Microsoft to raise prices on 365 suite subscriptions in 2026

Microsoft is updating its commercial pricing for Microsoft 365 suite subscriptions, effective July 1, 2026.

The changes will apply globally with local market adjustments for commercial products.

Prices are in USD.

Nonprofit pricing will be adjusted in line with commercial pricing, as it is tied to commercial rates through a fixed percentage discount.

Microsoft also stated that it will increase the prices for some of its Microsoft 365 Government Suites subscriptions.

On July 1, 2026, the company will update its list pricing for Microsoft 365 G3 (GCC, GCC-H, DoD), Microsoft 365 G5 (GCC, GCC-H, DoD), Office 365 G3 (GCC), and Office 365 E3 (GCC-H, DoD).

Last month, Microsoft was forced to apologise after misleading about 2.7 million customers in Australia and New Zealand by suggesting they had to move to higher-priced Microsoft 365 personal and family plans that included Copilot.

The price increases came alongside a bevy of announcements from the tech giant about expanded availability of AI, security, and management capabilities coming to Microsoft 365 offerings in 2026.

These include adding the enhanced email security features of Microsoft Defender for Office 365 Plan 1 to Office 365 E3 and Microsoft 365 E3 to help more organisations detect and protect against phishing, malware, and malicious links across their email and collaboration platforms.

In addition, the company is also including URL checks in Office 365 E1, Business Basic, and Business Standard, which help protect against known, malicious websites when users click on links in email and Office apps.  

Microsoft is bringing additional endpoint management features to Microsoft 365 E3 and Microsoft 365 E5, including Microsoft Intune Remote Help, Intune Advanced Analytics, and Intune Plan 2.4.

In November, Microsoft also announced that Security Copilot will be coming to all Microsoft 365 E5 customers.