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Microsoft / Power Platform

Microsoft Power Platform licensing. The 2026 buyer view.

Power Platform moved to per user and per app subscriptions plus capacity packs for Dataverse, AI Builder, and Power Pages. The licensing detail is where the cost hides. Read the map before the next true up.

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Microsoft Power Platform is licensed through per user and per app subscriptions, with Dataverse, AI Builder, and Power Pages charged as separate capacity packs. The seat price is small. The capacity and request limits decide the real invoice.

Key takeaways

  • Power Platform uses three cost layers: per user seats, premium connectors, and capacity packs.
  • Microsoft 365 includes only seeded Power Platform use, not premium connectors or standalone Dataverse.
  • Power Apps Premium lists around 20 dollars per user per month, before agreement discounts.
  • Dataverse storage and AI Builder credits are the most common sources of surprise cost.
  • Each license carries a daily API request entitlement that heavy flows can exceed.
  • Power Pages now prices by authenticated and anonymous user capacity packs.
  • A clean entitlement map removes premium seats that were never needed.

How is Microsoft Power Platform licensed in 2026?

Power Platform is licensed in three layers that stack. Get the layers wrong and the cost compounds.

The first layer is the per user or per app subscription. The second is premium connectors and Dataverse access. The third is consumption capacity for storage, AI, and portals. Microsoft documents the full model in its pricing and billing guide.

What is seeded versus standalone use?

Seeded use comes free inside Microsoft 365 and Dynamics 365 licenses. It covers standard connectors and apps that stay inside the Microsoft 365 data boundary. The moment a flow touches a premium connector or custom Dataverse table, a standalone license is required.

What standalone licenses exist?

The core standalone seats are Power Apps Premium, Power Automate Premium, and the Power Automate hosted process for unattended automation. Power Pages, AI Builder, and copilots sit on top as capacity. Microsoft lists current rates on the Power Apps pricing page.

What do Power Apps and Power Pages cost per user?

Power Apps Premium lists at roughly 20 dollars per user per month and covers unlimited apps for one user. Power Pages is priced by capacity, not by seat.

Power Platform list price layers at a glance

License or packMetricApproximate listTypical use
Power Apps PremiumPer user per monthAbout 20 dollarsMakers and users of premium apps
Power Automate PremiumPer user per monthAbout 15 dollarsUsers running premium flows
Power Automate hosted processPer bot per monthAbout 150 dollarsUnattended robotic automation
Dataverse capacityPer gigabyte per monthAdd on packStorage beyond the base allocation
AI Builder creditsCapacity packAdd on packDocument and prediction models
Power PagesAuthenticated user packCapacity tierExternal facing portals

How does Power Pages billing work?

Power Pages bills by authenticated and anonymous user capacity packs each month. The model replaced the older login and page view metrics. External traffic must be forecast before a tier is chosen, because anonymous spikes can move the bill quickly.

How are Power Automate and AI capacity priced?

Power Automate Premium lists at roughly 15 dollars per user per month for attended flows. Unattended robotic automation and AI both move to capacity packs.

What does unattended automation cost?

The hosted process for unattended robotic automation lists at roughly 150 dollars per bot per month. It is priced per concurrent automation, not per user. One bot can serve many processes if scheduled well, so concurrency planning is the lever.

How do AI Builder credits draw down?

AI Builder consumes credits from capacity packs. Document processing and prediction models draw credits faster than buyers expect. Microsoft publishes the consumption model and request entitlements in the request limits guide.

Where the common advice on Power Platform licensing is wrong

The standard Microsoft partner pitch is to license every maker and user with Power Apps Premium so nobody hits a wall. We disagree. In the majority of estates we reviewed, premium seats were over assigned by a fifth or more, while the real cost crept in through Dataverse and AI capacity that nobody modeled. The buyer side move is to map who actually needs premium connectors and Dataverse, license those users, and meter capacity against a benchmark before buying packs. Blanket premium licensing is easy to sell and expensive to own, and it hides the consumption cost that actually scales.

