New PowerApps and Flow Licensing coming October 1, 2019

[Pstork1]

If you haven't seen the announcement yet about the Licensing changes that are coming to PowerApps and Flow starting on October 1, 2019 you really need to read the following Blog. This announcement was originally made at Inspire this year, but has undergone a number of significant changes.  Make sure you read this and understand what it means to you and your organization.

https://powerapps.microsoft.com/en-us/blog/new-licensing-options-for-powerapps-and-flow/

[CurtisJohnson89]

Just to add my two cents; 

It makes it really tricky for us to move forward, we have only created canvas apps using SharePoint (thank god), but we were right in the middle of planning a rollout to 800 users with a series of apps using SQL (following the advice to chunk down the apps).

I get that the PowerApps team need to pull in some money and that the O365 licence fee may not cut it if they want to ramp it up to the next level - but to make this feasible for our company it would cost like £5K a month for two apps and £20K a month for unlimited apps - so yeh for that kind of money we could start an in house development team - then we can make our own rules, apps and do whatever we want, so it wouldn't make sense to do this. 

Another thing that strikes me as interesting is that coding and developing in general will get easier and easier as we go forward - with prices like these, it has made me wonder after all the pain and bugs and issues to get PowerApps working the way that I wanted it to (and still be a the mercy of licencing changes), why don't I just pick up coding for real - I am half way there! - sure its way more complicated - I know, but that won't stop people, have you seen VS2019? : ).

In my mind the whole workforce is moving slowly in a direction where coding will be way more common place than it is now, and (in my view) there may be a world where developing the canvas app from scratch is just quicker, cheaper and better. And moves like this where everything just gets expensive - simply nudges people in DIY direction. 

The potential and price-point of powerapps inspired thousands to learn a new skill and spend hours and hours working on issues, creating communities, working together, and helping each other - the pricepoint has now changed, but to me that is a critical part of what allowed all this great stuff to happen, and if that's gone. then it won't be long before something else comes along to take its place. 

@Pstork1  - many Kudos for your solid answers on this post, much respect. 

And Microsoft - you have created awesome products and your approach has been spot on up to this point, I hope that this continues either way this goes down. 

[KeesToor]

Sadly I will have to voice the exact same story as many of you in this growing community...
Our +200 staff department has found great success in working with PowerApps during the past 2 years - As we have found it to be an agile and reliable solution in order to serve a bunch of appreciated "micro wins" in everyone's day-to-day work. Currently, we are using +10 standalone apps, +5 apps embedded in PBI, 18 Active Flow's, and about 5 Connectors (that will become Premium). 

Unfortunately, due to the reveal of the new licensing agreement, we simply can't justify the cost of developing PA's and Flow's any further. And even with the (very confusing) grandfather/seeder program, just the complexity/hassle of keeping track of all the individual different licences needed, in return for creating/using Apps that will slightly improve efficiency, truly defeats the purpose of what we thought PowerApps and Flow's were all about. Thus- Unless MS reconsiders, or at least makes it once again free use for the End-users, our company will not move forward with working in this great platform any longer.

[WLAS_Almighty]

Still does not answer the question if I can bypass the 2-app limit with an Office365 license.

In other words, with an Office365 license it seems that I can create and share as many apps as I want with my business partners (let's say using SharePoint as the underlying database).

Now, to connect to an Azure database, I need to pay $10.00 / user to connect to it. Fine. Let's say I do that. So my 100 users can connect to this Azure database.

But I do not want to be limited to two Apps, I have many more than 2 apps being shared with my users, and I don't want to pay $40.00 / user for that. I am already paying my Office365 license which gives me the right (so I thought) to develop and share as many apps as I want/need. The $10.00 PowerApps license should be just to get to this premium connector.

But if I can pay $5.00 / user to get Office365 and get all the apps developed and shared, then it seems to make no sense in ever needing to pay $40.00 / user for PowerApps.

So is Microsoft saying that only two Apps can connect to a premium connector? In other words, the PowerApps 2-apps license will supersede the Office365 unlimited Apps in PowerApps if connected to a premium connector?

I am starting to wonder if the person who came up with this new license the same who came up with Windows 8.

[JohnP]

The two app limit is of course so they can make more money. Either you purchase another $10 licenses for two more apps or fork over $40 dollar for unlimited - it's a steal! MS got greedy that's all - as the Power Platform gained traction they see an opportunity for payback. In a sense I understand them, but they could have moderated their greed somewhat.

[seanbrogan]

@KeesToor 

Couldn't agree more. I would be happy to pay a significant increase for a 'developer' lecense that our app makers were required to have in order to creatte apps.

But $10 per app per end user is nothing short of rediculous.

[JohnP]

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@Pstork1 wrote:

Most of the D365 plans still include a seeded license that covers the premium features, that hasn't changed.  

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I think most of the people here are on PowerApps and those D365 licenses are truly expensive - it makes the new PowerApps license scam seem like a steal!

[AlexN]

Really not the best move from Microsoft. And it's not just about what and how it will change, but it seems to me that 2 weeks before the changes will be active they still don't know for sure what exactly will be the changes. In every call with a current or potential customer i can only tell them "There are are going to be chances, but I can't exactly tell you which" and looking on the potential impact on the license costs, this is in most cases a point where we just can't sell any more apps atm. And working as a consultant and not being able to tell your customers what the product will cost in TWO weeks, how do you think this makes you look?

[FredericForest]

Here's an article I find quite clear (albeit a bit depressing ^^). Hope this helps.
https://collab365.community/powerapps-licence-changes-in-terms-that-matt-weston-understands/

[LozzieD]

"Trust has to be earned every day" ...

https://www.computerweekly.com/microscope/news/252466957/Nadella-Trust-has-to-be-earned-every-day 

Makes you sick, doesn't it?

Create a blank App, Flow, and the connections you need - then hit "Save as..." as many times as it takes to cover off the next five years and retrain in a trustworthy company's product - whichever comes FIRST.

[Anonymous]

Thanks @Pstork1.  I didn't realize that the PowerApps licenses are still in Dynamics.  I haven't found much info.  But when you say seeded, what exactly am I getting?  Right now, I am using excess Dynamics licenses to get PowerApps Plan 2.  Will Dynamics licenses include the $40/user/month license or will it just give me CDS and Dynamics connectors?