Forum Discussion
Microsoft 365 Business Premium grant is being discontinued
UPDATED: Microsoft sent affected nonprofit organisations an email similar to the below on Wednesday/Thursday 14/15th May announcing that Microsoft 365 Business Premium grant is being discontinued. A similar message was sent out regarding the end of the Office 365 E1 grant offer.
Microsoft have provided the following further information:
- Partner FAQ: https://partner.microsoft.com/en-AU/asset/collection/microsoft-365-business-premium-and-office-365-e1-grant-discontinuation#/
- Partner office hours: ANNOUNCEMENT: Microsoft 365 Business Premium & Office 365 E1 grant discontinuation | Microsoft Community Hub
- Blog: Transitioning from Microsoft 365 Business Premium to Business Basic: What Nonprofits Need to Know | Microsoft Community Hub
A small Canadian-based nonprofit has set up a change.org petition asking Microsoft to reconsider the decision: https://www.change.org/p/urge-microsoft-to-continue-grant-program-for-nonprofits
Information about the difference between Microsoft 365 Business Basic, Standard and Premium can be found here:
- Visual: https://m365maps.com/files/Microsoft-365-Business-All.htm
- Checklist: https://m365maps.com/matrix.htm#000111000000000000000
Thank you for your feedback. We encourage you to listen to the Office Hours session that was just released if you were unable to attend. Also, please reach out via the Partner Desk with questions and support options.
90 Replies
- MJC130Copper Contributor
For our organisation, yes there are the 10 premium licences, but also the 2000 E1 licences. We've completed a back of the envelop calculation and we are at $125k pa. Seeking urgent advice froma licence expert to address. To pull back to alternative solution is a challenge and MS know that the NFPs are kind of locked in.
Is this because they over committed on their AI and now clawing back cash where they can? - MattBurrIron Contributor
This is the most engagement I have seen in the nonprofit discussion forum for 2+ years.
Thank you for sharing your thoughts and how this will impact your nonprofits. It is a big blow to nonprofits worldwide, especially smaller organisations, and I am hoping that MSFT hear the voices from the community (Partners, employees, customers and the public) and reconsider the decision.
- ERZeronisCopper Contributor
I would like to say I appreciate the nonprofit account I have had Thank you
I have a small church and this is very unexpected. $600 a year is way over budget.
a little more time would be nice and to speak with someone about this would have been nice
- ben_tCopper Contributor
Also got the same and another message saying that Office 365 E1 Grant discontinues as well. Does that mean we pay starting from July 1st 2025 or when the licenses expire a year later?
We highly depend on the grant that we have used since our rather small organization started almost 10 years ago. It's sad to see that Microsoft is taking such massive steps.
Hopefully it doesn't take away access to Power Platform since we have apps running that we otherwise also would need to pay for.
- MattBurrIron Contributor
ben_t
From Microsoft's FAQ: "The Microsoft 365 Business Premium grant offer will be discontinued for customers on their next renewal after July 1, 2025. Licenses will expire at the customer’s next renewal date on or after this date. For instance, if a customer has a renewal date in October 2025, they can continue to use the grant without restrictions until then."
You will only start paying after your renewal date. However, you will need to move users over to the paid licences before the free ones expire.It is sad, let's hope they change their decision.
I'm also hoping they don't take away the free Power Apps licences! We have many customers using these. Although it seems like a free product gets taken away each year :(
- james4thCopper Contributor
Yesterday's announcement has been taken down after I asked how to make use of the business basic grant to edit a document on a laptop whilst on Scout camp in a field with no internet connection:
https://techcommunity.microsoft.com/blog/nonprofittechies/transitioning-from-microsoft-365-business-premium-to-business-basic-what-nonprof/4414278
- MattBurrIron Contributor
It's back up: https://techcommunity.microsoft.com/blog/nonprofittechies/transitioning-from-microsoft-365-business-premium-to-business-basic-what-nonprof/4415234
- MattBurrIron Contributor
Hopefully they've heard the voices from impacted organisations and are reconsidering. Nearly 400 people have signed the petition so far: https://www.change.org/p/urge-microsoft-to-continue-grant-program-for-nonprofits
- GraphBuilderBrass Contributor
This is extremely disappointing. In the midst of funding challenges and cuts across the board, Microsoft decided to jump on the same boat. This is a terrible move.
