New pricing for Microsoft 365 – what does this mean for your business?

Microsoft is introducing changes to its commercial pricing for Microsoft 365 subscription plans. Announced on 19 August 2021, these price updates will be effective as of 01 March 2022.

Who will these price changes affect?

  • Enterprise: Microsoft 365 E3, Office 365 E3, and Office 365 E1
  • Government: Microsoft 365 E3, Office 365 E3, Office 365 E1, Microsoft 365 F3, and Microsoft 365 F1
  • Frontline: Microsoft 365 F3, Microsoft 365 F1, and Office 365 F3
  • SMB: Microsoft 365 Business Premium, Microsoft 365 Business Standard, and Microsoft 365 Business Basic
  • Education & Not for Profit: No change at this time

Why are we seeing these price changes?

According to According to Jared Spataro, Corporate Vice President for Microsoft 365, the new pricing reflects the increased value and product innovations Microsoft has added over the past decade to meet changing customer requirements. And the list is pretty impressive: It includes 25 new applications such as Microsoft Teams, Power Apps, Power BI, Power Automate, SharePoint, Stream, Planner, Yammer, and Whiteboard, as well as the release of over 1,400 new features and capabilities, and the forthcoming addition of exciting new audio conferencing capabilities.

Tell me more about these Microsoft 365 product innovations

Since introducing Microsoft 365 back in March 2017, Microsoft has focused developments in three key areas

The new collaboration innovations, of course include the introduction of Microsoft Teams. Since the coronavirus pandemic, this app has effectively become a way of life for many of us in both work and education environments, today accounting for more than 250 million monthly active users. Microsoft continues to enhance Teams with over 300 new features to support hybrid work and improve collaboration with deeper integrations with Power Platform, Whiteboard, Lists, Planner, Shifts, Forms, and SharePoint.

Microsoft has also added powerful security and compliance capabilities, including data loss prevention (DLP) for email and documents, messaging encryption and sensitivity labels. They have also added new AI capabilities to automate tasks, such as real-time translation and transcription, as well as offering built-in mobile device management (MDM) and other management tools like Microsoft Endpoint Manager to help admins support remote and hybrid workforces.

They will shortly be introducing unlimited dial-in capabilities for Microsoft Teams meetings to enable users to join Teams meetings, even with a poor internet connection, from any device.

What are the new Microsoft 365 pricing changes?

The pricing changes will come into effect in six months’ time, on 01 March 2022. 

The price update is yet to be confirmed in GBP but the scale of the US dollar price increase is expected to be around 15% for Office 365 E3 licences. There are currently no changes to pricing for Education and Not for Profit subscriptions. 

How can AspiraCloud help?

AspiraCloud is a long standing Microsoft Cloud Solution Provider (CSP) and Gold Cloud Productivity Partner.

This gives us access to the most competitive prices and best licensing packages to fit your specific business requirements, to ultimately enhance productivity and drive collaboration across your organisation.

If you would like to find out how we can help you secure the best Microsoft 365 licensing package, simply get in touch.