In-depth look at Microsoft Fabric licenses: Maximizing value from your investment

May 13, 2024

Microsoft Fabric offers a powerful platform for data management and visualization, but understanding the licenses is essential to fully leverage its capabilities. Let’s delve into the various aspects of Microsoft Fabric licenses in detail, including SKU types and recommended approaches for license management.

SKU types for Microsoft Fabric

Microsoft Fabric operates with various SKU’s (Stock Keeping Units), which vary in computing power and functionality. The two main SKU types are:

  • Azure-SKU’s (F-SKU’s): These provide flexible capacity based on usage, without long-term contracts. Customers are billed per second without any commitment. This makes Azure-SKU’s ideal for organizations needing scalability and flexibility.
  • Microsoft 365-SKU’s (P-SKU’s): These support Microsoft Fabric within various Power BI subscriptions. They are billed monthly or annually with a monthly commitment. It’s important to note that not all Power BI subscriptions support Microsoft Fabric. Power BI A- and EM-SKU’s do not support Microsoft Fabric.

Choosing the right SKU depends on factors such as the size of your organization, required capacity, and budget.

Purchasing licenses


To purchase Azure-SKU’s, you need the appropriate authorizations within an Azure subscription, such as a Subscription Owner or Contributor role. Select the desired capacity, configure the settings, and confirm the purchase.

User licenses:

In addition to capacity licenses, Microsoft Fabric also offers user licenses, ranging from free to Premium per user (PPU). Choose the right license based on the user’s needs and desired functionality.

Transition plan for Power BI Premium Capacity

With the introduction of Microsoft Fabric, Microsoft announces the end of life for Power BI Premium capacity SKUs. Depending on your existing agreement, this will affect different customers in various ways:

  • New customers: After July 1, 2024, new customers cannot purchase Power BI Premium per capacity anymore.
  • Existing customers without EA: Customers without an Enterprise Agreement (EA) can renew their Power BI Premium capacity subscriptions until January 1, 2025, after which they must transition to Microsoft Fabric.
  • Customers with an existing EA: Customers with an existing EA can renew their Power BI Premium capacity annually until the end of their EA agreement. After January 1, 2025, they must transition to Microsoft Fabric.

Contact us for expert advice

The world of licenses can be complex, but our team of dedicated experts is ready to guide you. We offer personalized advice to ensure that your Microsoft Fabric licenses align perfectly with the needs of your organization. Contact us today and discover how we can support your organization in achieving its goals.