Microsoft is encouraging organizations running legacy on-premises ERP systems—Dynamics NAV, Dynamics GP and Dynamics SL—to evaluate their long-term migration strategies, with Dynamics 365 Business Central positioned as a modern cloud ERP option. In its July 28, 2026 announcement, Microsoft highlighted changes to product availability and licensing, alongside opportunities to modernize operations, adopt AI capabilities and reduce infrastructure complexity.

• Dynamics NAV: Extended support is scheduled to end in January 2028. Microsoft says annual service plan coverage, renewals of certain subscription licenses and purchases of additional perpetual users will end on April 30, 2031.
• Dynamics GP: New customer subscription licensing ended on April 1, 2026. Product enhancements, regulatory updates and technical support are scheduled to end on December 31, 2029, with security updates continuing until April 30, 2031.
• Dynamics SL: Extended support is scheduled to end on July 11, 2028, with specified licensing and service-plan changes taking effect on January 15, 2030.
• Business Central migration: Microsoft recommends assessing customizations, integrations, reporting, data quality, security and business processes before selecting a migration approach.
• AI and cloud modernization: Business Central offers cloud updates, integration with Microsoft 365 and Power Platform, and AI-enabled capabilities to support connected business workflows.

Microsoft Encourages Dynamics NAV, GP and SL Users to Plan Their ERP Migration

Microsoft Dynamics NAV, GP and SL have supported finance, inventory, operations and project management for many years. However, organizations increasingly need more flexible infrastructure, connected data, stronger security and access to evolving cloud and AI capabilities.

Microsoft’s latest guidance encourages customers to begin evaluating their ERP roadmaps before key product lifecycle and licensing milestones create additional constraints.

Why Microsoft Is Promoting Business Central

Dynamics 365 Business Central provides finance, inventory, sales, purchasing, manufacturing, service and project-management functionality on a connected cloud ERP platform. Microsoft highlights several potential benefits for organizations considering migration:

• Modernized operations: Connect core business processes and improve visibility across departments.
• AI and automation: Use built-in AI capabilities and the wider Microsoft ecosystem to reduce repetitive work.
• Continuous updates: Receive ongoing product improvements without relying exclusively on large, periodic upgrade projects.
• Connected workflows: Integrate ERP processes with Microsoft 365, Teams, Outlook, Power Platform and Azure.
• Reduced infrastructure burden: Reduce the work involved in maintaining on-premises infrastructure, backups, patches and upgrades.

What Businesses Should Do Before Migrating

Microsoft recommends working with a Microsoft partner to assess the existing environment and determine the right migration strategy. A structured assessment should cover:

1. Current ERP version, database and infrastructure.
2. Customizations, third-party extensions and integrations.
3. Historical data, reporting requirements and data quality.
4. Business-process gaps and opportunities for automation.
5. User training, security, testing and cutover planning.

Depending on the source system and its customizations, migration may involve transferring data and compatible functionality, converting custom code, or implementing Business Central with selected essential business data. The appropriate route depends on the customer’s technical environment and business requirements.

What This Means for Dynamics Partners and Customers

For businesses still operating NAV, GP or SL, the immediate priority is not necessarily to migrate overnight. It is to understand the relevant support and licensing milestones, assess technical dependencies, estimate migration effort and build a realistic modernization roadmap.

For Microsoft partners, this creates an opportunity to engage customers through ERP health checks, customization assessments, data-migration planning and Business Central fit-gap workshops.

The key takeaway: Early planning gives businesses more time to evaluate options, manage migration risk and prepare for a transition that aligns with their operational goals.