Microsoft has announced two updates that matter for organizations using Microsoft 365: expanded AI, security, and management capabilities rolling into Microsoft 365 suites in 2026, and updated commercial pricing for Microsoft 365 suite subscriptions effective July 1, 2026.
No one enjoys price increases. The upside is that Microsoft is sharing this early, giving organizations time to plan and align budgets. At Cerium, our goal is to help teams prepare for the change, reduce unnecessary spend where possible, and ensure you are getting real value from what you already own.
What Microsoft Is Announcing
Microsoft’s announcement focuses on expanding built-in value across Microsoft 365 suites in three areas:
AI: Copilot Chat Becomes More Integrated
Microsoft is continuing to expand Copilot Chat into everyday work experiences across Microsoft 365 apps, including Word, Excel, PowerPoint, Outlook, and OneNote. Microsoft also highlights stronger, enterprise-grade admin controls to secure, manage, and measure Copilot Chat usage.
Security: More Protection Included By Default
Microsoft is expanding email and collaboration security. For example, Microsoft is adding enhanced email security features from Microsoft Defender for Office 365 Plan 1 to Office 365 E3 and Microsoft 365 E3, and including URL checks in Office 365 E1, Business Basic, and Business Standard to help protect users from known malicious links.
IT Management: More Endpoint Management Baked Into Suites
Microsoft is bringing additional endpoint management capabilities into Microsoft 365 E3 and E5, including Intune Remote Help, Intune Advanced Analytics, and Intune Plan 2.
Pricing: Commercial Suite Pricing Updates Effective July 1, 2026
Microsoft will update commercial pricing for Microsoft 365 suite subscriptions effective July 1, 2026. The list prices shown are for SKUs that include Microsoft Teams. Suites without Teams will also have an equivalent dollar-value increase. Microsoft is positioning this as a pricing change paired with expanded suite value across AI, security, and management capabilities coming to Microsoft 365 in 2026. More is being included in core suites, so budgets and renewals should be planned with the new pricing in mind.
What You Should Do Now
Here are four practical steps to take soon so July 2026 does not become a scramble.
1) Confirm what you own today and when you renew
Start with a simple inventory:
- Which Microsoft 365 and Office 365 suites you have
- License counts
- Renewal dates and term type (monthly vs annual)
This matters because your renewal calendar drives when decisions need to be made.
2) Identify what new capabilities you are gaining in 2026
Even if you are not changing licenses, platform updates may change what is included in your suites over time. This helps you answer:
- Are you gaining new security or management capabilities you can actually use?
- Are you paying for add-ons that may become redundant?
- Do you need an adoption plan so the new capabilities turn into outcomes?
3) Review pricing strategy and options for budget protection
A good review covers:
- Which subscriptions are impacted by the July 1, 2026 pricing update
- What your renewal calendar looks like between now and mid-2026
- Where you have flexibility to reduce exposure, simplify licensing, or eliminate overlap
The key is planning early so you have options.
4) Build an adoption plan so added value turns into real ROI
More features do not automatically equal more value. Organizations get better results when they:
- Define success outcomes (security posture, productivity, support efficiency)
- Assign owners for governance and rollout
- Enable users with training and practical workflows
- Measure usage and value over time
How Cerium Can Support Your Microsoft Licensing and Adoption Strategy
Cerium can help translate Microsoft’s announcement into a clear plan:
- Licensing and renewal planning: understand what is changing, when it matters for your renewal calendar, and how to prepare
- License rationalization: identify overlap and reduce redundant tools or add-ons
- Adoption and governance: turn new capabilities into secure, usable workflows that create measurable outcomes
Conclusion
Microsoft is sharing these changes early so organizations can plan ahead. If you would like help turning the announcement into a straightforward licensing, renewal, and adoption plan, Cerium can help. Use the contact form below to reach out, and we will follow up to get the conversation started. If you want to review Microsoft’s full announcement, you can find it linked here.
