Important Update: Partner Margin Correction Now Underway

Microsoft has issued a critical correction to partner margins for Microsoft 365 Business Basic + Microsoft 365 Copilot Business bundles. If you're a CSP partner, this announcement directly impacts your pricing and revenue calculations.

The issue: Partner margins for these bundled offerings were inadvertently published at 0%, resulting in incorrect Enterprise Resource Planning (ERP) prices being displayed in Partner Center's price list. Microsoft has identified the error and is actively correcting it with credits and refunds for affected transactions.

What Happened?

On February 6, 2026, Microsoft discovered that the published partner margins for two Microsoft 365 Business + Copilot bundles were incorrect. These SKUs were showing 0% margins instead of their actual rates, which caused downstream pricing errors in partner systems.

The affected bundles are:

- Microsoft 365 Business Basic (No Teams) + Microsoft 365 Copilot Business: Correct margin is 11.73% - Microsoft 365 Business Basic + Microsoft 365 Copilot Business: Correct margin is 12.22%

Impact Timeline

Here's what's happening and when:

- February 7, 2026: Updated partner margin values and ERP pricing published
- February 1–7, 2026: Automatic refunds or credits processing for impacted subscriptions
- March 1, 2026: Public price list updated to reflect corrected pricing
- Ongoing: New purchases and renewals use corrected margins

What You Need to Know

No action required from partners. Microsoft is handling this automatically by:

  1. Identifying all impacted subscriptions from the affected period (February 1–7, 2026)
  2. Issuing automatic refunds or credits for eligible transactions
  3. Applying corrected margins to all new purchases and renewals starting February 7
  4. Providing follow-up communication to impacted partners

Questions or Discrepancies?

If you experience other pricing or margin issues unrelated to this correction, contact your standard support channel or submit a support ticket via the Partner Center Support page.

Global Availability

This correction applies to all markets where these bundles are available, ensuring consistent pricing across your global operations.

Why This Matters

Accurate partner margins are fundamental to profitable pricing and accurate deal forecasting. This correction ensures that your internal margin calculations, customer pricing, and revenue projections reflect the true economics of these Microsoft 365 + Copilot bundles.

If you've already priced deals with customers based on the incorrect 0% margin, Microsoft's automatic refund process will help you recover losses from transactions during the affected period.

TL;DR

- The issue: Partner margins for Microsoft 365 Business Basic + Copilot Business bundles were published at 0% instead of correct rates (11.73% and 12.22%)
- When it happened: February 1–7, 2026 (impacted transactions)
- What Microsoft is doing: Automatically issuing refunds/credits and correcting all future pricing
- Your action: No action needed—Microsoft handles everything automatically
- When corrected: Margins updated February 7, public price list updated March 1, 2026