April 2023 Microsoft Price Increase

Microsoft announced in late 2022 that a variety of price increases will go into effect on April 1st, 2023. This price increase is due to Microsoft's local currency pricing policy. As a result, customers in the UK will face a 9% increase on their Microsoft Cloud Services from 1st April 2023.

April 2023 Microsoft Price Increase

Microsoft announced in late 2022 that a variety of price increases will go into effect on April 1st, 2023. This price increase is due to Microsoft's local currency pricing policy. This is the point at which Microsoft will change the pricing of their services globally to ensure consistency across all countries. The new pricing will be determined by foreign currency fluctuations in relation to the US dollar (USD). All Microsoft cloud services, including Microsoft 365 and Azure, will be affected by this price increase. Microsoft has typically updated prices globally as needed, but due to recent events such as the pandemic and the war in Ukraine, adjustments accounting for local currency fluctuations have been paused, resulting in pricing disparities between regions.

Microsoft announced: “We have deferred pricing adjustments based on currency fluctuations thus far. However, after a sustained period of lower local currency Microsoft cloud pricing in many regions of the world, we’re now beginning a process to realign our prices globally.”

As a result, customers in the UK will face a 9% increase on their Microsoft Cloud Services from 1st April 2023.

Microsoft Products Price Increase

What does this mean for my business?

The price adjustments will take effect if you have an annual commitment at the time of your subsequent renewal.  The increased prices will apply to monthly subscribers starting with the first renewal after April 1, 2023. By switching to an annual commitment, you can really delay the price increase for up to a year if you are currently on a monthly commitment that is set to renew before the price change data.

When will the next price change occur?

Microsoft will switch to a semi-annual cadence following this pricing rise. This means Microsoft will review their prices twice a year. They will evaluate the pricing in light of market conditions and currency variations. Depending on the current economic situation and exchange values at the moment, this can result in price increases or decreases.

What are Edmondson’s IT Services doing to help businesses like yours?

We recognise that the Microsoft price increase can be very difficult for business owners to manage, particularly in the current economic climate where everything seems to be getting more expensive by the day. For this reason, we're making resources like this one available to businesses so they can fully understand what's happening and when these changes will take place. Additionally, Microsoft has produced a number of resources that are freely accessible on their website.

We’re also sending out emails to new and potential customers who may be interested in Microsoft 365 to help them ensure they’re locking in the best deals before the changes actually occur.

Get in touch with a specialist right away to learn more about Microsoft's pricing increase and what it means for you. Our experts will help you through this process and offer impartial advice on what will be best for you and your company.

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