Microsoft is introducing 5% price increase to the monthly billing plans for annual subscriptions – 1st of April, 2025. This change aims to continue providing customers with cash flow flexibility while maintaining the value and benefits of Microsoft services, thus Microsoft will standardize the monthly billing price for all new and renewing annual term subscriptions starting on April 1, 2025.
Customers who want to keep their existing pricing may choose to switch from monthly billing to annual billing with upfront payment for their annual term subscription at their renewal date.
Q&A
- I have monthly billing plan for annual term subscription that renews before April 1, 2025, when will they see the price increase?
Customers with monthly billing for annual term subscriptions renewing, before April 1, 2025 will enjoy the existing pricing until their next renewal.
For example, a customer with monthly billing for annual subscription renewing on March 1, 2025 will not see the price update until their next renewal on March 1, 2026 - I have a monthly billing plan for annual subscription that renews after April 1, 2025, when will they see the price increase?
Customers with monthly billing for annual subscriptions renewing after April 1, 2025 will see the updated pricing starting at that next renewal date.
For example, a customer with monthly billing for annual subscription renewing on May 1, 2025 will see the price update starting the next monthly billing cycle. - What products are in scope for the price standardization of monthly billing for annual term subscriptions starting on April 1, 2025?
Examples of product categories within the scope include: Microsoft 365, Office 365, Enterprise Mobility + Security, Windows 365, Microsoft Dynamics 365 Services, Microsoft Power Platform, other online Services.
This list is not exhaustive, and not all annual term subscriptions in these categories offer a monthly billing option. - What products are not impacted by the pricing update for monthly billing plans for annual subscriptions?
The following products are out of scope: Azure RI/Savings Plan, Marketplace, GitHub, AirGap, on-premises software.
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