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Microsoft Announce 22% Price Hike For Cloud Services

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Microsoft has announced on its TechnetUK blog that it will be introducing price increases for its enterprise cloud services and its on-premise enterprise software as of January 2017. The price increases are down to the continuing fluctuations in the value of the pound.

On the blog, Microsoft stated, “From January, British pound prices for on-premises enterprise software will increase by 13% to realign close to euro levels. Most enterprise cloud prices in British pounds will increase by 22% to realign close to euro levels. Even after this adjustment, customers across the region buying in British pound will still find our cloud offerings highly competitive. For indirect sales where Microsoft products are sold through resellers, final prices and currency of sale will continue to be determined by them.”

“For business customers, these changes will not affect existing orders under annuity volume licensing agreements for products that are subject to price protection. For example, customers with Enterprise Agreements have price protection on previously ordered enterprise software and cloud services, and will not experience a price change during the term of their agreement. Similarly, business customers with cloud commitment subscriptions such as Office 365 also receive price protection during their subscription term, which is normally twelve months from the start of paid subscription.”