Price changes coming 1 July 2026 – act before renewals roll over
Microsoft has confirmed global Microsoft 365 pricing and packaging updates effective 1 July 2026. These changes apply across all purchasing channels, including CSP, and will impact both new and renewing customers at their next renewal after this date.
Customers who renew before 1 July 2026 can lock in current pricing for the full subscription term, E.G. annual billed monthly and annual upfront.
What’s Changing on 1 July 2026
Microsoft is updating Microsoft 365 pricing alongside expanded AI, security, and endpoint management capabilities being added to the core suites in 2026.
Why Microsoft Is Making This Change
Microsoft is embedding more AI, security, and management capabilities directly into Microsoft 365 suites in 2026, including:
- Copilot Chat enhancements across Word, Excel, PowerPoint, Outlook, and OneNote
- Expanded email security via Microsoft Defender for Office 365 Plan 1
- Additional Intune endpoint management capabilities
- Security Copilot inclusion for Microsoft 365 E5 customers
These additions increase the baseline value of Microsoft 365—but also drive the July pricing update.
What This Means for Partners
- Renew before 1 July 2026 to lock in current pricing
- Use renewals to upsell to Microsoft 365 E3 / E5 where security and management value aligns
- Position Microsoft 365 Business + Copilot bundles for SMB customers before pricing increases apply
- Activate available Copilot and E3/E5 promotions to reduce customer impact
This is a critical window to move conversations from price increases to value alignment.
Recommended Next Steps
- Review upcoming renewals now and prioritise July‑impacted customers
- Lock in pricing ahead of July where appropriate
- Align customer conversations to AI readiness and security maturity
- Use Microsoft incentives and promotions to support upgrades and renewals
For help assessing customer impact, renewal timing, or upgrade paths, contact the Leader Cloud team.
