It is frequent to hear in previous years that implementing PowerApps development projects using the latest tools of Microsoft like PowerApps is really expensive. Most of the time, this is a blocker not only in SMBs but even in bigger enterprises.
In order to estimate the cost, you will need to know upfront how many are your target users and what are functionalities you required from PowerApps. If you have more users and complex integrations/connections it will be normal that the cost will be higher. On top of that, the expense will be recurring per month.
At Microsoft Ignite 2021, the change in the licensing model was announced. Microsoft heard the request of many IT Pros to reduce and make the licensing flexible.
The new pricing was made available to customers yesterday and when I checked the PowerApps pricing page, I saw the new part called “pay as you go plan” where the price is $10 per active user/app/month. That is way lower than the previous pricing.
This new pricing is reasonable compared to before. I remember when we started learning the PowerApps development, I had to read several pages of the licensing guide created by Microsoft. I'm not a licensing expert so I had to read it several times as some lines are confusing and some parts are a bit risky if translated differently. We even asked some experts and contacted Microsoft support about the different questions we have. For some questions, their answers differ.
In my opinion, the new pricing is reasonable. Organizations will benefit more and will save cash if the usage is lower for some months. In addition to that, I love that Microsoft added a new way to see the consumption that can support the budget requisition and procurement process.
I like the fact that this new pay-as-you-go plan already covers the Microsoft Dataverse capacity and premium connectors! I am looking forward to the announcement for AI Builders and Portals. I hope Microsoft will further reduce the pricing.
