Apr 2, 2025, 12:00 AM
Apr 2, 2025, 12:00 AM

Microsoft increases Power BI Pro prices by 40 percent

Provocative
Highlights
  • Microsoft announced a significant price hike for Power BI services on November 12, 2024.
  • Power BI Pro's monthly price increased from $10 to $14, while Power BI Premium Per Use rose from $20 to $24.
  • Businesses may need to evaluate their use of Power BI due to these cost increases, potentially looking for cheaper alternatives.
Story

In the United States, Microsoft announced significant price increases for its Power BI services on November 12, 2024, which took effect on April 1, 2025. The price for Power BI Pro rose from $10 per user per month to $14, marking a substantial 40 percent increase. Similarly, Power BI Premium Per Use (PPU) experienced a 20 percent hike, climbing from $20 to $24 per user per month. Existing customers will continue to pay the previous rates until their contracts are up for renewal, while new users will be charged the updated prices upon sign-up. Microsoft attributed the increases to the enhanced features and updates it has rolled out over the years, stating that these adjustments were the first in nearly a decade. The company's business intelligence tools have become vital for enterprises, who rely on data visualization to manage growing data sets, as traditional tools like Excel are increasingly inadequate. Furthermore, Microsoft emphasized that there will be no price changes for customers who purchase Power BI through Microsoft 365 E5 or Office 365 E5 annual term subscriptions with annual billing. Despite Microsoft’s justification for the price increases, some customers may perceive this as a strategy to push users towards Microsoft 365 or other services within the Microsoft ecosystem. This could lead to enterprises evaluating the necessity of Power BI in their operations, possibly compelling them to search for cheaper alternatives from competitors. Notably, Microsoft also recently raised prices for other services, including Dynamics 365 and Microsoft 365 Personal subscriptions, which were said to be influenced by the introduction of AI features. The timing of the price increases raises concerns that cost-sensitive businesses will be forced to either absorb these hikes or reconsider their dependency on Power BI. The overall context of rising service prices, coupled with an ongoing economic landscape where companies are increasingly scrutinizing their expenses, suggests that these changes might significantly affect how organizations utilize Microsoft's business intelligence tools in the near future.

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