
What Does “Microsoft D365 Licensing UAE” Mean?
When a business in the UAE adopts Microsoft Dynamics 365, “licensing” refers to how you legally access the software modules (like Finance, Sales, or Business Central). Licensing defines who can use what, how much you pay, and how flexible your setup can be. A clear grasp of licensing helps avoid overpaying or running into compliance issues.
License Types & Models to Know
1. Assigned vs Device Licenses
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Assigned (User) License: This license belongs to a specific user and lets them use Dynamics modules across devices.
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Device License: Useful in environments where multiple users share a single device (e.g. shop floor, kiosks). You license the device itself instead of licensing each user.
These and other license types are supported in the UAE.
2. Base & Attach (A La Carte Model)
Dynamics 365 uses a base + attach model in many cases (especially for modules like Business Central or Customer Engagement).
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A user gets a base license for a key module (e.g. Sales or Finance).
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Then additional modules can be added as attach licenses at a lower cost, because the user already holds the base.
This model helps optimize cost when users span multiple roles. In UAE and GCC, partners call this the A La Carte model.
3. Unassigned Licenses & Capacity Licenses
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Some licenses are unassigned, meaning they attach to the tenant (organization) rather than a specific user. These generally give access to shared features or light duties.
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Capacity licenses handle things like storage, computing capacity, or data processing—used when your data usage grows.
Local Pricing & UAE Examples
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In the UAE, service providers like Etisalat list Dynamics 365 licenses beginning around AED 184 per user/month (excluding VAT) for some modules.
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For Business Central, global pricing sits at US $70/user/month for Essentials and US $100 for Premium.
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For Dynamics 365 Finance, the price is around US $210/user/month, with a Premium variant costing more.
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Note: regional pricing, exchange rates, VAT, partner discounts, and contractual terms can shift what you end up paying locally.
Key Licensing Rules & Tips
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Full users vs light users: Assign full licenses only to users who need in-depth functionality. Others might only need “Team Member” or limited access.
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Attach licenses usually cost less than buying multiple full licenses separately.
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Watch contract terms and exit fees—some UAE providers impose penalties for early break or unused months.
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Stay compliant with audits: Microsoft or local partners may check usage vs licensed rights. Overuse or misuse can lead to penalties.
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Reassess annually: As your business grows or changes, license needs shift. Regular reviews help avoid over-licensing.
Why UAE Localization Matters
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UAE has VAT and regulatory rules that your partner should know.
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Local partners understand free zones, main-land business structures, Arabic language settings, and regional support needs.
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Licensing discounts or promotions may be available through UAE partners not visible in global lists.