Effective October 1, 2024, prices increase for certain Dynamics 365 products, ranging from 9% to 17%.
Who is affected by this price increase?
The price increases apply globally for all new customers, and for existing customers on their next renewal after October 1, 2024.
It impacts all customer segments, including but not limited to Enterprise, SMC, Government, and Education customers. The new pricing applies to most licensing programs, including but not limited to commercial Volume Licensing, MCA-E, CSP, and Web Direct. The products will be priced comparably across different currencies. Prices in local currencies will be disclosed closer to October 2024. The prices in different currencies will increase in about the same percentage as the product prices in USD. The pricing change affects both monthly and annual pricing for the applicable products.
What are the price increases for Dynamics 365?
The tables below show the estimated price increases from October 1, 2024, for various Dynamics 365 products.
Cloud Products
| Cloud product names | Estimated price increase in % from October 1, 20241 |
| Dynamics 365 Sales Enterprise | 11% |
| Dynamics 365 Sales Device | 10% |
| Dynamics 365 Sales Premium | 11% |
| Microsoft Relationship Sales2 | 9% |
| Dynamics 365 Customer Service Enterprise | 11% |
| Dynamics 365 Customer Service Device | 10% |
| Dynamics 365 Field Service | 11% |
| Dynamics 365 Field Service Device | 10% |
| Dynamics 365 Finance | 17% |
| Dynamics 365 Supply Chain Management | 17% |
| Dynamics 365 Commerce | 17% |
| Dynamics 365 Human Resources | 13% |
| Dynamics 365 Project Operations | 13% |
| Dynamics 365 Operations – Device | 13% |
1Price increases are shown are for informational purposes only and might not be reflective of actual price increases due to contract, currency, country, region, and other factors. Actual price increases will only be visible to Microsoft partners starting September 1, 2024.
2Pricing per user per month will increase by $15 in all tiers in Microsoft Relationship Sales. This estimated price increase is shown for simplicity and is for a 10-99 user tier.
Pricing for cloud products not listed above will remain unchanged. These are for example:
- Microsoft Dynamics 365 Business Central
- Microsoft Dynamics 365 Customer Insights
- Microsoft Dynamics 365 Field Service Resource Scheduling Optimization (RSO)
- Microsoft Dynamics 365 Sales Insights
- Microsoft Dynamics 365 Team Members
To comply with local regulations, US government list prices for the same products will increase by 10% on October 1, 2024, followed by another smaller increase on October 1, 2025, to bring them in line with commercial pricing.
On-premises products
Prices for Dynamics 365 on-premises Customer Engagement and Operations products will increase by the same percentage as their respective cloud versions.
| On-premises product names | Price increase in % from October 1, 2024 |
| Dynamics 365 Sales (user and device) | 11% |
| Dynamics 365 Customer Service (user and device) | 10% |
| Dynamics 365 Operations (user) | 11% |
| Dynamics 365 Operations (device) | 9% |
| Dynamics 365 Operations (server) | 11% |
Why are Microsoft raising prices for Dynamics 365?
Microsoft is updating the pricing to reflect the value and innovation they have delivered since the last price increase over five years ago. Since then, Microsoft has released hundreds of new features and enhancements. From AI-powered, real-time customer insights to data insights, supply chain visibility, and end-to-end automation of financial processes, Microsoft keeps on innovating with Dynamics 365.
What should I do now?
If your organization’s Dynamics 365 licenses are due for renewal soon, consider renewing them before October 1, 2024, to lock in the current pricing for the next contract term. By renewing ahead of the price hike, you can potentially save on licensing costs and mitigate the impact of the increase on your operational expenses.
Evaluate your organization’s budget and forecasted usage to determine if an early renewal makes financial sense. If you need consultancy concerning your Dynamics 365 licenses, contact SCHNEIDER IT MANAGEMENT.
More information
For the announcement of the price increase of Microsoft Dynamics 365, please visit: https://cloudblogs.microsoft.com/dynamics365/bdm/2024/04/12/new-pricing-for-microsoft-dynamics-365-effective-october-2024-2/.
For more concrete details of these price changes of Dynamics 365, please visit: https://cloudblogs.microsoft.com/dynamics365/no-audience/2024/04/12/new-pricing-for-microsoft-dynamics-365-effective-october-2024/.
For newly released capabilities of Dynamics 365, explore these release plans for Dynamics 365: https://learn.microsoft.com/en-us/dynamics365/release-plans/.
For upcoming releases in Dynamics 365, please visit: https://releaseplans.microsoft.com/en-US/?app=Sales&rp=all-plans.
For licensing info on Microsoft, please visit: https://www.schneider.im/software/microsoft.
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