If you're subscribed to Microsoft 365, Office 365, Dynamics 365, or other Microsoft services, you may need to get ready for a little shake-up to your subscription costs. Microsoft has just announced a price increase, which affects subscriptions that take advantage of monthly billing with an annual commitment term - adding a 5% increase starting 1st April 2025.

What's changing?

This 5% price increase will apply to all annual subscriptions that use monthly billing, including all-encompassing and standalone SKUs, such as the following popular Microsoft products: -

• Microsoft 365

• Office 365

• Enterprise Mobility + Security

• Windows 365

• Dynamics 365 Services

• Power Platform
  

From April 2025, if you opt to procure new, or renew any existing, monthly billed SKUs with an annual commitment, you should expect this slight price bump to take effect.

With this same change, Microsoft Teams Phone licenses will also get their first major pricing update since their inception (in addition to the 5% uplift for monthly paid annual commits), which is reportedly due to, and in line with, the service's ongoing enhancements and increased value.

Copilot Gets More Accessible!

On a brighter note, there is some exciting news for Microsoft Copilot, where from 1st December 2024, the solution will have a much anticipated monthly billing option, still for annual commitments only, but it's a step in the right direction! This allows businesses to break up the cost over time rather than paying the full annual fee upfront, hopefully making the solution more attractive & palatable - and with AI now more accessible, it's a great time to get acquainted with this powerful tool!

What to expect...

Here's a monthly breakdown of the Microsoft Teams Telephony price changes and the projected impact of the 5% increase across various Microsoft 365 SKUs for annual commitments with monthly billing, as well as an approximate GBP to USD conversion.

Please note that these figures are based on an interpretation of the currently available data and are accurate estimates and approximations only. We are still awaiting confirmation of the exact and final pricing.

How to Save Before the Price Hike!

If you'd like to lock in current rates before the increase, consider renewing before the go-live date of 1st April 2025. For existing monthly billed, annual commit subscriptions, this can help you secure the current pricing for a little longer. Additionally, if you're in the market for an upgraded SKU or a new SKU, now may be a good time to consider locking in the cheaper rates before the increase. Otherwise, the alternatives are to absorb the price increase or to pay upfront annually.

Need Assistance?

Not sure how these changes affect your current setup? Please feel free to reach out for guidance in navigating these updates, planning renewals, and/or exploring Microsoft Copilot - Our Microsoft-certified experts are here to help! Let’s keep your Microsoft tools working seamlessly while managing your costs efficiently!

Get in touch to stay ahead and secure lower rates before April 2025!

• info@mondocloud.co.uk

• 0800 640 4258