Microsoft 365 2026: New features and pricing updates
Microsoft is expanding AI, security, and management across all Microsoft 365 plans — while also updating commercial pricing effective July 1, 2026. We break down everything your business needs to know right now.
Microsoft announced expanded availability of AI, security, and management features for Microsoft 365 subscriptions in 2026. Alongside these new capabilities, the company is updating commercial pricing for Microsoft 365 suite subscriptions, effective July 1, 2026.
Microsoft is sharing these changes in advance so customers have time to prepare. According to the company, more than 430 million people use Microsoft 365 applications, and more than 90% of Fortune 500 companies trust Microsoft 365 Copilot. Progresia, as an official Microsoft partner in Ukraine, breaks down all the changes and helps your business prepare.
New capabilities in Microsoft 365
Four key areas in which Microsoft is expanding the base plans — artificial intelligence, threat protection, endpoint management, and security agents.
Artificial intelligence
Microsoft 365 Copilot Chat is now built into Word, Excel, PowerPoint, Outlook, and OneNote — AI chat in the flow of everyday work. Copilot understands your mailbox and calendar, and Agent Mode enables the iterative creation of documents, spreadsheets, and presentations. IT administrators gain enterprise management and analytics tools for Copilot Chat.
Email security
Defender for Office 365 Plan 1 is being added to Office 365 E3 and Microsoft 365 E3 — protection against phishing, malicious links, and malware in email and Teams. In addition, URL checking is appearing in Office 365 E1, Business Basic, and Business Standard — protection for small businesses at no extra cost.
Device management
Intune Remote Help, Intune Advanced Analytics, and Intune Plan 2 are being added to Microsoft 365 E3 and E5 — fast incident resolution and proactive device monitoring. For E5, this additionally includes Intune Endpoint Privilege Management, Enterprise Application Management, and Microsoft Cloud PKI for full device control and protection of the AI environment.
Security Copilot
Security Copilot agents are built into the workflows of Microsoft Defender, Entra, Intune, and Purview. More than 70 agents from Microsoft and partners. Microsoft Security Copilot becomes available to all Microsoft 365 E5 customers — with 30 days’ notice before activation. For SOC teams, this is a real accelerator for investigations and response.
New Microsoft 365 pricing
Effective from July 1, 2026 · USD/user/month · annual subscription
| Category | Plan | Old price | New price | What is added |
|---|---|---|---|---|
| Business | Microsoft 365 Business Basic | $6/month | $7/month ↑ ~17% | URL checks in Outlook and Office |
| Business | Microsoft 365 Business Standard | $12.50/month | $14/month ↑ ~12% | URL checks + Copilot Chat |
| Business | Microsoft 365 Business Premium | $22/month | $22/month ✓ No change | No change — the strongest value for SMBs |
| Enterprise | Office 365 E1 | $10/month | $12/month ↑ ~20% | URL checks in Outlook and Office |
| Enterprise | Office 365 E3 | $23/month | $27/month ↑ ~17% | Defender for Office P1 + Copilot Chat |
| Enterprise | Microsoft 365 E3 | $36/month | $42.50/month ↑ ~18% | Defender P1 + Intune Remote Help, Analytics, Plan 2 |
| Enterprise | Microsoft 365 E5 | $57/month | $66/month ↑ ~16% | Security Copilot + full Intune Suite + Cloud PKI |
What to do right now
You have time until July 2026 — but the decisions made now can significantly affect your organization’s budget and capabilities.
Audit your current licenses
Check which Microsoft 365 plans your organization uses, how many licenses are active, and whether there are unused seats. Excess or duplicate licenses are the first place to save before the new pricing takes effect.
Assess whether it makes sense to upgrade your plan
New features (Defender, Intune, Security Copilot) previously required separate subscriptions. If your organization is already paying for these tools separately, moving to E3 or E5 may prove more beneficial than maintaining the current configuration.
Consider early renewal
If your agreement term ends after July 1, 2026, renewing early before that date will allow you to lock in the current price for the entire new subscription term — while already receiving the new capabilities.
Plan the rollout of Copilot Chat
Copilot Chat will automatically become available to a broader group of users. Define your data governance policy in advance, train key employees, and configure administrative controls so that AI features deliver value rather than chaos.
Involve Progresia in license analysis
As an official Microsoft partner in Ukraine, Progresia will conduct a free analysis of your licensing portfolio, compare scenarios, and prepare recommendations for the optimal renewal strategy taking into account the new pricing and features.
Prepare for the changes with Progresia
The changes take effect on July 1, 2026. Contact our experts — we will analyze your licensing portfolio, calculate the budget impact, and select the optimal strategy for your organization.