Microsoft recently announced news regarding the future of Dynamics GP, mostly effecting NEW sales of Dynamics GP in 2025 and 2026, but there are also a few changes that will apply to our existing GP customers.
The news didn’t really come as a shock, as for years now we all have been wondering about the future of Dynamics GP and Microsoft’s plans for the solution. We want to reiterate that these changes mostly affect NEW sales of Dynamics GP only, and for existing GP users Microsoft is still committed to continuing support and development of Dynamics GP to 2028 and beyond.
A quick recap of the announcement is:
Changes For NEW Dynamics GP sales:
- As of April 1, 2026, there will be no new sales of Dynamics GP.
- As a steppingstone to this, as of April 1, 2025 there will be no new sales of GP Perpetual; Subscription sales can still happen for the additional year.
- The price of Subscription and Perpetual licenses are increasing as of October 2023 *we are waiting for confirmation from Microsoft on the details
- Enhancement plan rates are increasing again – The Enhancement Plan will be going from 17% to 18% and the Advantage Plan (required for the 1st year for new customers) will be increasing from 19% to 20%.
What changes will apply to Existing Dynamics GP customers?
- Enhancement plan rates on renewals are increasing again for existing GP customers. The Enhancement Plan will be going from 17% to 18% and the Advantage Plan will be going from 19% to 20%.
- The price of Subscription and Perpetual licenses are increasing as of October 2023 *we are waiting for confirmation from Microsoft on the details. If your organization may need additional user licenses or additional modules, now would be the time to purchase them before prices increase in October.
- For LAPSED customers ( not current on your Microsoft Plan) : If you are planning on using Dynamics GP, you should renew your enhancement plan before April 2025. If a lapsed customer decides you want to get the current version of Dynamics GP to benefit from all the new features, fixes, security and enhancements, you will not be able to after April 2025. After April 2025 a lapsed customer will be stuck on their current version of Dynamics GP forever, without support and the risk your system will no longer function.
- It is important that current customers who plan to continue using Dynamics GP, continue to pay your annual enhancement for GP while you are using the product. This ensures your financial system will remain functional.
- Customers can continue to purchase new licenses and modules beyond 2026. There will still be tax and other product updates for Dynamics GP, including some awesome features already planned for 18.6 due to release October 2023.
- The support life cycle remains as is posted today (and has not changed) – “2028 & beyond”
CAL takes pride in being here for our customers, we are always available to discuss any concerns you may have or help advise you with what’s best to run your business. Whether that means discussing your current Dynamics GP system and ways to improve, or helping you evaluate and find a replacement solution that works best for your needs, we are here to help!
If you have any questions or concerns, would like to discuss your current Dynamics GP system or looking into a possible replacement ERP solution, contact us and let us help you review your options.
By CAL Business Solutions, Acumatica and Microsoft Dynamics GP/365 BC Partner, www.calszone.com