Power Platform licenses demystified - Basic concepts
Power Platform licenses demystified - Basic concepts
Before we get moving into the core of the subject (licenses), it's valuable that we go through some of the basic concepts that will be referred to in the follow-up posts.
What's an App?
License choice decisions may quite likely be based on the number of apps your users will access. This is why it matters to understand what is an actual app in the Power Platform world.
First and foremost, apps are custom in nature, they are not first-party apps, such as Dynamics Sales.
So, they should be either one of the following Power Apps:
- Model-Driven
- Canvas
- Portal (Power Pages are in preview)
It's also important to note that embedded Canvas Apps don’t count on top of the container app.
Connector types
The type of license required for a Power Automate cloud flow to run, or a Power Apps to be accessed may quite differ based on the type of connectors that they use. Understanding what is a premium connector will help you in that part of the equation.
The different connector types are:
- Standard: mostly the Microsoft 365 ecosystem - Think of SharePoint and Outlook for example
- Premium: beyond the Microsoft 365 ecosystem - Think of Dataverse for example
- Custom: tailored scenarios - When you create your own connector
- On-Premise: using a data gateway - such as when you want to access that good ol’ back office ERP
Multiplexing
To ensure that your solution designs and evaluations consider the right number of licenses required based on the number of actual users, it's important to understand multiplexing concepts for Power Platform and ensure not to fall into a position where you are not compliant.
At a high level:
- Use of hardware or software to pool connections, reroute information, or reduce the number of users that directly access or use one of the Power Platform services
- Import / Export to other systems: if a manual step is involved to process, then multiplexing shouldn’t apply
- The number of tiers doesn’t matter
- All users require adequate licenses
For more details on multiplexing, you can access the following PDF from Microsoft: Multiplexing - Overview | Licensing Brief (there's a section dedicated to Dynamics 365 and Power Platform scenarios)
Watch the following Scottish Summit session from Carl Cookson and Chris Huntingford: Scottish Summit 2022 - Carl Cookson - A Multiplexing Magical Mystery Tour
Request limits
As you'll see in the follow-up posts, based on the license types, a number of request limits will be allocated. Understanding what is being considered a request in Power Platform is an important factor to evaluate.
Request limits concepts:
- A Power Platform Request: various actions translated as API requests
- Power Apps: all requests to connectors and Dataverse
- Power Automate: all requests to connectors, actions (including built-in actions), retries, pagination
- Power Virtual Agents: all calls to Power Automate
- Dataverse: CRUD, assign, and share – for both user-driven and internal system requests
- Exceed: get ready to be throttled down!
Basic concepts Video
As for the other articles of this series, here's a video covering the basic concepts:
Power Platform licenses demystified - What's next?
In the coming weeks, I will split the presentation into specific segments for each of the licenses and plans covered, such as:
- Introduction
- Basic concepts
- Power Apps (Seeded, Per app, Pay as you go, Per user)
- Power Automate (Per user, with attended RPA, per flow, unattended add-on)
- Power Virtual Agents
- Power BI
- Portals (Pages) and more add-ons
Stay tuned!
About me
I'm Éric Sauvé MCT & MVP, aka ZePowerDiver, Power Platform practice lead, solution architect, and consulting service director at XRM Vision. I'm a Power Platform enthusiast and speak in Power Platform and Dynamics CE related conferences.
You can reach me on:
LinkedIn: https://www.linkedin.com/in/zepowerdiver
Twitter: https://twitter.com/ZePowerDiver
Facebook: https://www.facebook.com/ZePowerDiver/
Instagram: https://www.instagram.com/ZePowerDiver/
YouTube: https://www.youtube.com/c/ZePowerDiver
Blogger: https://www.zepowerdiver.com/
Github: https://github.com/ZePowerdiver/
Twitter: https://twitter.com/ZePowerDiver
Facebook: https://www.facebook.com/ZePowerDiver/
Instagram: https://www.instagram.com/ZePowerDiver/
YouTube: https://www.youtube.com/c/ZePowerDiver
Blogger: https://www.zepowerdiver.com/
Github: https://github.com/ZePowerdiver/
Keep on Diving!
Published on:
Learn moreRelated posts
Microsoft 365 & Power Platform Community Call – December 18th, 2025 – Screenshot Summary
Call Highlights SharePoint Quicklinks: Primary PnP Website: https://aka.ms/m365pnp Documentation & Guidance SharePoint Dev Videos Issues...
19 hours ago
Power Platform – December 2025 – Screenshot Summary
Community Call Highlights Quicklinks: Power Platform Community: Power Apps Power Automate Power BI Power Virtual Agents Power Pages M365 Pla...
1 day ago
Power Platform admin center – Review security role descriptions and definitions
We are announcing the ability for admins to view security role information inside the Power Platform admin center. This feature will reach gen...
2 days ago
Microsoft 365 & Power Platform Call (Microsoft Speakers) – December 16th, 2025 – Screenshot Summary
Call Highlights SharePoint Quicklinks: Primary PnP Website: https://aka.ms/m365pnp Documentation & Guidance SharePoint Dev Videos Issues...
2 days ago
How to Protect Your Power Platform Solutions
4 days ago





