware prices in 2026 to cover rising memory costs, and told investors it expects price to keep contributing to growth through fiscal 2027.

An EA renewal prices software suites, hardware and support together, and each now moves on its own rules.

Where Deal IQ comes in

This page covers what has changed and where the cost sits. Turning that into a better price on your contract is the negotiation itself. Deal IQ has run 180+ negotiations across Cisco, Splunk and Duo, covering $500M+ in contract value, with a network of 350+ former vendor sales, pricing and deal desk leaders that includes people who sold Cisco. We negotiate directly with Cisco or behind the scenes with your team, and our fee comes from the savings.

Frequently asked questions

What is Cisco True Up?

A billing method where growth during the year is charged retroactively at the annual milestone. From July 26, 2026, it applies to hardware support in new and renewed Services EAs.

Does True Up apply to Cisco software?

No. Software support in the Services EA stays on True Forward, where growth is billed from each milestone onward.

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