NOTICE: Microsoft License Rate Increases Coming 3/1/2022

NOTICE: Microsoft License Rate Increases Coming 3/1/2022

We wanted to make you aware of a pricing increase Microsoft announced for their services starting March 1st, 2022, as a part of their New Commerce Experience (NCE).

Per-license rates will go up, and there will also be changes to monthly and annual commitment structures. Make sure to review the following price increases and other details so you know what to expect on your invoice in March.

Why Is Microsoft Changing Their Rates & Models?

Primarily, Microsoft is endeavoring to both simplify the way their plans work and to offer flexibility to businesses like yours where needed. NCE offers a far less complex system of plans and rates than Microsoft’s previous model and allows for businesses to better harness the exact services they need.

Microsoft Offering Rate Increases

Effective 3/1/2022, Microsoft will be increasing the following license prices:

Microsoft 365 Plan Old Rate (per license) New Rate (per license)
Business Basic $5 $6
Business Premium $20 $22
E3 $32 $36
Office 365 E1 $8 $10
Office 365 E3 $20 $23
Office 365 E5 $35 $38

If you utilize any of the licenses listed above, your invoice will increase as indicated.

Monthly Or Annual Commitment?

An important consideration is whether you opt for a monthly or annual license commitment. If you prefer the flexibility of changing license counts monthly, you will pay a 20% premium compared to the annual commitment rate.

However, it’s important to note that the commitments auto-renew, so you will want to track when you opt-in so you can review prior to the renewal date. Furthermore, when you agree to an annual commitment, you are locked in at your current license count as a minimum. If you happen to dip below that number, you will not receive any discounts or money back within the one-year period.

Questions about these new rates? Please reach out to our team.