Did you know that to run a Power Apps code app, each end user needs a premium entitlement?.

Most makers know this and assign a Power Apps Premium license to every user. That works. Many do not know that Pay-as-you-go is also a valid option. In this post lets look at both.

Why a Premium Entitlement Is Needed

  • Code apps use premium platform features by default.
  • That includes Microsoft Entra authentication, Dataverse, and premium connectors.
  • A free or Microsoft 365 license does not cover these.
  • So every user who runs the app needs premium coverage.

Microsoft documents four ways to provide that coverage. The two common ones are below.

Option 1 – Power Apps Premium

This is a prepaid seat you assign to each user.

  • Buy the license and assign it in the Microsoft 365 admin center.
  • The user can run unlimited premium apps in the tenant.
  • Cost is a fixed amount per user, per month.

This fits a known and stable set of daily users.

Option 2 – Pay-as-you-go

With Pay-as-you-go, you link the environment to an Azure subscription. Usage is billed to Azure instead of a prepaid seat.

  • Users without a premium license can run the code app.
  • Billing is per unique active user, per app, per month.
  • There is no upfront seat purchase and no license commitment.

Pay-as-you-go removes the need of prepaid license. Each active user still generates a metered charge on Azure.

When Pay-as-you-go Fits

  • A large audience with infrequent or unpredictable use.
  • A pilot where you want to measure adoption before buying seats.
  • An app shared broadly where only a few users open it each month.

In these cases you pay only for the users who open the app.

How to Enable It

You enable Pay-as-you-go by creating a billing plan and linking an environment to Azure. I covered the full setup in an earlier post.

Quick Comparison

SettingPower Apps PremiumPay-as-you-go
Prepaid seat per userYesNo
How you payFixed monthly, per userAzure meter, per active user per app
Best forStable daily usersInfrequent or unknown usage
Upfront commitmentYesNo

Summary

Both options give code app users the premium access they need. Power Apps Premium is the prepaid seat per user. Pay-as-you-go bills actual usage through Azure.

🙂

Leave a Reply