Effective November 1, 2025, Microsoft will remove price level discounts (A–D) for Online Services in volume licensing agreements. All Online Services will be priced at the public list price.
Which products and programs are affected?
Starting November 1, 2025, Microsoft will:
- Eliminate price level discounts (A–D) for Online Services in:
- Enterprise Agreement (EA)
- Microsoft Products and Services Agreement (MPSA)
- Apply a single list price for all Online Services, regardless of volume licensing level.
- Implement this change at agreement renewal or when purchasing new Online Services not already priced on the Customer Price Sheet.
This change does not affect:
- On-premises software
- Azure services (already list-priced)
- Consumer products
- Education customers
- U.S. Government price lists and AOS-G program
What are Online Services?
Online Services include Microsoft’s cloud-based products such as:
- Microsoft 365
- Dynamics 365
- Windows 365
- Azure (already list-priced)
- Security, Compliance, Identity, and Management services
These services are typically licensed per user and delivered via the cloud.
What are the reasons for this change?
- Unified Pricing: All customers pay the same starting price, regardless of volume.
- Simplified Agreements: Easier comparison between licensing programs.
- Consistent Experience: Aligns with Microsoft’s new commerce platform pricing.
Licensing
Microsoft’s goal is to simplify and unify pricing across all purchasing channels. This change affects: Commercial and most government customers using EA and MPSA, direct and indirect markets.
Expert Advice
SCHNEIDER IT MANAGEMENT recommends reviewing your current agreements and planning renewals accordingly. Contact SCHNEIDER IT MANAGEMENT for tailored guidance on how this change may affect your organization’s licensing strategy.
More Information
You can read the official Microsoft announcement here: https://www.microsoft.com/en-us/licensing/news/online-services-pricing-consistency-update.
For our Microsoft page, please visit: https://www.schneider.im/software/microsoft.
Please contact us for expert services on your specific Microsoft software and online services requirements and to request a quote today.
