Microsoft increases prices for Microsoft 365 worldwide in 2026

Starting July 1, 2026, Microsoft is raising the prices of many of its Microsoft 365 subscriptions for businesses and enterprises. Business, Office, and Enterprise subscriptions will become between 5 and 33 percent more expensive.

According to Microsoft All affected subscriptions will gain access to new AI features, including Microsoft 365 Copilot Chat; the more expensive Office subscriptions will receive improved security features via Defender; and certain 365 subscriptions will gain access to new endpoint management options. Additionally, Business subscriptions will now receive an extra 50GB of storage space for emails. Microsoft has not provided a reason for the price increases.

How it works with existing annual commitments

• Existing contracts with a fixed term (for example, 12 months) are usually continued at the old price until the current subscription period expires. Only at extension or automatic renewal after the effective date of the increase the new (higher) price will apply.

• In other words: if your annual contract, for example, runs until August 2026, the price you agreed upon at the start remains valid until that date. The increase only takes effect upon the new subscription period thereafter.

Practical example

• You have a Microsoft 365 annual subscription taken out in July 2025: then you pay the old price until July 2026.

• From your extension date after July 2026 the new rate will apply.

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