Microsoft Announces Pricing Changes for 2025

Microsoft has announced a series of pricing changes that will take effect in early 2025. These changes are designed to provide more flexibility and value for customers, while also reflecting the evolving nature of Microsoft’s product offerings.

New Monthly Billing Option for Microsoft 365 Copilot

Starting in January 2025, Microsoft will introduce a monthly billing option for annual subscriptions to Microsoft 365 Copilot, Copilot for Sales, and Copilot for Service. While this option offers more flexibility, it will come with a 5% premium compared to the annual upfront payment option.

Fifteen percent Off Microsoft E5 for New Customers

From January to June 2025, Microsoft is offering new customers a 15% discount on Microsoft E5. This discount is available on annual terms, upfront and monthly billing, and is limited to 2400 seats.

Price Increases for Annual Commit/Monthly Bill SKUs

Effective April 1, 2025, Microsoft will increase the price of annual commit/monthly bill SKUs for various products, including:

  • Microsoft 365
  • Teams Phones
  • Power BI

The price increase will be 5% relative to the annual upfront payment option.

Confused by Microsoft’s latest pricing changes? Let Louisville Geek help you navigate the complexities and optimize your Microsoft 365 subscriptions. Contact us today to schedule a consultation and ensure your business gets the most value from your Microsoft investments.