Over the course of the next few months, Microsoft will be making changes to its licensing model, as well as increasing pricing.
As always, we are here to support you with all Microsoft changes, and pride ourselves on the services we offer. We have been researching the best options for you since the changes were announced and have decided on a simple offering with either the flexibility of a monthly agreement or the cost savings of an annual commitment.
In addition to the changes of the subscription models, Microsoft have confirmed that prices on all Cloud services will increase by 9% from 1st April 2023.
Subscriptions in place before this time will be price-protected until their renewal date, meaning that monthly agreements made in March will be subject to a price increase in April but annual agreements made in March will stay at the same price for 12 months.
Price Increases
Examples of price increases for popular licenses
| License | Price in March 2023 | Price from April 2023 |
| Microsoft 365 Business Basic NCE | £4.50 per user/per month | £4.90 per user/per month |
| Microsoft 365 Business Standard NCE | £9.40 per user/per month | £10.30 per user/per month |
| Microsoft 365 Business Premium NCE | £16.60 per user/per month | £18.10 per user/per month |
| Microsoft Visio Plan 2 NCE | £11.30 per user/per month | £12.30 per user/per month |
License Changes
Last year, Microsoft announced a change in how customers purchase and manage their licences and launched the New Commerce Experience (NCE).
Monthly Option
You will be able to make changes to your licenses in a 72-hour window once per month. This option is the most flexible on the New Commerce Platform but will come at a price premium, in addition to the price rise, if you do not wish to commit for a long term. You can add to your agreement like normal, however reductions can only happen in the 72-hour window each month. Not all services are available on this model, so it’s worth checking with us before deciding on any agreement.
Annual Option
You will be able to make changes to your licenses in a 72-hour window once a year. This option is less flexible than the monthly option but is not subject to the price premium, making it the cheaper option, especially for business with more stable staff numbers. You can continue to add as you wish throughout the year. Payment for this option must be upfront.
As stated above, this is a change by Microsoft and as such, is out of our control. We will be happy to offer our advice to ensure you continue to get the best value from your Microsoft licensing.
Contact us directly for a chat about what these changes mean to you and your business. Please email or call our licensing team at licensing@medhurst-it.com or 01489 56300.
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