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Benzinga
2 days

Microsoft Ends Enterprise Discounts On Microsoft 365, Cloud Apps In November

1. MSFT to eliminate enterprise discounts on Microsoft 365, raising costs by 6-12%. 2. This pricing shift aligns with Azure’s model and boosts profit margins. 3. Analysts project double-digit revenue growth from Microsoft 365 for Q4 2025. 4. Microsoft accelerates AI investments, aiming for higher revenue per user. 5. MSFT stock has risen 20% YTD, exceeding NASDAQ's 10% gains.

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FAQ

Why Bullish?

Eliminating enterprise discounts could enhance revenue, reflecting positive market sentiment. Historically, similar pricing adjustments often precede revenue upticks.

How important is it?

The changes directly impact Microsoft 365 revenue and reflect strategic pricing power, significant for investors.

Why Short Term?

The pricing change takes effect soon, providing immediate effects on revenue streams.

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