- fellowCopper Contributor
With this decision, it feels like Microsoft just took food out of the hands of the poor we’ve been feeding — and traded it for a software license. For small nonprofits like ours, this isn't just a tech change. It's a real blow to the people who rely on us every day...
- TimHillsCopper Contributor
Might have to look at other options like Google Workspace, we're a small non-profit, we simply can't afford to pay 5.50/month for our couple of users. Sad times! Surely MS make such a profit, they can afford to give to charities?
- StewC_bffBrass Contributor
TimHills , I thought about that too, but Google Workspace doesn’t give you desktop apps either. And if you and/or your users are comfortable with Office apps, Google docs and ppt apps will drive you crazy!
Microsoft’s downgrade of the offer to 365 Business Basic puts them closer to parity with Google’s nonprofit offer (until you have 300+ users, maybe, which is larger than most nonprofits).
For me, the larger question: after removal of Dynamics free seats, downgrade of Azure grant, unreasonable nonprofit pricing on Power Pages portals, discontinuation of Fundraising & Engagement app, and now this downgrade…where’s this program headed?
- MattBurrIron Contributor
Although not a free product Business Standard is available for about half the cost of Business Premium (AU$4.50 vs AU$8.10 per user). This includes desktop apps but not the additional security features of Business Premium.
We've also lost Power BI Premium (with no discount for Fabric). While the program is supporting more organisations (they wanted to double the number from 300,000 to 600,000 organisations), the grants/free items are being steadily chipped away. Only the 15% Copilot discount has been added in the past few years.
Imagine if they increased or added grant items instead!
- MattBurrIron Contributor
Please sign the petition asking Microsoft to reverse this decision: https://www.change.org/p/urge-microsoft-to-continue-grant-program-for-nonprofits
- fellowCopper Contributor
Signed — this change will hurt countless small nonprofits doing vital work. Please reconsider and continue supporting the sector that relies on you. 🙏
- KomatoastBrass Contributor
Every time I leave a reply it disappears. This will be my last try. Everyone can still keep Business Premium, but Microsoft is taking TEAMS away. TEAMS will be a different sku that will need to be purchased separately. Yes, we will lose our 10 free. It will be cheaper to just go to an E3 license for users. Whomever is moderating, please stop deleting my replies!! Hopefully I don't end up with 10 replies....lol If I do my apologies
- MartijnElfersBronze Contributor
At the moment M365 BP will remain available with Teams. Yes, Microsoft is introducing M365 BP without Teams. But there's been no announcement that they will enforce the BP without Teams in the future. They will keep both M365 BP (with Teams) and M365 BP without Teams available.
So no, Microsoft is not taking away Teams in the BP licenses.
This has only happened with the Enterprise suite, not with the Business suite.
- KomatoastBrass Contributor
I hope you are correct. But everything I have read and have been told is saying otherwise. TEAMS is now its own sku that will need to be added. Is the cost the same? Maybe? I have heard this from my Microsoft Rep, and my Dell rep. as we are in the process of solving this debacle. Again, I hope you are correct, time will tell.
- GraphBuilderBrass Contributor
Komatoast Your post is likely being removed because it's not completely true. While Microsoft is ending Teams bundling, it's ALSO ending the Office Premium for nonprofits, and the only choices are to downgrade to basic, or pay a discounted rate for Premium. You are conflating two separate issues.
- JillArmourMicrosoft
Community Manager
Komatoast sorry you had trouble leaving a reply. Did you post it and it didn't show up?
- KomatoastBrass Contributor
Yes, my replies just take 10min or so to show up, but we are good!! I'm not patient enough...lol Thank you 😁