In this article, we’ll guide you through selecting the right Power Apps licensing plan and help determine if your company already has access to Power Apps through existing Microsoft 365 or Dynamics 365 subscriptions. Let's explore the options and considerations for choosing the most effective plan.
Power Apps – an introduction to the solution
When Microsoft launched Power Apps, it was often described as an "app for making apps." This may sound a bit paradoxical, but upon reflection, it makes a lot of sense. When you enter the service, you have several ways to get started. Using the classic option, "blank," you select the app layout – tablet or smartphone – and a workspace appears. This is where you drag and drop various components and arrange them into a logical whole, like with LEGO bricks.
Additionally, Power Apps is part of the Power Platform family, which includes other services like Power Automate, Power Pages, and Power BI. This allows your application to:
- Contain interactive reports created with Power BI,
- Be linked or trigger workflows built in Power Automate,
- Be integrated with and display data from Dynamics 365 Business Central – all part of a single Microsoft ecosystem.
Do you have Dynamics 365 or Microsoft 365? Then you have Power Apps!
Let’s go back to the early days of Power Apps. Few companies with Microsoft 365 licenses realized that Power Apps was included. Even the most basic business plan, Microsoft 365 Business Basic, included it (and still does). Companies had this tool without knowing it, let alone using it.
Fortunately, awareness has grown. Power Apps is still part of Microsoft 365 and Office 365 plans that include cloud services (excluding Microsoft 365 Apps for business and Apps for enterprise). Therefore, if you have Microsoft 365 Business Standard or Premium, you also have Power Apps. This allows you to both create and use applications.
The same applies to Dynamics 365. Although Power Apps isn’t included in every Dynamics 365 product, it is available in ERP and CRM solutions like Dynamics 365 Sales Enterprise.
The catch? Functionality limits. For Microsoft 365, you can create applications using standard connectors with data sources like Excel, Lists, or SharePoint Online. In Dynamics 365, the limitation is that the app can only be created within the same environment as the Dynamics 365 license.
Thus:
- If your app works within the Microsoft 365 ecosystem (e.g., uses SharePoint lists and Outlook for notifications), the Power Apps included in your Microsoft 365 license is sufficient.
Example: N24 Non-conforming Delivery Registration App does not require a separate Power Apps license. - If you’re enhancing Dynamics 365 Sales capabilities, you likely don’t need an additional Power Apps license.
Standalone plans
You can also purchase Power Apps separately, licensing both app creators and users. This is useful when integrating with third-party solutions or using Dataverse instead of SharePoint as a data source. In such cases, the Power Apps Premium plan covers all requirements. However, for many users, this can be costly. To optimize costs, you can mix licenses – get Power Apps Premium for developers and Power Apps per app for users, reducing costs by up to four times.
Considerations for Power Apps per app plan:
- Limited to 1 app per environment. If you deploy another app, you’ll need more Power Apps per app licenses. For about 4 apps, consider Power Apps Premium for everyone.
- Not strictly per user. Instead, it’s assigned to the environment as an “app pass” (details in Microsoft documentation).
Pay-As-You-Go billing
Another option is pay-as-you-go billing. If users access multiple apps infrequently, this can be cost-effective. The Power Apps per app meter works similarly to the per app plan but is billed through an Azure subscription. You pay only for actual usage.
Example:
- Month 1: 9 unique users across 3 apps → $10 x 9 = $90
- Month 2: No usage (e.g., due to vacations) → $0
Which license to choose? It depends on the App
At first glance, Power Apps licensing may seem complex. However, understanding the basics and the app requirements makes choosing the right licensing model – user-based or consumption-based – straightforward. You might even find that your Microsoft 365 license is enough to digitize and optimize business processes.
If you’re unsure or want to explore cost optimization for your Power Apps scenario, contact us for a free consultation with our advisor.
If you’re considering purchasing or renewing Power Apps licenses, implementing an app, or integrating with Dynamics 365 Business Central, don’t wait – contact us to schedule a free consultation and get the information you need.
