Upon renewing your subscription, you can save costs by moving those people to Microsoft 365 Business Basic (AU$6.90 per user per month). The best place to start is by deeply analysing your staff’s current usage.įor example, if you leverage Microsoft 365 Apps for business (paying AU$12 per user per month), most of your team might not leverage Publisher or Access. But, there is no point dwelling on what you should have done let’s focus on what you need to do starting now. The right time to start planning your subscription renewal would have been months ago. Because the new Microsoft 365 contracts and pricing place a serious tax on month-to-month flexibility, your tech roadmap will need to cover multiple years and, as much as possible, avoid paying for licenses you will not need. Now, with Microsoft’s pricing increase rolling out in March, IT leaders have begun rethinking their subscription renewal and planning the business’ technology roadmap. For some of our customers, Microsoft has provided desirable options for cutting costs with their per user per month pricing and access to tools that have become business staples. Some markets have shrunk, global mobility has slowed to a trickle, and leaders have filed down costs where they could to survive. In the past two years, many businesses have taken severe financial hits.
#OFFICE 365 FOR BUSINESS STAPLES UPGRADE#
However, if you need to increase your number of users or upgrade a licence, you can do so at any time. If your business needs or your number of users change, you may be paying more than you need for quite some time. If you buy 50 licenses on a specific plan, you will not be able to remove the licenses paid for or move to another plan until you have fulfilled the yearly subscription. Monthly prices for their commercial products will increase by 20 per cent, a much higher increase than the annual or bi-annual subscriptions.īecause the annual plans will appear more enticing for businesses, the run-on effect may be Microsoft locking more businesses into contracts for longer. The Microsoft 365 price rise puts a tax on flexibility Microsoft released Teams, which saw a significant increase from 32 million users in February 2020 to 115 million that October. Their library has expanded to thirty-one, including OneDrive, SharePoint, Access, Forms, Publisher, Power BI and Power Apps. New apps and capabilities: The first release of Office 365 included seven apps.Features such as eDiscovery have enabled businesses to comply with strict data security compliance regulations in Australia and worldwide. Capabilities added in the last decade include data loss prevention (DLP) and message encryption. Cyber security and compliance safeguards: Microsoft introduced capabilities to combat threats in the cyber security landscape.In the last decade, Microsoft has delivered upgrades in: In Microsoft’s official blog on the price rise, they cited their innovation since the launch of Office 365 in 2011 as one of the reasons for increasing their prices. Why has Microsoft bumped up their prices? We will keep our customers updated when Microsoft provides more information. We can only estimate Microsoft 365 price increases in Australia at the moment based on the USD prices. Please note that Microsoft has not released the official prices in AUD at the time of publishing this blog. Office 365 E5 ($35 to $38 per user per month).
You can expect price increases starting on the 1st of March 2022 for the following plans (in USD): Interestingly, the enterprise plans Microsoft 365 Business Standard and Microsoft 365 E5 will not increase either. Personal and educational plans for Microsoft 365 will remain untouched. Namely, how will it impact your business, and what actions can you take to optimise spending? What products will be affected by the price rise? Even though I recommend sticking with your investment in the M365 suite, there are a few things you should consider before the next time you renew your subscription. The change comes ten years after the initial release of Office 365, and since then, Microsoft prices have remained the same.įor a company that has focused on innovation instead of driving up prices every year, Microsoft 365 (M365) delivers a lot of value. Last year, Microsoft announced changes to the pricing model for most of their enterprise licenses.
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