Editorial photograph of a finance and IT team reviewing a low code application cost dashboard
Capacity packs for Dataverse and AI Builder, not seat counts, drive most of the unplanned Power Platform spend we see in year two.
30
Power Platform reviews 2024 to 2025
28%
Median premium seats removed
3 of 4
Estates buying capacity at list

Source: Redress Compliance advisory engagement file, 2024 to 2025.

Power Platform is cheap to start and expensive to scale. The seat price is the headline. The capacity packs are the invoice.

What licensing traps catch Power Platform buyers?

Three traps recur in almost every unmanaged Power Platform estate.

  • Premium creep: standard flows quietly add a premium connector and pull the whole app into premium licensing.
  • Capacity surprise: Dataverse and AI capacity is bought reactively at list price after throttling.
  • Request overage: integration heavy flows exceed the daily API entitlement and trigger add on costs.

How does Dataverse storage grow unnoticed?

Dataverse splits into database, file, and log capacity. Audit logs and attachments grow silently. Microsoft details the split in its capacity and storage guide. Set retention rules early or the log capacity becomes a recurring pack purchase.

What buyer side moves cut Power Platform cost?

Five moves recur in every well run Power Platform estate.

Move one. Build an entitlement map

List every app and flow, the connectors it uses, and whether it needs premium. Assign premium seats only to the users who touch premium. This single step removed a fifth or more of premium seats in our reviews.

Move two. Meter capacity before buying packs

Watch Dataverse and AI consumption for a full quarter before committing to packs. Buy to a benchmark, not to a throttling event.

Move three. Fold it into the Microsoft agreement

Power Platform discounts are negotiated inside the wider Microsoft enterprise agreement, not in isolation. Time the ask with the renewal and the Microsoft 365 and Copilot conversation.

Suggested reading

What should a buyer do next?

  1. Export every Power Platform app and flow and the connectors each one uses.
  2. Tag which apps need premium connectors or Dataverse, and which stay seeded.
  3. Reassign premium seats to only the users who touch premium.
  4. Meter Dataverse and AI Builder consumption for a full quarter.
  5. Model request limits against your integration heavy flows.
  6. Benchmark capacity pack pricing before any reactive purchase.
  7. Fold the Power Platform line into the next Microsoft agreement negotiation.
  8. Engage independent advisory before signing the capacity commitment.

Frequently asked questions

Is Power Platform included in Microsoft 365?

Only the seeded version is included in Microsoft 365. Seeded use covers standard connectors and apps inside the Microsoft 365 boundary. Premium connectors, Dataverse, and standalone apps require a separate Power Platform license.

What does Power Apps cost per user in 2026?

Power Apps Premium lists at roughly 20 dollars per user per month. The figure covers unlimited apps and premium connectors for one user. Volume and enterprise agreements move the rate down, so treat the list price as a ceiling.

Do I still need per app plans?

Microsoft retired the older per app plan and consolidated most buyers onto Power Apps Premium. Some legacy per app entitlements remain in older agreements. Check the agreement before assuming a single seat model.

What are Power Platform request limits?

Each license carries a daily API request entitlement. Heavy flows and integrations can exceed the entitlement and trigger throttling or capacity add on purchases. The limits are published by Microsoft and should be modeled before rollout.

How is Dataverse charged?

Dataverse storage is split into database, file, and log capacity. A base allocation comes with qualifying licenses, then capacity packs are sold per gigabyte. Storage growth is the most common source of surprise cost.

Is AI Builder a separate cost?

Yes. AI Builder consumes credits sold in capacity packs. Some seeded credits come with premium licenses. Document automation and prediction models draw the credits down faster than buyers expect.

How is Power Pages priced?

Power Pages is priced by authenticated and anonymous user capacity packs, billed monthly. The model replaced the older portal login and page view metrics. Forecast external traffic before committing to a tier.

What is the single biggest Power Platform cost mistake?

Buying premium seats for every maker and user instead of mapping who actually needs premium connectors and Dataverse. A clean entitlement map typically removes 20 to 35 percent of premium seats in our reviews.

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