Important Microsoft Pricing Changes Coming in 2024-2025: What Your Business Needs to Know

Published by Website Administrator at January 27, 2025

As your trusted IT partner since 2000, Solve IT Solutions is committed to keeping you informed about important changes that could impact your business technology investments. Microsoft has announced several significant updates to its licensing and pricing models within the Cloud Solution Provider (CSP) program, set to roll out across 2024 and 2025. Whether you’re a current client of ours or not, we want to ensure you’re prepared for these changes and understand how they might affect your organization.

Key Changes and Timeline

1. License Pricing Changes (April 1, 2025)

Microsoft will implement a 5% price increase for products including:

Microsoft 365
Office 365
Dynamics 365

There’s good news for businesses with renewals BEFORE April 1, 2025 – you won’t see these increases until your next annual renewal in 2026. This timing allows organizations to review their licensing strategy and potentially optimize their arrangements before the changes take effect.

2. Power BI and Teams Phone Price Adjustments (April 1, 2025)

Several key products will see notable price increases also:

Power BI Pro: $10 → $14.70 per user per month
Power BI Premium Per User: $20 → $25.20 per user per month
Teams Phone Standard: $8 → $10 per user per month

3. New Promotional Opportunities

Microsoft is offering two significant promotional opportunities that could help offset some of these increases:

Microsoft 365 E5 Promotion:

Timeline: January 1 – June 30, 2025
Offer: 15% off net price on annual subscriptions
Eligibility: New Microsoft E5 customers
Limit: Up to 2,400 licenses

Microsoft 365 Copilot Promotion:

Timeline: September 1 – December 31, 2024
Offer: 15% discount on Microsoft 365 Copilot
Eligibility: New Microsoft 365 Copilot customers
Limit: Up to 300 licenses
Special Feature: Organizations can add more licenses at the promotional rate throughout their annual term

Understanding the Impact on Your Business

These pricing updates could significantly impact your IT budget, especially if you’re currently using monthly billing cycles. For medium-sized businesses, big businesses, and enterprise businesses with larger user bases, the cumulative effect of these changes could result in substantial annual cost increases.

How Solve IT Solutions Can Help

As your dedicated IT partner, we’re here to help you navigate these changes effectively. Our team can:

Conduct a Comprehensive License Review We’ll analyze your current Microsoft licensing arrangement and identify opportunities for optimization and cost savings.
Develop a Strategic Timeline We’ll create a customized plan that takes advantage of current pricing while preparing for upcoming changes.

Taking Action

The time to prepare for these changes is now. At Solve IT Solutions, we believe in “people first service,” and that includes helping you make informed decisions about your technology investments. Our dedicated support team is ready to help you understand these changes and develop a strategy that works for your business.

Contact us today to schedule a Microsoft licensing review. You can reach us at 484-331-1083 or visit our website to learn more about how we can help protect your technology investment while keeping your business running smoothly.