Microsoft Price Increase for Microsoft 365

Since 2011, Microsoft’s pricing for business subscriptions to its line of Microsoft 365 products has been stable. But effective March 1, 2022, that ends.

Because effective then, Microsoft is raising its monthly prices:

Product Cost Per User per Month
Current Planned
Microsoft 365 Business Basic $5 $6
Microsoft 365 Business Premium $20 $22
Microsoft 365 E3 $32 $36
Office 365 E1 $8 $10
Office 365 E3 $20 $23
Office 365 E5 $35 $38


One thing that Microsoft is not doing is boosting prices on education and consumer products. So these are not affected.

Microsoft also says that it is extending audio conferencing capabilities by adding unlimited dial-in for Microsoft Teams meetings across its enterprise, business, frontline, and government suites over the next few months.

These changes are expected to impact smaller organizations – those who cannot or have not taken advantage of bulk discounts and deals. Carefully consider what impact this has to the budget and even negotiate the current price point to extend for your entire agreement or at least one (1) year.

Also be prepared for new reservations to be more costly. That is not to imply that reservations that will not be used should be made in advance, but that care should be taken in light of this new pricing structure and the organization’s agreement(s) with Microsoft.

Microsoft’s software assurance is affected, too.

Contact Miro, your trusted software licensing advisor, for more information.


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