Microsoft has set out plans to raise prices for some of its commercial bundles from July 1 next year, tying the update to new capabilities set to roll out across the 365 suite. 

The changes, which the tech vendor said will apply globally with local market adjustments, will see nominal increases for small and medium-sized businesses, with Microsoft 365 Business Basic set to go from $6 to $7, while the full-featured Microsoft 365 E5 will jump from $57 to $60.

Other cost hikes will apply to the Business Standard, Office 365 E3, and Microsoft 365 F3 packages, all in the range of $2 – $3 increases, though prices for Business Premium suites and the entry-level Office 365 E1 for enterprises will stay the same.

These price hikes mirror Microsoft’s earlier update for consumer bundles, which saw $3 added to 365 Personal and Family plans in the US – the first price bump for consumer users in twelve years – due to Copilot being folded into subscriptions.    

For business, however, the standalone Microsoft 365 Copilot add‑on will remain a separate feature, but the company did set out plans to expand its suite with new defence and IT management features.

Those include enhanced email security from Microsoft Defender built into Office 365 E3 and Microsoft 365 E3, while URL checks are being rolled into E1, Business Basic, and Business Standard, aimed at fending off the growing threat of phishing, malware, and malicious links. 

Endpoint management is also being beefed up across Microsoft 365 E3 and E5, with the firm introducing new Intune tools it says will help IT teams spot risks early and fix problems quickly, while E5 customers will also gain features like Endpoint Privilege Management and Cloud PKI to secure AI use.

Microsoft said that the new tools add to the more than 1,100 capabilities rolled out across the 365 suite last year, as the company works to keep pace with rapid shifts in technology in everything from tackling shadow AI risks to advancing post‑quantum security.

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“These changes reflect our commitment to helping organisations of every size protect their people and data, streamline IT operations, and confidently embrace the future of work,” wrote Nicole Herskowitz, corporate VP for Microsoft 365 and Copilot, in a blog outlining the changes.

“We are continuously investing and innovating our platform for the future. We’re excited about what’s next—and will continue investing in ways to build a more secure, productive, and AI-powered future.”

This latest pricing change follows an update issued in August, which saw Microsoft announce an end to automatic discounts for some enterprise customers purchasing licenses for 365 products in bulk, which UBS analysts said could see channel partners facing up to 14% higher costs.

Even with this latest, more modest pricing update, Microsoft could see significant gain, with the company claiming more than 430 million people now use 365 apps, and more than 90% of Fortune 500 companies running Copilot.