Navigating the Microsoft Pricing Update: What You Need to Know About the Latest Changes

Let’s get straight to the point- Microsoft has modified their pricing structure for cloud licensing to align global products and services to the US Dollar exchange rate. In the dynamic landscape of technology, change is a constant, and Microsoft is no exception. From September 2023, significant updates are set to take effect on Microsoft Cloud Services pricing, including Microsoft 365. As per Microsoft, these updates have been implemented to foster global pricing consistency and align various countries’ costs with the US dollar rate. In this blog post, we will discuss the details of this pivotal Microsoft Pricing Update and how Exigo Tech, your dedicated technology partner, can guide you through these transformative changes.

Understanding the Microsoft Pricing Update

To align with the US dollar rate, Microsoft has introduced a bi-annual pricing review, starting September 1, 2023, to bring consistency in pricing across all geographies. As a result, all Microsoft 365 user license pricing will increase by 9%, irrespective of their subscription term. Individual license percentage changes may differ marginally due to pricing computations and rounding rules. These pricing modifications will enable customers from different areas and currencies to receive more uniform pricing.

What we know so far is that to accommodate these changes, the pricing adjustments will be done in February and September of every year. The main purpose of this move is to prevent the inaccessibility of Microsoft Cloud Services due to currency fluctuations. It also aims to offer customers across various corners of the world more predictable pricing. We at Exigo Tech will be aligning our pricing for Microsoft Cloud Services with Microsoft’s biannual price changes.

Some Key Points About Subscriptions and Licensing

It is confirmed that Microsoft is introducing these updates for a better global pricing structure. It is necessary to note a few important points about how these updates will work. Take a look at a few important points below to understand it in a better way:

• The good news is that the existing subscribers with annual or 12-monthly terms subscriptions that were activated prior to September 1, 2023, can heave a sigh of relief. The pricing structure for these subscribers will remain the same until the next renewal.
• Seats added to current memberships after this date will retain their previous pricing until the next renewal, ensuring that businesses have a smooth transition.
• For auto-renewals, subscription upgrades, and new subscription purchases initiated on or after September 1, 2023, the new pricing structure will come into effect to remain aligned with the global pricing matrix.

How Can You Minimise the Impact?

Even though the prices of Microsoft cloud services are going up, there are still some ways to minimise the impact of this hike and lock the current prices.

• If your current subscription plan is set on a “monthly” basis, a wise move would be to consider transitioning to an “annual” subscription before September 1, 2023. By making this switch during your monthly renewal period, you are safeguarding your budget by locking in the existing pricing for the coming year.
• If you have been utilising Microsoft Office E1 or E3 without a track record of purchasing Microsoft E3 licenses, the “Do More with Less” campaign extends a helping hand for you. This campaign extends a 15% discount on Microsoft E3 licenses and ensures that a more robust, feature-packed experience is within your reach without stretching your budget.

Wondering How to Manage These Price Changes?

Again, coming straight to the point- react quickly before it’s too late to manage these Microsoft pricing updates. To understand these changes and to know what is best for your business, you need a trusted Microsoft partner who will assist you in minimising these changes.

A dependable Microsoft partner serves as your advisor, assisting you in understanding the implications of these pricing changes and creating strategies for your business. This reliable partner finds a way that understands and takes advantage of these upgrades for you.

Connect With Exigo Tech Today

At Exigo Tech, we understand how important it is for your business to manage price changes while ensuring smooth business operations. As your trusted and dedicated technology solutions partner, we are here to guide you through this transition, offering customised recommendations to optimise your return on investment.

Our Microsoft Cloud experts are well-versed in licensing modifications and offer tailored solutions to mitigate the effects of these changes. Whether you are thinking about changing membership terms or looking at cost-saving options, we stand by your side at every step. We guide you through the licensing adjustments, provide personalised recommendations, and guarantee a smooth transition without disrupting your operations.

Embrace the Microsoft Pricing Update with confidence, knowing that your journey forward is under the guidance of Exigo Tech. Contact us at or call 1300 EXIGOTECH (394 468)