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New pricing for Microsoft365 arriving in March 2022

Posted 23rd November 2021

New pricing for Microsoft365 arriving in March 2022

In August 2021 Microsoft made the announcement that they will be changing their licensing and pricing for Microsoft365 from 1st March 2022. After 10 years of delivering an evolutionary and innovative service to businesses around the globe without any drastic price increases, it was bound to happen at some point. An increase in hybrid and remote working means that Microsoft now provides Microsoft365 to over 300million workers!

What does this mean for our customers?

LP Networks is proud to be a Microsoft Silver Partner. This means that we can offer our clients Microsoft365 on a monthly subscription. This will continue as it always has done, however some flexibility for the licences will be removed.

This means that customers will have to begin considering how their teams use their Microsoft365 licences. Microsoft will be offering 12-month contracts which provides a cheaper pricing structure but doesn’t include an option to cancel within the 12-month term. Cancellation during the term would require payment in full. Alongside this, there will also be an option of a rolling contract without promotional pricing.

For companies that are sure that their workforce will be remaining largely the same over the next year, it may be a good idea to consider signing up a significant percentage to the 12-month fixed term promotional contract, then leaving a smaller amount on the more flexible but more expensive monthly model. However, for businesses that rely on temporary or freelance staff, it is more advisable to stay on the rolling contract to retain the flexibility to reduce access as and when needed.

We recommend that all businesses currently using Microsoft365 review their business plans with us so that we can advise and plan for the next 12-24 months, taking into account any planned expansions or downsizing and that they speak to us so they can find a package that suits all the demands of their team and company.

If you are a business that is currently operating on Microsoft365, get in touch with one of our team for a chat about the best routes for your users.

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