New pricing for Microsoft 365 coming March 1
In August 2021, Microsoft announced an update to its commercial pricing for Microsoft 365, the first substantive update since Office 365 was released in June 2011. This change will go into effect on March 1, 2022 – providing customers about six months of advance notification....
- Microsoft 365 E3 – US$36 (from US$32)
- Office 365 E5 – US$38 (from US$35)
- Office365 E3 – US$23 (from US$20)
- Office 365 E1 – US$10 (from US$8)
- Microsoft 365 Business Basic – US$6 (from US$5)
- Microsoft 365 Business Premium – US$22 (from US$20)
Changes to pricing for US government cloud customers will be phased in over several years in line with existing requirements. There is no price change at this time for education or consumer products.
This price update builds on the product innovation we’ve delivered over the past ten years to meet the changing needs of customers. Since initial release, we’ve added 24 new apps and more than 1,400 features. This includes the introduction of Microsoft Teams as the only solution with meetings, chats, calls, collaboration, and the ability to automate business processes. We have added capabilities like data loss prevention (DLP) for documents and emails, conditional access for Office 365, Office messaging encryption, and attack surface reduction capabilities. In August 2021, we also announced Microsoft Defender for Endpoint Plan 1 (public preview), bringing next-generation protection, attack surface reduction, and access to the Microsoft 365 Defender console. Microsoft Defender for Endpoint Plan 1 will be priced at US$3 and included in Mi...
Please take a look at the announcement to see just some of the innovation we’ve delivered over the past decade in three key areas: communications and collaboration, security and compliance, and AI and automation.
We also announced the extension of unlimited audio conferencing dial-in across our paid enterprise, business, frontline, and government suites, enabling users to dial in and join Teams meetings from virtually any device. The change will affect:
- Enterprise – Microsoft 365 E3, Office 365 E3, Office 365 E1
- Frontline – Microsoft 365 F3, Microsoft 365 F1, Office 365 F3
- Government (GCC, GCCH, DOD) – Microsoft 365 G3, Office 365 G3, Office 365 G1, Microsoft 365 G3, Microsoft 365 G1
- SMB – Microsoft 365 Business Premium, Microsoft 365 Business Standard, Microsoft 365 Business Basic
Audio Conferencing is currently included only with our premium SKUs, but we have come to see dial-in as an important part of the complete Teams meeting experience. This change will be effective in March 2022.
We are not increasing our prices because of this change. Extending dial-in capabilities across the SKUs is simply the latest example of how we regularly deliver new value to support the changing needs of our customers. These changes will go into effect on March 1, six months after our August 2021 announcement, ensuring that our customer and you, our partners, have the time and the information required to plan together.
As leaders around the world look to empower their people for a more flexible, hybrid world of work, it's clear that every organization will need a new operating model across people, places, and processes. We’re committed to building on the value we’ve delivered over the past decade to continuously provide new innovation that helps our customers succeed and thrive today and well into the future.
- Read the blog post.
- Ensure your customers are aware of the first substantive update to the Microsoft 365 list prices and are appropriately taking them into account as they plan future spend.
- Use the customer-facing deck to emphasize the value added over the past decade, and the six months of notification.
- Use the FAQ to answer customer questions.