Upcoming Microsoft License Price Changes: What You Need to Know

If you, as a business, operate with any Microsoft licensing, you might want to take a read. Microsoft has announced upcoming changes to their licensing prices, effective April 1, 2025. These changes are part of Microsoft's ongoing efforts to standardize their billing structure across various subscription plans. Here’s a detailed overview of what you can expect:

Key Changes to Microsoft Licensing Prices

1. Price Increase for Monthly Billing Plans:
   • Starting April 1, 2025, all new and renewing monthly billing plans for annual and triennial subscriptions will see a 5% price increase compared to the annual billing option for the same subscription plans.
   • This change affects Buy Online, Cloud Solution Provider (CSP), and Microsoft Customer Agreement - Enterprise (MCA-E) channels.
2. No Price Increase for Annual and Monthly Term Subscriptions:
   • There will be no price increase for annual bill/annual term subscriptions or for monthly bill/monthly term subscriptions.
   • This ensures that customers opting for these billing cycles will not experience any changes in their current pricing.
3. Triennial Term Subscriptions:
   • The price increase also applies to monthly billing plans for triennial term subscriptions, which will be reflected in the April price list.
     It may be worth noting that we do not resell triennial term subscriptions to clients.
4. If You’ve Already Renewed, You’re Price Protected
   • This price change will only affect you if you’re renewing licensing after the set date. If you’ve already renewed your licensing (or are scheduled to do so before April 1^st) you won’t have to worry until your next renewal date.

What This Means for You

As a Microsoft service provider, we understand that these changes may raise questions and concerns. Here’s how we can support you during this transition:

• Review Your Current Subscriptions: We recommend reviewing your current Microsoft subscriptions to understand how these changes might affect your billing.
• Consider Annual Billing Options: If you are currently on a monthly billing plan, consider switching to an annual pre-paid billing  plan to dampen effect of the price increase.
• Stay Informed: We will continue to provide updates and detailed information as we receive them from Microsoft to ensure you are well-informed and prepared.

Next Steps

As always, if you are an existing client, please reach out and ask any remaining questions about how this might affect your business.

If you are not an existing client, get in contact anyway. We’ll book a no-obligations meeting where we’ll work through your existing licensing with you to ensure you’re getting the best out of it.

About the author

Fuse

Fuse is a Microsoft Partner, based in Northampton. We help organisations of all sizes to maximise IT efficiencies through the use of Microsoft cloud computing solutions.