Effective, December 1, 2026, new Microsoft 365 Copilot Business licenses, including standalone licenses and bundled purchased through Cloud Solution Provider (CSP), will include Pay-as-you-go billing configuration by default. View the full announcement here

• Effective October 2026, Microsoft will reduce the channel margin to approximately 15% on select CSP SKUs.
• Impacted products: Office 365 E1, Office 365 E3, OneDrive Extra Storage, SharePoint, Exchange Online, Microsoft 365 Apps for Business, and Microsoft 365 Apps for Enterprise.

Note: Access active opportunities and upcoming renewals for margin impact and engage customers early on any required pricing adjustments.

• Effective October 2026, partners can earn higher growth margins on qualifying transactions in place of standalone base margin.
• Growth margins can be earned repeatedly across qualifying transactions.
• Nonprofit, education, or government SKU’s are not eligible for growth margin.
• For more information, refer to the Growth Margins- Partner Resources.

Effective October 13, 2026, Microsoft will end support for Long Term Servicing Channel (LTSC) 2021, Project LTSC 2021, and Visio LTSC 2021 and will no longer provide updates, security fixes, or technical support. View the full announcement here.

As of September 1, 2026 Microsoft will provide incentive to partners for driving customer adoption and usage of Copilot Cowork. For full details, refer to the incentive guide.

Microsoft has introduced Microsoft Dynamics 365 Activate with a limited public preview focused on Salesforce-to-Dynamics 365 Migrations. Read the full announcement here.

As of September 2026, Microsoft has automatically started onboarding managed customers that didn’t move to the unified Microsoft Sentinel experience in the Microsoft Defender portal. Microsoft will also manage the scheduling, customer notifications, and technical onboarding. Read the full announcement here.

As of February 1, 2027, Azure reservation exchanges will not be available for services covered by savings plans. Microsoft began notifying impacted customers on July 30, 2026.

Please review your customers’ environments now to identify impacted reservations and align on the next steps.