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Pstork1
Most Valuable Professional
Most Valuable Professional

New PowerApps and Flow Licensing coming October 1, 2019

If you haven't seen the announcement yet about the Licensing changes that are coming to PowerApps and Flow starting on October 1, 2019 you really need to read the following Blog. This announcement was originally made at Inspire this year, but has undergone a number of significant changes.  Make sure you read this and understand what it means to you and your organization.

https://powerapps.microsoft.com/en-us/blog/new-licensing-options-for-powerapps-and-flow/



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188 REPLIES 188

The law changes without notice. MS recommended in june to split our main app into smaller focused apps for performance reasons. We were also recommended to move to either CDS or SQL for the same reasons. We did both and invested resources into this. One month later they dump this news on us. Our smallest customer - 100 users - will need to cough up a minimum of 12.000 USD per year IF we manage to squeeze everything into one app - 48.000 USD if not. Outrageous.

 

If creating 50 dummy apps and using an SQL elastic pool (with 50 idle databases) can get us around this I have no qualms about it.

I have another scenario that I would like to discuss.

Let say I have a canvas app that are primarly used on PC's (tablet mode, horizontal) and there is also a demand for a less feature packed mobile app (mobile mode, vertical). That means two PowerApps connecting to the same data source (Azure SQL).

Will that mean that I need two $10/app/user/month licenses?

My understanding is that the license is actually per 'business process' which may be served by up to two Apps, so I guess if you need a full fledged desktop and cut-down mobile app, that would be permissable under a single 'App'/User/Month subscription. Though how that will be policed and who defines what counts as a 'business process' will be interesting to see.

Thanks!

I have so many discussions around this with my customers rigth now and there are so many things that are unclear. 😕

I hope you are correct 🙂


@MagnusGöransson wrote:

Thanks!

I have so many discussions around this with my customers rigth now and there are so many things that are unclear. 😕

I hope you are correct 🙂


If you are at the planning stage it may pay to accelerate your development to get 'minimum viable product' apps in place (using the Azure SQL Connector) before October 1st so they are grandfathered in for 5 years. You then have breathing space to evaluate other products/technologies (we're investigating Progressive Web Apps for cross-platform, cross form-factor apps that are easy to deploy and can access on-device features like camera and gps) that may offer a value-proposition closer to the old licensing for PowerApps.

The per App license can cover an app that contains two applications, so for that scenario I think you should be fine with one $10 license per user using either app.  But remember if you have 4 Apps like that you are already at the same cost as the standalone license at $40 per user/month and that covers unlimited numbers of Apps.



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inverse70
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Hi All 

 

This is such a disaster we are now starting to deploy PowerApps and these changes have now put the brakes on our initiative

 

I do have a question if anyone could clarify. 

 

We have about 15 existing apps that use Azure SQL connectors, etc. I understand this will hold for 5 years before turning into premium. All my Office 365 user have access to these apps. So I have 5 years to use these apps before making any decision. Do I still need to pay on top of my Office 365 licenses for all my user to have access to these apps i.e. 40USD per user during the 5 years? Or does the Office 365 license cover user access for the next 5 years while the connector changes from standard to premium?

Pstork1
Most Valuable Professional
Most Valuable Professional

If the Apps fall under the exemption that grandfathers them in then you do not need premium licenses for any of your users to access and use those existing apps.



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For 5 year grandfathering question, you can find the information here https://docs.microsoft.com/en-us/power-platform/admin/powerapps-flow-licensing-faq#how-does-the-chan...

 

Also most of these questions are covered in FAQ here https://docs.microsoft.com/en-us/power-platform/admin/powerapps-flow-licensing-faq

@dileeps 

That FAQ leaves a lot of questions to be answered as you can see in this thread. It seems MS screwed a lot of ISV's and Business App creators with this change. Lesson learned.

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