Britain’s shock vote on June 23 triggered the biggest one-day fall in sterling against the dollar and the pound is now down 18 percent against the U.S. currency, prompting computer makers such as Apple, Dell and others to increase prices in Britain.

Microsoft said it would increase prices for its enterprise software by 13 percent and for its cloud services by 22 percent from Jan. 1 2017, becoming the latest tech company to raise fees in the wake of the vote to leave the European Union. This is going to hit thousands of companies and government departments who rely on its cloud and software products.

We periodically assess the impact of local pricing of our products and services to ensure there is reasonable alignment across the region and this change is an outcome of this assessment – MICROSOFT

microsoft

 

Karen Marlatt That is pathetic. They most likely leave profits in the UK when the exchange rate is expected to recover fluctuations anyway. This is a political intrusion

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Artūras Eidukas I think the bank have mentioned that the exchange rate shock that happened will recover but a permanent large shift in the pound will still be there as a long term consequence. Plus you have to remember that the UK is still in the EU so god knows what the heavy uncertainty will do to the pound then.

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Ned Barton Then no doubt we will not bother buying the stuff

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Marc Salomon Sure , normal behavior if the other currency plungs

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Artūras Eidukas Tanya Linux anyone?

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Keith Harris Price fluctuations…..isn’t this what all companies say when something cost $100 over there and £200 here?? So now they will be saying it’s $100 over there but £300 over here….UK buyers have always been shafted over the cost of items, this it now just an excuse for them to charge exactly what they wany and put it down to price fluctuations and Brexit !!!!

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Rob Smith But they said prices wouldn’t rise as that is just scaremongering. Somebody forget to tell Microsoft?

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Mike Russell Well, what did people expect, I wonder…

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Josh Lester and that my friends is why people pirate software! there is no need for the price to increase as you can make unlimted amount of copys of software, its not oil for fuck sake

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Grzegorz Kokowski You live in UK I guess and for stealing software you go to prison. For longer time than murder. Yeah batch.

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Josh Lester Paul Brooks i feel like pirating software in this case is justified, the pound is falling massively so why raise prices? R&D has nothing to do with it as they would raise the price all over the globe

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Andreas Theodorou They are talking about increasing the enterprise cloud services (Azure). Don’t forget MS is a US company and reports back profits in USDs. If pound falls, so will their profits margins. Similar why Apple, Dell, HP, and Lenovo also increased their prices since the referendum. If they don’t increase them, simply, they won’t hit their targets or profit/cost ratios.
PS: As an old book of mine says: Information is cheap to reproduce, but expensive to produce in the first place. Don’t forget software developers are employees with salaries. If you can’t afford it, there are open-source alternatives.

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Leon Tilbrook When the GBP recovers I bet they won’t reduce the prices lol

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Alex Barnfield What makes you think it will recover?

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Liam Thomas Let’s be honest, even before brexit the UK has been paying over the odds on products compared to other countries for years.
Let’s say the pound does recover, do you think for a minute that they will lower the prices again….

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Paul Turner Oh dear. Just have to get a cracked copy.

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It is the beginning of the end for the U.K. economy.

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