Microsoft has identified and is correcting a critical pricing error that affected partner margins for Microsoft 365 Business Basic + Copilot Business bundles, with automatic refunds for impacted transactions.

The Issue

Microsoft inadvertently published 0% partner margins for two Microsoft 365 Business Basic + Microsoft 365 Copilot Business bundles in the price list, when the correct margins should have been 11.73-12.22%. This resulted in incorrect ERP (Estimated Retail Price) being displayed to CSP partners.

Impacted Products

Two SKUs are affected globally (all markets where available):

SKU 1: Microsoft 365 Business Basic (No Teams) and Microsoft 365 Copilot Business

- Product ID: CFQ7TTC0LH18
- SKU ID: 001L
- Correct Margin: 11.73%

SKU 2: Microsoft 365 Business Basic and Microsoft 365 Copilot Business

- Product ID: CFQ7TTC0LH18
- SKU ID: 001K
- Correct Margin: 12.22%

Microsoft's Response

Microsoft is taking immediate action to resolve this issue:

✅ Fix Effective February 7, 2026

Updated partner margin values and ERP pricing are being published, with the fix taking effect February 7, 2026.

✅ Automatic Refunds

Microsoft will:

- Proactively identify all impacted subscriptions
- Automatically issue refunds or credits for eligible transactions
- Process refunds for transactions completed between February 1-7, 2026 - Provide follow-up communication to affected partners

✅ Public Price List Update

The official public price list will reflect corrected values on March 1, 2026, aligned with the regular monthly release schedule.

Impact Assessment

Who Is Affected?

- CSP direct bill partners - CSP indirect providers - CSP indirect resellers

All partners who:
- Viewed pricing for these bundles between Feb 1-7
- Quoted customers using the incorrect pricing
- Completed transactions with 0% margin

What Was Wrong?

The error caused:

❌ Partner margin displayed as 0% instead of 11.73-12.22%

❌ Incorrect ERP calculations in pricing tools

❌ Potential financial impact for partners who completed sales

What Partners Need to Do

No Action Required

Microsoft is handling this automatically:

✅ Corrected margins and ERP pricing apply to all new purchases and renewals beginning February 7

✅ Refunds or credits will be processed automatically

✅ No manual claims or support tickets needed from partners

Optional: Review Your Quotes

If you quoted customers for these bundles between February 1-7, you may want to:

- Review quotes to ensure they reflect correct pricing
- Re-quote if the customer hasn't yet purchased
- Communicate any pricing adjustments to customers

Timeline Summary

| Date | Event |
|------|-------|
| Feb 1-6, 2026 | Incorrect 0% margins published |
| Feb 6, 2026 | Microsoft announces issue and correction |
| Feb 7, 2026 | Fix effective — corrected margins applied |
| Feb 1-7, 2026 | Automatic refund/credit processing window |
| March 1, 2026 | Public price list reflects corrected values |

Questions or Unrelated Issues?

Partners experiencing other pricing or margin discrepancies (not related to these specific bundles) should:

- Contact their standard support channel, or
- Submit a support ticket via the Partner Center Support page

Key Takeaways

✅ Issue identified and being corrected — Microsoft caught the error quickly

✅ Automatic remediation — No partner action required

✅ Full transparency — Clear communication and timeline provided

✅ Financial protection — Affected transactions will receive refunds/credits

Microsoft's proactive response demonstrates their commitment to partner success and fair pricing practices in the CSP program.

Source: Microsoft Partner Center Announcements — February 6, 2026