Microsoft licensing costs are due to rise across Microsoft 365 and Exchange Online services, with updated pricing expected over the coming months.
As part of ongoing changes to Microsoft’s cloud platform, businesses using standard Microsoft 365 mailboxes may also see an increase in mailbox capacity requirements as email storage demands continue to grow.
Many organisations currently operate with the standard 50GB Exchange mailbox limit included with Microsoft 365 Business Standard and Exchange Online Plan 1. However, larger mailboxes are becoming increasingly common due to increased email retention, larger attachments, and growing compliance requirements.
To address this, Microsoft are also raising the size of mailboxes across the board as well from 50GB in most cases to 100GB as well as some other features:
Planned changes:
While the mailbox upgrade offers additional storage and functionality, it also comes alongside rising Microsoft subscription costs across many Microsoft 365 products and services.
Currently we expect price rises of between 12% and 25% depending on the package and the current exchange rate with the US Dollar
Microsoft state that changes to packages will start to be rolled out from June 2026 with price rises taking effect from July 2026.
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