Understanding the New Microsoft Service Update Release Schedule for Dynamics 365 Finance & Supply Chain Management: What You Need to Know for 2024

Your guide to Microsoft’s new D365 service update release schedule. Familiarize yourself with the new release cadence, when it goes into effect. How many updates you can skip and how to get the most out of Microsoft service updates. 

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Aaron Klein


In a significant shift aimed at enhancing user experience and operational efficiency for D365 Finance & Supply Chain users, Microsoft has announced a change in the Microsoft service update frequency for Dynamics 365 Finance and Operations. Starting in 2024, Microsoft will transition from seven to just four service updates annually. This pivotal move is part of Microsoft’s One Version initiative for Dynamics 365, a comprehensive roadmap designed to simplify and streamline the update process for customers.

What You'll Learn in This Post :

To give you a clearer understanding of these changes, this blog post will cover several key aspects:

  1. What is Microsoft D365 One Version? – An overview of Microsoft’s One Version initiative and its importance for Dynamics 365 users.
  2. The New Microsoft D365 One Version Schedule – Specifics on the new update schedule, including rollout months and expected changes.
  3. How the 10.0.38 Release Schedule is Impacted – Insights into how the upcoming 10.0.38 release fits into the new schedule.
  4. Understanding the One Maximum Pause Policy – A look at the new policy on pausing updates and its implications for your organization.
  5. Advantages of Microsoft’s Updated D365 Service Release Schedule – The benefits of the new update schedule for your operations.
  6. Preparing for Microsoft’s D365 One Version Release Schedule – Practical steps to help you prepare for these changes.

By the end of this post, you’ll have a comprehensive understanding of the new update schedule and how to prepare your organization for a smooth transition.

What is Microsoft D365 One Version?

Microsoft’s One Version initiative is designed to keep you consistently updated with the latest versions of Dynamics 365 applications. These include D365 Finance and Supply Chain, Sales, Business Central, etc. This strategy aims to enhance your user experience by minimizing compatibility issues and elevating the overall software quality.

With the Microsoft One Version system, being on the latest version isn’t just advisable; it’s mandatory (although you can pause one update at a time). Consequently, you’ll always have the most current security patches and features at your disposal. This is crucial for protecting your organization against cybersecurity threats and potential data breaches. Additionally, this enables you to get the most out of your software investment and Microsoft Dynamics 365 subscriptions as you are always on the cutting edge utilizing the newest in Microsoft technology, including innovations like the Microsoft AI Copilot.

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The New Microsoft D365 One Version Schedule

Under the new Microsoft One Version Schedule, service updates will be strategically rolled out in February, April, July, and October (although the actual updates come out a few weeks before). These changes will go into effect starting with the 10.0.38 release for Dynamics 365 Finance & Supply Chain Management, which Microsoft is calling a transition release. The 10.0.38 release will be generally available starting 12/22/23, with the earliest mandatory auto-update being 2/2/24. The subsequent “April” release, 10.0.39, will be the first service update released under the new cadence.

The updated Microsoft One Version Update Frequency is designed to give your organization a more predictable and manageable release cycle. Notably, you can now pause only one service update, compared to the previous allowance of three. Consequently, you’re required to implement at least two service updates each year. This requirement ensures that you stay compliant and benefit from the latest feature enhancements and security updates.

Additionally, Microsoft is extending the preview periods and servicing windows for each release. The servicing windows have been expanded from 186 days – 214 days, with improved overlap between releases. These changes offer you a more generous timeframe to work with your Microsoft Dynamics 365 Partner to prepare for each service release date.

Furthermore, each preview period will include one planned update, equipping you and your Managed Services Partner with valuable information well before the official release and streamlining your preparation process for all Microsoft Dynamics 365 License Types.

Learn About D365 10.0.36 Service Update

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How the 10.0.38 Release Schedule is Impacted

Is the 10.0.38 schedule influenced by the new Microsoft One Version Update Frequency?

Absolutely – To serve as a bridge to the new update cadence, several key milestones for version 10.0.38 have been realigned.

Firstly, the preview availability date has been extended. Originally slated for October 13, 2023, it’s now pushed to October 27, 2023. Additionally, a subsequent update to this preview is on the calendar for November 3, 2023.

If you’re enrolled in the First Release program, your auto-updates will arrive a month ahead of the general schedule in December 2023. Moreover, the option for self-updating will also become available earlier than initially planned, specifically on December 22, 2023.

