Microsoft Pricing Update October 2026

Microsoft licence price update October 2026

I ran our monthly Microsoft pricing check comparing 1 September to 1 October 2026. RRP was quiet across the core Microsoft 365 range, but there are a couple of RRP increases, a batch of new SKUs, and one change that matters more than the RRP moves: Microsoft has reduced our margin on 18 products, so partner pricing on those has gone up.

October M365 price changes

  • Microsoft has cut margins on 18 SKUs, so partner pricing on these has changed. The RRP on these products hasn’t moved, but Microsoft has reduced the discount we receive, which has forced us to reduce the partner discount by 5 percentage points at every tier. The affected products are Office 365 E1 and E3 (including the no-Teams versions), Microsoft 365 Apps for business and for enterprise, Exchange Online Plan 1, Plan 2, Kiosk and Archiving, and OneDrive Extra Storage (100GB through 6TB). 

  • Power Apps Premium is up about 10%from $35.88 to $39.48. The education and non-profit variants rise by the same proportion: Student $14.40 → $15.84, Faculty $19.80 → $21.72, and Non-Profit $9.00 → $9.84.

  • Microsoft 365 Business Standard (Non-Profit) is up 4%, from $6.00 to $6.24. Commercial Business Standard, Business Basic, Business Premium and the E-plans are unchanged.

  • Dynamics 365 Commerce Scale Unit pricing has been reshuffled. Premium is up ~14.9% (e.g. $66,447.12 → $76,324.44), Standard is up ~12.5% ($30,529.80 → $34,346.04), and Basic has come down ~7.9% ($10,775.16 → $9,922.20), with the same moves across the Non-Profit and Education variants. These are niche, high-value SKUs.

  • 21 new SKUs appeared. Most are $0 trials for Dynamics 365 Commerce Headless Import/Orchestration. The ones with a price are Azure Virtual Desktop Hybrid ($18.70, plus a free trial), Windows 365 Frontline Select 256GB ($869.90), and Planner Plan 1 for education (Faculty $0.74, Students $0.42). 

    No SKUs were removed this month.

Manage Protect partners can access the new pricelists in Converge with changed and new lines highlighted. Each PDF opens with a summary of what changed, including a was → now comparison for the 18 margin-affected products.

October Microsoft SKU Changes
Selected SKU changes for October 2026

What this means for Partners

The big one is the margin change: if you sell Office 365 E1/E3, Microsoft 365 Apps, Exchange Online or OneDrive Extra Storage, your buy price from us has gone up even though RRP hasn’t, so check your own margins and update any quotes.

If you sell Power Apps Premium or NFP Business Standard, update to the new RRPs. Existing annual subscriptions hold their price until renewal; new seats and renewals pick up the new pricing.

That’s it for October — next check is on 1 November.

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