In a bid to increase its Office customer base in the annual subscription category, Microsoft has announced that it will increase the subscription of its office suite by 20% to customers on the monthly subscription plan.

The technology company announced this plan ahead of 2022 so as to change the way customers procure its software through business partners. The new plan is called New Commerce Experience for Office.

Though the company has not publicly given a specific price change, it has informed partners that organizations on the monthly subscription plan will experience a 20% price increase. An increase that can only be reversed if they migrate to the annual subscription plan.

Microsoft is making use of the opportunity to bring customers into longer arrangements which will yield potentially better revenue and address concerns about churn, a critical element of subscription in businesses.
However, the changes could lead to monthly subscriber loss for the company. Some of its business partners have spoken out against the price hike. A (Change.org) petition started by Axiom Tech has garnered more than 1,400 signatures as at the last count.

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