Smarter Microsoft licensing: key strategies for M365 and Azure cost control
11th June 2025
Michaela Gray
Blog,
Microsoft’s cloud services are essential to modern business but when it comes to cost control, they can be anything but straightforward.
From overlapping license assignments to misaligned usage, many organizations are overspending without realizing it. Off the back of our recent webinar on Microsoft 365 and Azure optimization, we’re sharing strategic recommendations to help you gain visibility and regain control of your cloud licensing costs.
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Visibility first: understand what’s in play
Before you can cut waste, you need clarity. Many organizations underestimate the complexity of their Microsoft estates, especially in hybrid and remote-first environments.
đź’ˇ Start with a full picture of what licenses are active, what users are assigned, and how services are actually being used.
Learn more about IT asset visibility
Use data to make licensing decisions
Too often, licensing decisions are made based on assumptions or one-size-fits-all templates. But the real savings happen when you align license levels with actual roles and responsibilities.
💡 Leverage reporting tools to identify patterns, eliminate over-provisioning, and assign only what’s needed.
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Keep Azure costs predictable
While Azure’s flexibility is one of its strengths, it also makes overspending easy. Pay-as-you-go resources, orphaned services, and unmanaged growth can all eat into your budget.
đź’ˇ Review cloud usage regularly. Build governance around Reserved Instances, autoscaling, and resource tagging to ensure accountability.
Learn more about license reconciliation
Factor in governance and lifecycle management
Software assets aren’t static. Users leave, departments change, services evolve. Without regular clean-up, inactive licenses and cloud waste accumulate quickly.
đź’ˇ Introduce regular re-harvesting cycles for unused licenses and establish processes for reallocation before renewal dates.
Learn more about software lifecycle management
Think beyond cost: build resilience
Licensing isn’t just about saving money, it’s about reducing risk. Inaccurate license data can lead to non-compliance, audit exposure, and reputational damage.
💡 Build a licensing strategy that prioritizes accuracy, compliance, and agility. It’ll pay off in the long run.
Learn more about IT risk mitigation
Cost optimization isn’t about cutting corners, it’s about making informed decisions.
With the right data and strategy, organizations can take full advantage of Microsoft’s cloud offerings while keeping spend under control.
Alternatively, please email us at [email protected] or call 01904 562200, and one of our specialists will be in touch to discuss your requirements.
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Michaela has worked within the industry for over 11 years, both within sales and marketing. She works closely with the team to support them with all their marketing needs and maintains and promotes the License Dashboard brand.
Michaela Gray
