Important update: upcoming changes to Microsoft 365 pricing

We wanted to inform you about some upcoming changes to Microsoft 365 pricing that may affect your subscriptions starting April 1, 2025. Our goal is to keep you informed so you can make the best decisions for your business.

What's changing?

1. Price Increase for Certain Payment Plans

• Annual Subscriptions Paid Monthly: If you have an annual commitment but pay monthly, Microsoft will apply a 5% price increase starting April 1, 2025.
• Who Is Affected?
  • Customers with annual subscriptions that are paid on a monthly basis.
• Who Is NOT Affected?
  • Annual subscriptions paid upfront (annually).
  • Month-to-month subscriptions paid monthly.

2. Price Increase for Specific Microsoft Products

Starting April 1, 2025, the following products will see a price increase:

• Microsoft Teams Phone Standard
  • Price Increase: 25%
• Power BI Pro
  • Price Increase: 40%
• Power BI Premium Per User
  • Price Increase: 20%

Note: Educational and Non-profit customers are not affected by these price changes.

What does this mean for you?

• If you’re on an annual subscription paid monthly, expect a 5% increase in your subscription cost upon renewal after April 1, 2025.
• Prices for certain Microsoft products are increasing by significant percentages, so your monthly costs for those services will go up if you use them.
• There might be slight variations in pricing due to exchange rates and local pricing policies (these are not currently known).

What can you do?

Consider Switching to Annual Payments

• To avoid the 5% increase on your annual subscription, you can switch to paying upfront at your next renewal.
• This option locks in your pricing for the year and can offer savings over monthly payments.

We’re Here to Help

• Have Questions? Reach out to us! We’re happy to discuss your options and help you make the best choice for your situation.
• Need Assistance Switching Plans? Please reach out to our procurement team.

Key dates to remember

• April 1, 2025: Effective date for the new pricing changes.
• Renewal Date: Check your subscription renewal date to see when the changes will affect you.

Stay informed

We’ll continue to keep you updated on any further changes. If you have any questions about these changes, please reach out to our procurement team or contact us.