Importantly, there are no alterations to the general availability broadcast dates for auto-updates. Lastly, the servicing window has been lengthened, now spanning from April 12 to August 9, 2024.

Understanding the One Maximum Pause Policy: Microsoft’s New 2024 Service Update Frequency

In 2024, Microsoft will reduce the number of annual updates from the current seven, to four – February, April, July, and October. This is welcome news for many Customers that were constantly in a testing and release cycle for these updates. Microsoft is also reducing the number of updates that can be paused from three to one, so the minimum number of updates per year is unchanged. Every Customer will be required to take at least two updates per year.

These updates are generally available for self-deployment before Microsoft automatically applies them. The timing for the release of packages for self-update relative to production auto-updates does vary. To find out the timing for self-updates and auto-updates for upcoming releases, you can refer to the Targeted Release Schedule, although dates are subject to change.

Live D365 customers have the flexibility to take up to four service updates per year but are required to implement at least two. You can choose to pause one update at a time, and this pause can apply to either the User Acceptance Testing (UAT) sandbox, the production environment, or both. Once the pause window concludes, if you haven’t self-updated to a supported service update, Microsoft will auto-apply the latest update based on your configuration in Dynamics Lifecycle Services.

Important update from Microsoft:

If you are currently running on 10.0.37 or earlier, you will be required to update to 10.0.38 or 10.0.39 by mid-April. This guidance is different from what Microsoft announced late 2023. Previously an environment on 10.0.37 could pause updates until approximately June 2024.

Maximize the Value Every Microsoft Service Update

Contact Avantiio's Managed Services to today to learn how!

Advantages of Microsoft's Updated D365 Service Release Schedule

The revamped release schedule for Microsoft Dynamics 365 brings many advantages but advanced planning is important to avoid potentially challenging update schedules. For Customers that choose to take all four updates in 2024, there is increased flexibility on scheduling and time available for testing.  For Customers that choose to skip an update, it is important to realize that there will be a short time frame with limited flexibility to implement the following update. Avantiico is advising Customers to carefully consider their full year Service Update roadmap before deciding to skip an update.

Secondly, the new schedule reduces the risk of disruptions to your operations. By having a more predictable release cycle, you can better prepare your team and resources, minimizing any potential downtime.

Additionally, you’ll gain access to the latest features and functionalities as they roll out. This ensures that you’re always operating at peak performance and taking advantage of the most recent innovations.

Lastly, the update process itself has been simplified and streamlined. This makes it easier for you to manage updates, reducing the administrative burden and allowing you to focus on more strategic initiatives.

Preparing for Microsoft's D365 One Version Release Schedule

As the new release schedule approaches, preparation is key to a smooth transition. To start, it’s advisable to review the One Version service update FAQ. This resource provides valuable insights into what you can expect, helping you to plan more effectively.

Next, you should map out your update schedule for the year. Knowing when each update is due allows you to allocate resources and time in a more organized manner.

It’s also crucial to test updates in a sandbox environment before deploying them to your production systems. This step provides a safety net, enabling you to identify and resolve any issues before they affect your live operations.

Finally, and arguably most importantly, consider working with a Microsoft Solutions Partner like Avantiico to assist with the update implementation. Expert guidance can be invaluable, especially when navigating new changes. Working with Avantiico’s Managed Services team will ensure that you get the most out of every new Microsoft Service release.

Conclusion: Navigating the Future of Microsoft Service Updates with Confidence

In summary, Microsoft’s new service update release schedule for Dynamics 365, set to commence in 2024, represents a significant shift designed to enhance user experience and operational efficiency. From understanding the One Version initiative to preparing for the new release cadence, it’s crucial to stay informed and proactive to make the most of these changes.

The benefits are clear: a more predictable release cycle, enhanced features, and improved security measures. However, adapting to this new landscape may require some adjustments in your planning and operations. That’s where expert guidance can make all the difference.

If you are interested in specialized assistance to navigate these changes smoothly, consider working with Avantiico’s Managed Services. Our team of experts is well-equipped to help you manage Microsoft service releases effectively, ensuring that you’re always ahead of the curve.

Unlock the Full Potential of Microsoft's New Update Schedule.

Consult with Avantiico's Managed Services to optimize your Dynamics 365 experience.

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