Microsoft Price Increase
Beginning April 1st, Microsoft has some price changes for all renewing and new M365 licenses. Also, there’s a price increase for Power BI and Teams Voice new and renewing licenses. This is not an April Fools joke!
Before I share the details, we have some great news for our clients with Managed M365 licenses! Any clients with Managed M365 Premium, Standard, Basic, E3, and Managed Teams licenses, we will NOT pass along the price increase in 2025. When these licenses renew in 2025, we’ll leave them as an annual commitment with monthly payments, and we’ll cover the 5% license increase until December 31, 2025.
Now the other details from Microsoft starting April 1st:
- All M365 licenses with an annual commitment and monthly payments will have a 5% price increase from Microsoft upon renewal. Our clients with a la carte licenses will be charged the new price as the licenses renew after April 1st.
- Power BI licenses will increase from $10 to $14 upon renewal
- Teams Phones with calling plan will increase from $15 to $17 upon renewal
- Copilot is now available as an annual commitment and monthly payments with an increase of 5%. If Copilot licenses are purchased upfront for the year, there is no price increase.
On your monthly invoice from us, we list your Microsoft licenses and their renewal dates. After April 1st, if you have licenses renewing, you’ll receive a 5% increase in cost for the licenses. For our clients with Managed M365 and Teams licenses, we will not pass on this increase in 2025! For all Power BI and Teams Phones licenses, the price will increase upon renewal.
One last thought: If you’d like to pay for the M365 licenses upfront for the whole year, you can avoid the price increase. So instead of paying monthly, you would pay for the whole year, upfront, upon renewal. If this is interesting to you, let’s get on a short call and talk it through. – CMW