From January 2017 Microsoft UK licence prices for on-premise enterprise software will rise by 13 percent and cloud service subscriptions for UK business customers will increase by 22 percent.
The new price structure will not apply to consumer software or consumer cloud services, and business customers with existing orders under annuity volume licensing agreements for products with price protection will not be affected.
Business cloud customers with annual subscriptions for Office 365, for example, are also protected from the price rise during their existing 12-month subscription.
Microsoft reports that the changes have been made in order to ‘harmonise prices’ within the EU/EFTA region, and are similar to increases in Norwegian krone and Swiss franc pricing applied in April this year.
Scott Clark, Virtual Networking Managing Director, says, “Microsoft has a history of adjusting to significant changes in market conditions and with the recent Foreign Exchange rate movements, with the pound at a 31-year low vs. the US dollar, this price rise is not unexpected.”