Microsoft 365 Business Premium NFP Donation Discontinuation

Dear Non-Profit Partner,    

     We want to make you aware of an important change that may affect your organization’s IT and licensing planning:

    Microsoft has recently announced that the entitlement grant of 10 Microsoft 365 Business Premium licenses for eligible non-profit organizations will be discontinued at NFP customers next renewal dates. This change is part of Microsoft’s recent updates to their non-profit offerings, which take effect on a rolling basis depending on your renewal cycle.

Read the official Microsoft announcement via the link below:
🔗 Microsoft 365 Business Premium and Office 365 E1 Grant Discontinuation

What This Means for Your Organization:

• No more free 10-seat grant for Microsoft 365 Business Premium subscription after your current subscription expires.
  
  
• Microsoft will continue offering discounted pricing for non-profits on many Microsoft 365 plans, but grants are being restructured.
  
  
• You may continue using Microsoft 365 Business Premium, but it will require a paid subscription at renewal. The current price of the Microsoft 365 Business Premium (NFP) Subscription at time of this writing (05/15/2025) is $5.77 monthly per user (with annual commitment), or $6.60 monthly without any commitment.
  
  

How AllSector Technology Can Help:

As a Microsoft Cloud Solutions Provider (CSP) and your Non-Profit Aligned IT Solutions and Service Provider, AllSector Technology can:

• Review your current licensing to determine the most cost-effective plan post-renewal
• Assist in transitioning to alternative Microsoft 365 plans that still offer significant non-profit discounts
• Help you plan ahead to avoid service disruption or unexpected costs
• Maximize your value from Microsoft cloud services with expert guidance tailored to non-profit missions

     It's disheartening to witness Microsoft's steady erosion of support for the NonProfit sector—a community that has long relied on the company’s generosity to operate effectively within tight budgets. The recent decision to eliminate the 10 free Microsoft 365 Business Premium licenses for nonprofits marks yet another blow in a troubling trend. This comes on the heels of the forced rollout of the New Commerce Experience (NCE), which not only raised prices but also pressured organizations into annual commitments to avoid steeper month-to-month costs—raising the Business Premium rate from $5.50 to $5.77 per user annually, or $6.60 monthly. Prior to that, Microsoft slashed the nonprofit Azure credit from $3,500 to just $2,000 per year, and removed Microsoft Teams from several subscription tiers, further degrading the value nonprofits once received. It’s beginning to feel like a bait-and-switch tactic: offer generous discounts and free services to build dependency, then gradually withdraw those benefits once reliance has set in—forcing nonprofits to scramble and rework already fragile IT budgets just to maintain basic functionality.

     We understand how critical these services are to your operations and mission. If you have any questions or need help navigating this transition, we’re here to support you.

AllSector Technology — Non-Profit Focused.

866-783-6648
info@allsector.com
www.allsector.com