According to Microsoft, versions of Office no longer on mainstream support will be blocked from accessing Microsoft business online services like Onedrive for Business, Skype for Business and Exchange mailboxes hosted on Office 365.
This means that all perpetually-licensed office applications will lose the ability to interact with Microsoft online services by Oct. 13, 2020.
Microsoft explains the change in this blog post.
One thing that should be noted is that this change shouldn’t affect home use; a subscription to Office 365 includes the most current click-to-run versions of Office, making the perpetual license version unneeded.
I’m curious to see how this plays out; Office has been a cash cow for Microsoft for years, trading the enterprise license agreement revenues for Office365 revenues makes sense given the diminishing returns for end users over the years. Many companies lagged behind, as the older versions were good enough.
I presume there may be companies that still want perpetual licenses of Office and on-premise Exchange; those customers will taper off over time as people move to cloud-based services for email and collaboration.