Microsoft is increasing the price of its suite of productivity tools, including Teams, Word and Excel, for the first time since the application suite was launched a decade ago, according to a Thursday blog post.
The price of the most basic Microsoft 365 package will rise from $5 per user per month to $6, while the most expensive option, Microsoft 365 E3, will increase from $35 to $38 per user. The most basic Office 365 subscription will go from $8 per user per month to $10, while the most expensive Office 365 E3 package goes from $35 to $38.
"This updated pricing reflects the increased value we have delivered to our customers over the past 10 years," Jared Spataro, the corporate vice president for Microsoft 365, wrote in the post. Microsoft recorded $19.5 billion in commercial cloud revenue last quarter, and a significant portion of that revenue was attributed to Office 365 commercial.