Microsoft has announced major updates to its Microsoft 365 offerings, including a global price increase effective 1 July 2026. While costs are going up, the value delivered through new AI-powered tools, enhanced security, and advanced management features is greater than ever.
What's Changing
From 1 July 2026, Microsoft will roll out new features across its Business, Office, and Enterprise suites, alongside updated pricing. Here’s what organisations need to know:
1. AI Everywhere: Copilot Chat Expansion
Microsoft 365 Copilot Chat will now be integrated across Word, Excel, PowerPoint, Outlook, and OneNote, creating a seamless AI-powered experience. At Microsoft Ignite 2025, Microsoft introduced Agent Mode, enabling users to collaborate with Copilot to produce high-quality documents and presentations. IT administrators will also gain enterprise-grade controls to manage and secure Copilot usage.
2. Enhanced Security for All
Microsoft is adding Microsoft Defender for Office Plan 1 to Office 365 E3 and Microsoft 365 E3, offering advanced protection against phishing and malware. URL checks will also be included in Office 365 E1, Business Basic, and Business Standard, helping safeguard users from harmful websites.
3. Advanced Endpoint Management
New tools like Intune Remote Help, Intune Advanced Analytics, and Intune Plan 2 will simplify device management. For Microsoft 365 E5 customers, features such as Endpoint Privilege Management, Enterprise Application Management, and Microsoft Cloud PKI will strengthen compliance and security.
4. Security Copilot for E5 Customers
Security teams will gain Security Copilot agents, integrated into workflows across Microsoft Defender, Entra, Intune, and Purview. These AI-driven agents will help organisations respond to threats faster and more effectively.
Pricing Update: What It Means
From 1 July 2026, Microsoft will increase commercial pricing globally, with local market variations. Non-profit pricing will also align with these changes. While this is a price rise, the cost-to-value ratio is significant—organisations will gain access to cutting-edge AI, stronger security, and advanced management tools that can save time, reduce risk, and boost productivity.
Why It Matters
With over 430 million users worldwide and 90% of Fortune 500 companies relying on Microsoft 365, these updates reflect Microsoft’s vision for an AI-driven future. By combining productivity tools with advanced security and management, Microsoft aims to help organisations tackle rising IT demands and evolving threats—delivering far more value than the incremental cost increase.
Next Steps:
- Visit the official Microsoft 365 Blog.
- Explore new AI and security features.
- Prepare for pricing changes ahead of July 2026.
