Microsoft 365 Copilot pricing 2026: Standalone SKUs Launch December 1
New standalone Microsoft 365 Copilot SKUs become available December 1, 2026, with unchanged pricing and default usage-based billing for CSP Copilot Business customers.
Microsoft 365 Copilot pricing 2026 stays the same for new standalone SKUs launching December 1. Enterprise users pay the $30 monthly list price while Copilot Business lists at $21 with an $18 promotional rate for the first year on up to 300 users. These offers replace add-on versions for new purchases across commercial, education, government and nonprofit segments.
Standalone SKUs Replace Add-On Offers
From October 16, 2026, existing add-on offers carry an (add-on) suffix in the catalog. Add-on offers reach end-of-sale in the CSP channel on December 1 but existing subscriptions continue without price changes on renewal. New standalone SKUs carry separate product and SKU IDs that partners must use in scripts by mid-October.
Purchase of a standalone SKU does not alter core Copilot entitlements or agent limits. Features still require the underlying Microsoft 365 apps and services already licensed to each user. Existing add-on subscriptions remain unaffected through their renewal cycles.
Administrators should prepare for the November 1 price-list preview and test in the Partner Center sandbox starting November 2. The changes apply to new purchases, seat additions and upgrades after December 1.
Usage-Based Billing Defaults for CSP Customers
New Copilot Business licenses in the CSP commercial segment default to usage-based billing from December 1. Each user receives a 4000-credit monthly allocation that administrators can adjust or set to zero. Overages bill through Azure at approximately $0.01 per credit.
The default applies to new purchases, added seats and upgrades. It excludes Enterprise Copilot, education and nonprofit tenants, GCC Low environments, and an initial list of countries including Australia, Belgium, Brazil, France, Germany, India, Italy, Korea, Netherlands, Poland and Spain.
| Item | Pre-December 2026 | From December 1 2026 |
|---|---|---|
| SKU type | Add-on only | Standalone + add-on (end-of-sale) |
| Default billing | Fixed seats | UBB for CSP Copilot Business |
| Credit limit | Not applicable | 4000 per user per month |
| Enterprise pricing | $30/user/month | $30/user/month unchanged |
Credits cover advanced capabilities such as Copilot Cowork, Work IQ APIs and GitHub Copilot Harness. Once UBB is active, charges can accrue before any limit adjustment takes effect. Review cost-management settings in the Microsoft 365 admin center under Copilot to set policies ahead of rollout.
Practical Steps for Administrators
Confirm current seat counts and projected usage before December 1. Export license reports and map them against the new standalone SKU IDs once published. Test UBB configuration in a non-production tenant to avoid unexpected Azure charges.
Document any custom scripts that reference offer names rather than IDs. Update automation before October 16 when the add-on suffix appears. Monitor the Microsoft 365 admin center for cost alerts once usage-based billing activates.
Compare the new standalone route with existing bundles only after verifying that base Microsoft 365 licenses remain in place. No changes occur to agent limits or core feature entitlements tied directly to the Copilot license itself.
Frequently asked questions
When do standalone Microsoft 365 Copilot SKUs become available?
Standalone SKUs launch for purchase on December 1, 2026, across all channels including CSP for commercial, education, government and nonprofit customers.
What is the default credit limit under usage-based billing?
New CSP Copilot Business licenses default to 4000 Copilot Credits per user per month, adjustable by administrators, with separate Azure billing at roughly $0.01 per credit.
Does the standalone SKU change Copilot agent limits?
No. Agent limits and core entitlements remain tied to the underlying Microsoft 365 apps and services already licensed to each user.
Which customers are excluded from the new UBB default?
Enterprise Copilot, education, nonprofit, GCC Low and customers in Australia, Belgium, Brazil, France, Germany, India, Italy, Korea, Netherlands, Poland and Spain start without the default.
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