Microsoft has announced a new phase in the evolution of Microsoft 365, introducing expanded AI, security, and device management capabilities that will roll out in 2026. Alongside these enhancements, Microsoft also confirmed an update to commercial Microsoft 365 pricing, effective July 1, 2026. 

These updates are shared in advance to help organizations review current subscriptions, plan renewals, and prepare budgets for upcoming changes. 

Expanding AI, Security and Management Capabilities Across Microsoft 365 

In response to an increasingly complex threat landscape, rising IT demands, and growing expectations for AI-driven productivity, Microsoft is evolving Microsoft 365 to deliver greater value across productivity, security, and IT management. 

AI Embedded Into Everyday Work 

Microsoft continues to expand access to AI through Microsoft 365 Copilot Chat, which is being integrated directly into Word, Excel, PowerPoint, Outlook, and OneNote. This unified AI experience enables users to work more efficiently within familiar applications. 

Upcoming enhancements allow Copilot to understand emails and calendars, while Agent Mode enables teams to collaborate iteratively with AI to create higher-quality documents, spreadsheets, and presentations. At the same time, IT administrators gain enterprise-grade controls to secure, manage, and measure Copilot usage across the organization. 

Stronger Protection Against Email and Collaboration Threats 

To help organizations defend against phishing, malware, and malicious links, Microsoft is expanding built-in email and collaboration security across Microsoft 365 plans. 

Microsoft Defender for Office 365 Plan 1 will be included in: 

    • Office 365 E3 
    • Microsoft 365 E3 

In addition, URL checking(Safe links) will be added to: 

    • Office 365 E1 
    • Microsoft 365 Business Basic 
    • Microsoft 365 Business Standard 

These enhancements improve protection when users interact with email, Teams, and Office applications. 

URLs are the web addresses behind links that users click to open websites or online resources. Cyber attackers often hide malicious behind links that appear legitimate, especially in emails and messages. URL Protection helps keep users safe by checking these links in real time at the moment they are clicked. If a link leads to a phishing site or a malicious website, access is blocked or a warning is shown before any harm occurs. This ensures safer link-clicking accross email, Microsoft Teams, and Office applications, reducing the risk of phishing attacks and accidental access to harmful wesites. 

Enhanced Endpoint Management for IT Teams 

Microsoft is strengthening endpoint management capabilities to help IT teams maintain secure and productive device environments. 

Microsoft 365 E3 and E5 will include: 

    • Intune Remote Help 
    • Intune Advanced Analytics 
    • Intune Plan 2 

Microsoft 365 E5 customers will also receive: 

    • Endpoint Privilege Management 
    • Enterprise Application Management 

Microsoft Cloud PKI 

These capabilities enable IT teams to detect issues earlier, resolve incidents faster, and enforce stronger security and compliance controls. 

Security Copilot Agents Integrated Into Security Operations 

Microsoft announced that Security Copilot agents are now embedded into the workflows of security teams using Microsoft Defender, Entra, Intune, and Microsoft Purview. 

Security Copilot will be made available to all Microsoft 365 E5 customers, with a phased rollout and a 30-day advance notice prior to activation. 

Updated Microsoft 365 Pricing Effective July 1, 2026 

Alongside the expanded capabilities, Microsoft will update list prices for selected Microsoft 365 commercial suites, effective July 1, 2026. 

The updated pricing applies to new subscriptions and renewals from this date forward and will be implemented globally, with adjustments based on local market conditions. 

Pricing updates apply to new subscriptions and renewals starting July 1, 2026. List prices shown may vary by local market. 

What This Means for Organizations 

With expanded AI, security, and management capabilities, Microsoft 365 continues to evolve as a comprehensive platform for modern work. At the same time, the upcoming pricing changes make early planning increasingly important. 

Organizations are encouraged to: 

    • Review current Microsoft 365 subscriptions and upcoming renewals 
    • Understand which new capabilities will be included in their existing plans 
    • Prepare budgets ahead of the July 2026 pricing update 

Proactive planning helps organizations maximize value, maintain security, and avoid last-minute licensing or budget adjustments. 

Planning Ahead for Microsoft 365 in 2026 

As Microsoft 365 continues to evolve, organizations that review their licensing and renewal strategies early will be better positioned to benefit from new capabilities while maintaining cost control. 

Contact ITM for all-in-one support from licensing consultation and renewal planning to technical readiness to help your organization navigate Microsoft 365 changes securely, efficiently, and with confidence. 

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