May 29, 2026
WHAT'S HAPPENING:
License Mobility for Windows Server and SQL Server subscriptions on CSP
WHEN: April 1, 2026
Microsoft is adding License Mobility rights to Windows Server and SQL Server subscriptions purchased under CSP starting April 1, 2026, aligning benefits with Software Assurance. This allows customers to run workloads in shared environments and with authorized outsourcing partners, simplifying licensing and increasing flexibility. Perpetual CSP licenses are unchanged, and the benefit is applied automatically with no action required.
Please note that for Windows Server license mobility rights apply to External Connectors and RDS User CALs only – not the server operating system.
WHAT'S HAPPENING:
Windows 365 Business Price Reduction
WHEN:
May 1, 2026
Microsoft is reducing Windows 365 Business prices by 20% starting May 1, 2026. A new on-demand start feature keeps Cloud PCs active for one hour after sign-out, with slightly longer reconnect times after that due to hibernation. New subscriptions get the lower price immediately, while existing customers see it at renewal.
WHAT'S HAPPENING:
Windows 365 Frontline rebranded to Windows 365 Flex
WHEN:
May 1, 2026
Windows 365 Frontline is being rebranded to Windows 365 Flex, reflecting expanded flexibility in how Cloud PCs are delivered. The product now supports both shared and cost-efficient dedicated access models, including the ability to reset sessions or persist user settings. It also introduces support for app-only experiences (Windows 365 Cloud Apps) without requiring a full dedicated Cloud PC. There are no changes to how the service works or how it is licensed and purchased.
WHAT'S HAPPENING:
Azure Virtual Desktop Hybrid in Public Preview
WHEN:
May 1, 2026
Microsoft has announced that Azure Virtual Desktop Hybrid is now available in public preview. This new feature allows organizations to run Azure Virtual Desktop (AVD) session hosts on their own hardware while the service itself remains in Azure, connected through Azure Arc. This hybrid setup aims to ease the transition to cloud services and address the needs of organizations with strict regulatory and compliance requirements. Currently, users must have a license for a supported operating system, similar to the existing AVD licensing. After the public preview, a new Azure Virtual Desktop Hybrid license will be introduced, with more details to come.
WHAT'S HAPPENING:
Reminder of Project Online Retirement
WHEN:
September 30, 2026
As previously communicated, Microsoft Project Online will be retired on September 30, 2026, with sales to new customers stopping on October 1, 2025, while other Project tools remain unaffected.
Current users can continue using Project Online without disruption until the retirement date. After that, access to projects and data will end, so backing up data beforehand is important.
Transition options include:
- Planner: A modern, unified project management tool with premium features like portfolios, baselines, dependencies, and Gantt charts. It also includes the AI-powered Project Manager agent to automate tasks and reporting.
- Project Server Subscription Edition: For organizations needing advanced project and portfolio management, built on the latest SharePoint Server technology.
- Dynamics 365 Project Operations: For customers requiring integrated project delivery, financials, timesheet management, and resource scheduling.
- Project desktop: Remains available and unaffected by this change. Users should prepare by notifying teams, updating documentation, evaluating alternatives, and backing up data.
WHAT'S HAPPENING:
New ability to share Process license capacity across workflows in Power Automate
WHEN:
April 21, 2026
Starting April 21, 2026, Microsoft will allow users to create a flow group containing up to 25 cloud flows that can be covered by a single Power Automate Process license. This change means you no longer need a separate license for each cloud flow. Note that the total daily action limit of 250,000 actions for that license will be shared among all the cloud flows in the group. This update offers cost savings but requires managing the shared action capacity across flows.
WHAT'S HAPPENING:
Introduction of Teams Events Attendee Capacity Packs
WHEN:
April 1, 2026
The new Teams Events Attendee Capacity Packs were introduced as part of the April 1, 2026, licensing changes, enabling Teams Enterprise users to host Town Hall events beyond the standard 3,000 attendee limit.
Attendee Capacity Packs are add-on licenses that increase the maximum size of Teams events beyond the standard 3,000 attendees, enabling larger, feature-rich events. Each pack sets the maximum attendee limit per event, and organizers can host unlimited events within that limit while the license is active. Only one pack can be assigned per organizer, but organizations can purchase multiple packs and distribute them across different users.
Organizers with an active Teams Premium license purchased before April 1, 2026, can continue to host events for up to 100,000 attendees until their current Teams Premium term ends. After April 1, 2026, when your Teams Premium term expires, events with capabilities to engage with audiences that have
more than 3,000 attendees require an attendee pack sized to the desired attendee capacity. To avoid disruption to large events, plan to purchase the appropriate pack in advance.
WHAT'S HAPPENING:
GitHub Copilot Plans Transitioning to Usage-Based Billing
WHEN:
June 1, 2026
Starting June 1, premium request units (PRUs) will be replaced by GitHub AI Credits. Credits will be consumed based on token usage, including input, output, and cached tokens, according to the published API rates for each model. Base plan pricing is not changing, and code completions and Next Edit suggestions remain included in all plans and do not consume AI Credits.
Fallback experiences will no longer be available. Currently, users who exhaust PRUs may fall back to a lower-cost model but under the new model, usage will instead be governed by available credits and admin budget controls.
Copilot code review will also consume GitHub Actions minutes in addition to GitHub AI Credits. These minutes are billed at the same per-minute rates as other GitHub Actions workflows.
WHAT'S HAPPENING:
High Volume Email Available (HVE) Available in Exchange Online
WHEN:
June 1, 2026
High Volume Email is now generally available in Exchange Online for sending internal emails, with usage-based billing starting June 1, 2026. Charges are based on the number of recipients delivered, priced at $42 (USD MSRP) per one million recipients.
This model aligns consumption with service protection limits, helping ensure consistent performance and reliability for high-volume automated email scenarios. Documentation on use cases and how to set this feature up is available here.
WHAT'S HAPPENING:
Azure Reserved Virtual Machine (VM) Instances for Select VM Series will be Retired
WHEN:
July 1, 2026
Starting July 1, 2026, Microsoft will end new purchases and renewals of Reserved Virtual Machine Instances (RIs) for select VM series. Existing RIs are not impacted and will continue to provide discounts throughout their full term.
This change affects one-year RIs such as Av2, Amv2, Bv1, D, Ds, Dv2, Dsv2, F, Fs, Fsv2, G, Gs, Ls, and Lsv2, as well as one-year and three-year RIs including Dv3, Dsv3, Ev3, and Esv3.
Customers should review current reservations, confirm expiration dates, and renew them before July 1, 2026, to avoid losing savings. If no action is taken, affected workloads will switch to pay-as-you-go pricing once their RI expires—even if auto-renew is enabled.
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