Having not made any substantial price increase to their products in the last 10 years, (with the exception of the exchange rate variation that occurred a couple of years ago) Microsoft have announced that they plan on increasing their Microsoft 365 pricing for businesses by up to 20%. They have not yet provided a specific timeframe for this increase aside from advising it will be within the next 6 months. Having added 24 new apps to their Microsoft 365 suite since its launch in 2017, Microsoft are believed to be re-aligning the pricing structure to the added value now bundled in standard with these product bundles. 

The increase will only affect commercial licensing, not consumer or educational licensing. 

For example:

    • Microsoft 365 Business Basic is expected to increase from $6.90 to $8.30
    • Microsoft 365 Business Premium is expected to rise from $27.50 to $30.25
    • The Business Standard license is expected to stay the same. 
    • Other licenses to get the increase are Office 365 E1, 3, 5 and Microsoft 365 E3. 

    Although the increases aren’t wildly significant, it will be the small to medium businesses that notice the impact.

    For those who are ONGC clients; if you are unsure if you will be affected by this, have any queries about your new pricing or have any other concerns, please do not hesitate to get in contact with us and we will be happy to discuss this with you.