Microsoft 365 is a suite of productivity and security applications that helps you work smarter and stay safer. You can purchase the software for your home or for your business.
However, as of March 1, 2022, Microsoft has raised prices on its software packages by an amount up to 20%. The increase will affect different types of customers, but you can easily prepare your business and budget.
Why did the price increase?
This marks the first substantive pricing increase since Microsoft first launched Office 365 a decade ago. The suite has grown in popularity over the last few years in both the home and business markets.
When Microsoft announced the price update in August last year, the company stated it reflected the increased value the suite has delivered over the past decade in three key areas: communications and collaboration, security and compliance, and AI and automation.
Since Office 365 was launched, the company has added 24 applications and over 1400 new features to the suite – without substantially increasing the price in the subsequent ten years.
Notable additions include:
What are the new prices?
As of March 1, 2022, the pricing has been updated for the following commercial products:
Business Basic: $6.90 to $8.30 per month, per user
Business Premium: $27.50 to $30.25
Office 365 E1: $11 to $13.80
Office 365 E3: $29 to $34.50
Office 365 E5: $50.70 to $56.30
Microsoft 365 E3: $46.40 to $51.60
Exceptions to the price update
Microsoft has not increased pricing on all of its commercial subscription packages. The above listed packages are the only subscriptions that have had pricing updates; the company has left Microsoft 365 F3 untouched for the benefits of frontline workers.
Other exceptions and changes to this update include:
Find out more from the Microsoft experts
If you’re unsure how your Microsoft 365 subscription will be affected, talk to Microsoft Gold Partner Steadfast Solutions. Their Microsoft consultants can answer any of your questions, or help you find a plan that better suits your business needs.