The best way to make sure that we tell it like it is, would be to quote directly from Microsoft's recent Enhancement & Advantage Plans announcement. Although the quote below is verbatim, I have bolded text that I thought was particularly important for our Microsoft Dynamics customers:

"For the first time, Microsoft is adjusting prices of our Customer Services and Support plans.

Effective October 1, 2022, pricing for Dynamics Enhancement Plan (EP) and Dynamics Advantage Plan (AP) will increase by 1% of Protected List Price (PLP)."

"This change will impact the customer's first renewal after October 1.
For example, the list price of the Enhancement Plan will change from 16% to 17% of a customer's PLP.

This change does not impact Advantage Plus or Software Assurance (SA) plans."

Also, I should note that I think it's fantastic that this is the first time Microsoft has ever increased the cost of their Customer Services and Support plans.

But moving right along, although I know you could do the math, I thought it might be helpful if I provided a simple example anyway, a quick computation, using some nice round numbers that will make it ridiculously easy to understand:

A Simple Example

Let's say your total Protected List Price (PLP) is $50,000 and your Enhancement Plan (EP), which provides you with Customer Services and Support, currently costs you 16%. In other words, you're currently paying $8,000 for your Enhancement Plan.

The price increase means that the cost of your Enhancement Plan will increase from 16% of your Protected List Price to 17%. Thus, the next time your renewal comes up after October 1, 2022, your renewal cost will be $8,500. Simple, right?

Which Microsoft Dynamics ERP products will be impacted?

The straightforward answer is: All of them.

To alleviate any misunderstandings, I've listed them below, in alphabetical order.

• Microsoft Dynamics 365 Business Central
• Microsoft Dynamics 365 for Operations
• Microsoft Dynamics AX
• Microsoft Dynamics CRM
• Microsoft Dynamics GP
• Microsoft Dynamics NAV
• Microsoft Dynamics Point of Sale (POS)
• Microsoft Dynamics Retail Management System (RMS)
• Microsoft Dynamics SL

So, let's sum this up:

The effective date of the price increase: October 1, 2022

Price increase amount: 1%

Service and support contracts impacted: Enhancement Plan (EP), Advantage Plan (AP)

Microsoft Dynamics ERP products impacted: All

Price increases are never welcome, and no one ever wants to be the one to break the bad news. I should note that I think it's fantastic that this is the first time Microsoft has increased the cost of their Customer Services and Support plans.

Got Questions?

Please don't hesitate to contact Liberty Grove Software by calling 630-858-7388 or emailing nav@libertygrove.com.

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