Changes to Microsoft Dynamics 365 license management effective August 30, 2025

Apr 22, 2025

Microsoft announced an important update regarding the license management of Microsoft Dynamics 365, which will take effect later this year. These changes are designed to enhance visibility into license usage and ensure compliance across all users.

Starting April 30, 2025, Microsoft will introduce enhanced license reporting in the Microsoft Power Platform admin center. This new feature will provide better visibility into license usage and compliance, helping organizations manage their licenses more effectively. Users without a valid license will receive an in-product notification, prompting them to take appropriate action.

Furthermore, as of August 30, 2025, all users will be required to have an individually assigned license to access Microsoft Dynamics 365 Finance and Operations applications. Users without a valid license will no longer have access to the product.

How does this impact you?

By August 30, 2025, all individual users of Microsoft Dynamics 365 should have a valid license assigned to their name. This means that you should take these key actions:

Review the Microsoft Finance and Operations User License Level Overview Report in the Microsoft Power Platform admin center (available from April 30, 2025).
Align with your license provider on compliance requirements to ensure all necessary steps are taken.
Ensure all necessary Microsoft Dynamics 365 licenses are assigned via the Microsoft 365 admin center.

At delaware, we understand that these changes may require adjustments to your license management processes. Our team is available to help you assess the impact, navigate the transition smoothly, and optimize your license strategy to ensure compliance.