PowerApps Pay as you Go (PAYG) in Azure

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Power Apps has always been licensed on a per user or per app basis but now it is also available under the Pay as you go (PAYG) model. Microsoft see this as a way to help organisations innovate faster with less wasted spend as it doesn’t require licenses to be allocated to specific users.

How it works

You connect the apps environment to an Azure subscription and then pay for usage via 3 meters:

Power Apps per app PAYG

Pay when a user runs an app – rather than the existing model of allocating licenses beforehand and seeing them consumed based on apps being shared rather than run.

An active user is someone who opens an app/portal at least once a month – usage by users licensed on a per user basis is not included. Cost is $10 per active user per app per month.

Here’s an example from Microsoft:

Example of three apps enabled for pay-as-you-go

Dataverse PAYG

These are split between:

  • Database storage
  • File storage
  • Log storage (only used if auditing is turned on)

and you get 1GB of database storage and 1Gb of log storage included with each linked environment.

Use over the free amount is charged at:

  • Database – $48 per GB per month
  • File – $2.40 per GB per month
  • Log – $12 per GB per month

Microsoft example:

Measured usage above per environment entitlements

Power Platform Requests PAYG

This is the new name for API calls and, as standard, you get 6.000 API calls per user per app per day – Microsoft believe this will be enough for most users. If it isn’t, any additional API calls are charged at $0.00004 per request per day.

Example from Microsoft:


Note that the request example includes both Power Apps and Power Automate.

Where it makes sense, organisations can use both the per user and PAYG models simultaneously.

Cost Management

These new meters will be available within Azure Cost Management, meaning costs can be tracked, budgets can be set, and resources can be tagged. For some organisations, particularly those where FinOps is stronger than ITAM, this new approach may yield better results.

Further Reading

Microsoft announcement

Microsoft Docs

Microsoft Product Terms: November 2021

The November 2021 Microsoft Product Terms contains quite a few updates!

Microsoft Managed Desktop

As an offering, it’s been available for a while as a bit of a hidden secret almost but now it’s in the Product Terms.

Microsoft Viva

A few additions here:

  • Microsoft Viva
  • Viva Learning
  • Viva with Glint* add-on added

which rounds out the Viva line-up in the Product Terms (I think!):

*Glint is a 3rd-party product that sits in a similar, complementary area – see more here.

Defender products

Another addition to the Defender line up as:

“Microsoft Cloud App Security (MCAS)” is renamed to “Microsoft Defender for Cloud Apps”

I’m not 100% sure I agree with this name change as I feel it downplays the capabilities of MCAS as a Cloud Access Security Broker (CASB) for a start.

Additionally, Microsoft Defender for Endpoint Plan 1 has been added (see more here) and the existing version renamed to Plan 2.

Following on from the above, a new product has appeared…

App Governance add-on for “Microsoft Defender for Cloud Apps”

This is a “security & policy management” product for OAuth-enabled apps that access Microsoft 365 data via the Microsoft Graph and aims to help organisations govern, detect, and remediate 3rd-party access to corporate data in Microsoft 365.

The integration of app governance with Azure AD and Microsoft Cloud App Security.

See more from Microsoft on this here.

Power Apps

A new “Power Apps per User” 2000 seat minimum SKU has been added – clearly Microsoft are seeing/expecting large scale rollouts of PowerApps…especially after its 202% year-on-year growth in Q1!

Productivity Servers

It was revealed a while back that the next releases of the Productivity Servers (Exchange/SharePoint/Lync), as well as Project, would be subscription only and now some of them have arrived in the Product Terms.

Just Project and SharePoint have been added currently but I’d imagine the same rules will apply to the other products. They are now officially known as:

  • Project Server Subscription Edition
  • SharePoint Server Subscription Edition

and active Software Assurance (SA) is required to run the latest “Subscription edition”. However, should SA lapse, you receive perpetual rights to run the 2019 version.

Microsoft Clouds

Two previously announced Microsoft Cloud products:

“Financial Services”


have been added, as add-ons, to the Product Terms. They can be added on top of the following licenses:

Financial Services

  • Microsoft 365 E3/E5
  • Microsoft Project
  • Power Apps/Power Automate/PowerBI
  • Dynamics 365 Customer Service Enterprise
  • Dynamics 365 Digital Messaging
  • Dynamics 365 Customer Insights
  • Dynamics 365 Sales Enterprise
  • Dynamics 365 Customer Voice


  • Office 365 E3/E5
  • Microsoft 365 E3/E5
  • LinkedIn Sales Navigator
  • Power Apps/Power Automate/Power BI
  • Dynamics 365 Sales Enterprise
  • Dynamics 365 Marketing
  • Azure App Service

Non-Profit comes in 3 flavours:

  • Basic
  • Plan 1
    • Available to orgs with up to, and including, 250 total employees
  • Plan 2
    • Available to orgs with 251+ total employees

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