Microsoft to lift productivity suite prices for businesses, governments

Microsoft to lift productivity suite prices for businesses, governments

By Reuters
Publication Date: 2025-12-04 19:50:00

Dec 4 (Reuters) – Microsoft will increase prices for its Microsoft 365 productivity suites globally starting July ​2026 for commercial and government clients, the company ‌said on Thursday.

The move comes as Microsoft’s suite, which includes Word, ‌Excel and PowerPoint, faces growing competition from Google’s products.

The price hike will affect businesses and public sector agencies, with small business and frontline worker plans seeing the sharpest ⁠increases.

Microsoft 365 Business ‌Basic will rise 16.7% to $7 per user per month, while Business Standard will climb 12% ‍to $14. Enterprise plans will see smaller jumps, with Microsoft 365 E3 up 8.3% at $39 and E5 up 5.3% at $60.

Subscriptions for ​frontline workers will surge by as much as ‌33%, with Microsoft 365 F1 moving from $2.25 to $3 and F3 from $8 to $10. Government suites will follow a similar trajectory, with changes phased in according to local regulations.

The company said the changes…