We recently got the news from Microsoft that the price of most Microsoft 365 (Office 365) subscriptions will increase in 2022. We wanted to give you notice of the change so you can make the appropriate adjustments to your budget and strategic plans. The new pricing will take effect on March 1, 2022.
Note: In the New Commerce Experience from Microsoft, you will pay 20% more for all CSP subscriptions if you want the convenience of a monthly payment. You can learn more by following the link below.
The new pricing (per license) for M365 is listed below. Clients who renew their subscriptions for these items before March 1 can lock in at the old price for the length of the renewed subscription.
Microsoft Subscriptions |
Current Price |
New Annual Price |
New Monthly Price |
Microsoft 365 Business Basic |
$5 |
$6 |
$7.20 |
Microsoft 365 Business Premium |
$20 |
$22 |
$26.40 |
Office 365 E1 |
$8 |
$10 |
$12 |
Office 365 E3 |
$20 |
$23 |
$27.60 |
Office 365 E5 |
$35 |
$38 |
$45.60 |
Microsoft 365 E3 |
$32 |
$36 |
$43.20 |
These increases will apply globally but may have some minor adjustments in certain countries. Microsoft also noted that there would be no changes to pricing for consumer or education products at this time.
This is the first time Microsoft has updated the pricing for M365 in over ten years. In fact, this is the first substantial change in Office subscription pricing since it launched.
Innovations over a decade
When Office 365 launched in June 2011, it came with 7 apps. Microsoft has released 24 additional apps and added a staggering 1,400 features across three key areas.
- Collaboration and Communication
- Security and Compliance
- AI and Automation
You can learn more about Microsoft’s efforts in these three areas by reading the official Microsoft announcement.
Increasing functionality in Microsoft Teams
With this announcement, Microsoft also announced plans to expand the functionality of Microsoft Teams. Users will now have unlimited dial-in capabilities. This is perfect for scenarios where you are on the go, have no internet connection, or are struggling with a poor internet connection.
Innovia can help you plan for the change
If you have questions about the new pricing or want to make a strategic plan for March when this change occurs, we encourage you to have a discussion with your Customer Engagement Specialist. You can book time with your rep today by following the link below and selecting them from the list.
If you don’t currently have an Innovia Rep but want to have a discussion with our team, you are welcome to book time with Steve Waltz (via the above link). You can also reach out to us anytime by phone at 800-834-7700 or via email at sales@innovia.com
