CSP licensing: paying an annual plan monthly costs 5% more

Microsoft changed billing for licenses bought through CSP (Cloud Solution Provider), the program a partner like OSOMCO uses to sell and manage your Microsoft 365, Power BI and other subscriptions. The change does not hit all at once: each subscription picks it up at its next renewal.

What changes

• An annual plan billed monthly costs 5% more than the same annual plan paid up front.
• At renewal you can choose monthly or annual billing for the same term.
• Power BI Pro went from US$10 to US$14 per user per month, for new purchases and renewals.

Since when

Since April 1, 2025. Each subscription takes the new price at its renewal date, so by late 2026 most annual contracts have already gone through it at least once.

Who it affects

• Any business that buys Microsoft licenses through CSP on an annual term.
• Finance, which decides whether to pay the year up front or month by month.

What to do

1. Check the renewal dates of your annual subscriptions.
2. Compare the cost of the year paid up front against monthly billing with the 5%.
3. Before each renewal, match the license count to real use: on an annual plan you cannot reduce seats after the first 7 days.
4. If you use Power BI Pro, check whether every user needs it or whether some only need to view shared reports.

Let’s review your licenses before the next renewal.

Microsoft source:

• https://learn.microsoft.com/partner-center/announcements/2024-november