Why has Dataverse storage increased?
Microsoft increased the default Dataverse Database capacities for both Power Platform licences and Dynamics 365 licenses in December 2025, citing AI as a driver for the increase.
In their announcement, Microsoft noted how more customers are using AI within Dynamics 365 and Power Platform, which consequently increases metadata, solution artefacts and contextual data.
Therefore, to meet the needs of customers who felt the traditional storage capacities were insufficient for such workloads, Microsoft have responded by increasing storage – providing a welcome change for many businesses.
Customer Engagement (Dynamics 365 Sales, Customer Service, Field Service, Contact Centre)
Since the 1st of December 2025, Microsoft has increased the tenant level default Dataverse capacity that comes with Customer Engagement licences from 10 GB to 30 GB for database and from 20 GB to 40 GB for file storage. This is a one time default entitlement per tenant.
Power Platform
For Power Apps Premium, the tenant level default Dataverse capacity is now 20 GB database and 40 GB file; for the per app/workload tier (e.g., Power Apps per app), the default is 15 GB database and 20 GB file. As with Customer Engagement, these are one time per tenant defaults determined by your highest tier product.
Please note, however, that the Power Apps per App licences have suddenly been discontinued in the latest Licensing Guide stating: “The Power Apps per App Plan was removed from the January 2026 licensing guide and is no longer available for new purchases.” New purchases will require either Power Apps Premium or Pay-As-You-Go but existing customers will not be impacted and can continue to use and renew their Power Apps per app subscription – you can read more here.