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Microsoft On-Premises Server Pricing Changes Coming July 2025

Microsoft 365 suites continue to be the best choice for delivering value to our customers due to their outstanding performance, scalability and security. However, we recognize the critical ongoing need for on-premises deployments in certain customer environments.  In our continued commitment to supporting these customers, we are introducing several licensing and pricing changes to Microsoft’s on-premises server products in July 2025.

General availability of Exchange and Skype for Business Server Subscription Editions

As previously announced,  Exchange Server Subscription Edition and Skype for Business Server Subscription Edition will be made generally available in July 2025.    

In order to deploy and use Subscription Edition server products, customers must have active Software Assurance (SA) or cloud subscription licenses for all users and devices that access them. The release of Subscription Editions for Exchange Server and Skype for Business Server brings these products into alignment with SharePoint in transitioning from a 3-year version cycle to a “version-less” product with regular updates through the Modern Lifecycle Policy.  

Updated pricing for server products and suites

To support ongoing maintenance and updates for Microsoft’s on-premises server products, prices for all standalone on-premises server products (SharePoint Server, Exchange Server, and Skype for Business Server) will increase by 10% this July, alongside general availability of Exchange Server Subscription Edition and Skype for Business Subscription Edition. Prices for our Core CAL Suite and Enterprise CAL Suite, which have been static for some time, will increase by 15% and 20%, respectively. These pricing changes will be effective on July 1, 2025.

Microsoft announces on prem price increase per 1st July:

  • SharePoint Server, Exchange Server, and Skype for Business Server +10% 
  • Core CAL Suite +15% 
  • Enterprise CAL Suite 20% 

Please note that these changes apply exclusively to the on-premises versions of these products. There is no impact to pricing for SharePoint Online, Exchange Online or Microsoft Teams purchased separately or through a Microsoft 365 license.  

To learn more about these changes, or to get started on your transition to the cloud, reach out to your Microsoft account team or partner today.  

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