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Microsoft 365 Price Changes

Microsoft recently announced price changes to Microsoft 365 and Office 365 product suites. The global price adjustments come into effect from March 1st, 2022, affecting commercial and business users. No changes are expected for education, not-for-profit, or retail consumer products. Government customers can expect price updates phased in over the next several years.

Microsoft’s Software as a Service (SaaS) offerings affected are (price change):

  • Microsoft 365 Business Basic (from US $5 to $6 per user, per month)
  • Microsoft 365 Business Premium (from US $20 to $22)
  • Office 365 E1 (from US $8 to $10)
  • Office 365 E3 (from US $20 to $23)
  • Office 365 E5 (from US $35 to $38)
  • Microsoft 365 E3 (from US $32 to $36)


No change for Microsoft 365 E5

Microsoft’s flagship Microsoft 365 E5 remains unchanged. As workplaces push for hybrid work environments with advanced collaboration, and make security a key focus, Microsoft 365 E5 will continue to be the go-to product for many organisations.

Starting November 1st, 2021, Microsoft will move to align government and corporate pricing across all purchasing programs. This will assist with moving customers to Microsoft’s new commerce experience and provide consistency across all purchasing programs.

Next Steps

You can also refer to Microsoft’s blog post New pricing for Microsoft 365.

Data#3 is here to help customers evaluate their current license requirements, consolidate Microsoft solutions, or leverage optimisation tools and services to manage the impact.

If you would like to know more about the price changes and how they may affect your business, please reach out to your friendly Account Manager for more details.

Frequently Asked Questions



*prices in USD.

*prices in AUD will be disclosed closer to March 2022 and will increase about the same % as USD/global pricing.

Tags: Cloud Solution Provider, Licensing, Microsoft, Microsoft 365, Microsoft 365 Optimiser, Modern Workplace, Office 365

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