Goodbye Dynamics 365 Business Edition. Hello Dynamics 365 ‘Tenerife’

By 16th October 2017Company Updates

When Dynamics 365 was announced in 2016, there were to be two versions. The Enterprise edition (which was derived from Dynamics CRM) was positioned for larger companies with potentially more complex requirements, and a Business edition designed and priced for small businesses whose requirements may be simpler and budgets tighter. In the UK, only the Finance & Operations App has been released from Business edition so far, with the remaining Business edition apps due to follow later this year. However, Microsoft have recently announced that Business edition has now been shelved, in name at least. So what does this mean for Dynamics 365 and for small businesses who were anticipating the Business edition release?

The new Dynamics 365 model

Although details are currently thin on the ground, Microsoft have said that Dynamics 365 will now just be one edition, with a series of connected apps, with different price points for each app, depending on business requirements. So if your business is a heavy user of the Sales functionality of Dynamics 365, but only need light Customer Service functionality, you will only pay for what you need. Or, if your business does not require the full functionality of Dynamics 365 for Sales, there will be a lower price point for businesses with less complex requirements. Further information on this new pricing model will be announced by Microsoft in Spring 2018. As soon as we learn of more information ourselves, we will update our website accordingly and make the new pricing available to existing and future clients.

So…what is Dynamics 365 Tenerife?

‘Tenerife’ is Microsoft’s codename for the next iteration of Dynamics 365 for smaller businesses, replacing what was originally going to part of the Business edition apps. It is planned to be an “end-to-end business management cloud solution”, featuring an expansion of the Dynamics 365 Finance & Operations Business edition functionality, combined with the full capabilities of Dynamics NAV.

Which version is right for me and my business?

Obviously, as we await more information on the release of Tenerife and the new pricing model for Dynamics 365, for UK businesses, Dynamics 365 Enterprise edition is the only solution currently available. However, recent announcements have confirmed that lower price points will be available from Spring 2018, enabling smaller business to continue utilising existing functionality.

Once Tenerife has been released, it will be a new option for businesses looking for a full end-to-end solution, including Finance & Operations. For businesses looking for more specialised functionality, Dynamics 365 still remains a great choice, especially with the more attractive pricing on the way for smaller businesses.

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