Scroll to Content

Dynamics 365 for Operations

Microsoft Dynamics AX on Azure is rebranded into Microsoft Dynamics 365

AX functionality is an integral part of Microsoft Dynamics 365 Enterprise Edition, designed for companies with more than 250 users. In contrast, the Microsoft Dynamics 365 Business Edition (for companies with less than 250 users) and Dynamics 365 for Financials feature NAV functionality. Microsoft is using the Dynamics 365 brand to bring together CRM and ERP functionality - in combination with Office 365, Power BI and other products - to provide a unified experience across business processes.

Dynamics 365 licensing is based on the functions/modules users work with, and simpler, subscription based licensing models.

Tell me more about Dynamics 365

Dynamics 365 for Operations, Dynamics AX7 Availability, Licensing and Support

Dynamics 365 for Operations (previously Dynamics AX7) runs on Azure, and will also be available with new hybrid deployment plans that will not require Azure Stack. There will be no dedicated on-premise version of Dynamics 365 for Operations, any deployments will always feature hybrid capability involving Azure.


Contact SaaSplaza for your Dynamics 365 Demo today!

Dynamics 365 Enterprise Edition Licensing - minimum user requirements and more:

Dynamics 365 for Operations originally had a minimum 50 Enterprise User license requirement; this requirement has lowered to a minimum of 20 Enterprise User licensed users. Every internal user who directly or indirectly accesses the AX service must purchase an AX User Subscription License (SL). The minimum requirement can be comprised of 20 Enterprise User SLs and/or the equivalent Device SLs. It takes 2.5 Device SLs to equal 1 Enterprise User SL. For example, a customer could meet the minimum requirement with 10 Enterprise User SLs and 25 Device SLs. User SLs are assigned to named users so they cannot be shared - but an individual with a User SL may access the service through multiple devices. Device SLs are assigned to individual devices. Under this SL any number of users can use the licensed device without the need for a separate User SL. The User and Device SL grants users non-perpetual rights (with no buy-out rights) to the use of the Dynamics 365 service. User SL types are: Self Serve User, Task User and Enterprise User.

New Subscription License types
With the new Dynamics 365 Enterprise and Business Editions suites being released, new User SLs are introduced as well. The previous AX2012 CALs (Client Access Licenses) were Enterprise, Functional, Task and Self Serve. But with Dynamics 365 it’s either the full Dynamics 365 for Operations (Enterprise and Functional) or light Dynamics 365 Team Member (Task and Self Serve) User SL. This is to simplify the licensing models, so no more hassle with figuring out which CAL is needed.

Internal and External Dynamics 365 users

Every internal user who will use Dynamics 365 service must be licensed. Use by external (third party) users is included with the subscription and does not require a SL, unless these users are accessing the Dynamics 365 client applications and graphical user interface (GUI). For example, external users can be end-customers of the Dynamics 365 customer who use Dynamics 365 to manage their accounts and orders. External users are not employees, onsite contractors, agents or vendors of the customer or it’s affiliates.


Multiplexing is possible with Dynamics 365 and might reduce the number of devices or users that directly access or use the Dynamics 365 applications. Multiplexing does not reduce the number of User SLs required to access the Dynamics 365 service. Any user or device that accesses the Dynamics 365 service must be properly licensed.

Dynamics 365 or AX2012?

Purchasing User SLs for Dynamics 365 provides Dual Use Rights access to AX 2012 R3 Licensing CALs (Client Access Licenses).

Dynamics 365 Pricing

Providing accurate costs for AX can be a complex calculation, depending on your requirements. To provide accurate information, so you can understand and compare the costs of set up, deployment, recurring per-user-per-month charges and any additional extended monthly support plans for Dynamics 365 or AX 2012 demo, sandbox, development, test, user acceptance and production environments please use our Get a Quote form for AX.

AX 2012 R3 Support Extended

Microsoft will support AX 2012 R3 till October 2021 (mainstream support end date). The extended support end date for Dynamics AX 2012 R3 is set to 2023. 

If you're interested in Microsoft Dynamics AX as a Microsoft Partner or AX customer please contact us so we can discuss your AX requirements!

Dynamics 365 on Azure


Running on Microsoft Azure
Managed and supported by SaaSplaza as a Direct or Indirect Microsoft CSP
99.5% uptime + 24/7/365 support from SaaSplaza
No access to VM or SQL layer
Limited customisations, integrations & ISV support currently
20 Enterprise user license minimum requirement
LCS upgrade cycle enforcement

Dynamics 365 Hybrid


AVAILABLE: 2017/18
No limits on ISV integration or customisation (as with AX2012)
Microsoft Azure + On-premise datacenter hybrid model
Hybrid Cloud with Microsoft Azure

Contact SaaSplaza to get your Dynamics 365 for Operations demo!

What's up with the NEW Microsoft Dynamics 365 for Operations?

So, the currently available version of Dynamics 365 for Operations is a Public Cloud version, using shared infrastructure on Microsoft Azure. 

According to analysts, Public Cloud deployments represent 2% of the ERP market and approximately 30% or more of the overall ERP market will deploy on Private Cloud/Dedicated Resources. The rest of the market is to be shared between on-premise deployments and Remote Access deployments. Private Cloud deployments dominate the picture because, typically, ERP systems need to customise (for example with industry specific solutions) and integrate with other business systems.

With a Private Cloud / SIngle Tenant / Dedicated Resources deployment there are no restrictions on customisations and integrations.

Compare this to most Public Cloud / Multi-Tenant / Shared Resources deployments, where your options for integrating and customising your ERP are limited.

Dynamics 365 provides a solution that distributes the new AX software, and is suitable for basic environments, with limited customisation and integration requirements. This is due to the upgrade requirements of Public Cloud Dynamics 365. For example, the enforced 3 monthly upgrade cycle may affect some customer customisations and integrations.

Public Cloud deployments of AX, after approval by Microsoft, will be handled by Microsoft LCS deployment services and support will be managed by Microsoft (similar to the previous CRM Online support model). It's worth looking closely at the current Microsoft support options and costs if you are considering Dynamics 365 for Operations. Furthermore, Dynamics 365 currently offers limited monitoring options and support compared to the options available today, for example with AX 2012.

Another option with Public Cloud Dynamics 365 is to develop test and development environments, to later move on to a more customised production environment on Private Cloud or using dedicated resources on Microsoft Azure (a Private Cloud on Public Cloud). Private Cloud can be configured on Azure with SaaSplaza. It will have the full customisation, integration and support options as you are used to today, with our competitive per user pricing. This is the market that SaaSplaza has traditionally focussed on, and allows partners to fully exercise their unique expertise. Our expertise is in architecting, deploying, supporting and managing complex enterprise AX implementations – to make it easy for partners and customers.

SaaSplaza always advises customers and partners to deploy test and/or development environments with if required. Before moving to a production scenario, customers can compare deployment options of Dynamics 365 with full knowledge of the capabilities of all versions of the product, and know when they are available.

If you have more questions about the different options of Public and Private Cloud for the Microsoft Dynamics 365, feel free to contact us.

Contact SaaSplaza for more information on Dynamics 365 for Operations