When free stops being free – Microsoft’s Ads for Social Impact closure is a wake-up call for non profits

This program, which offered valuable free ad credits, has been an important tool for organisations looking to amplify their mission and reach vital audiences on the Microsoft Advertising platform, a platform with users who skew towards a more ‘traditional’ charitable giver (I always think of my Dad, someone who doesn’t know how to switch his default browser away from Edge and search engine away from Bing!)

While Microsoft will continue to offer discounted services through its broader Tech for Social Impact initiatives, the cessation of this specific ad grant is undoubtedly a blow.

The financial pitfall: a warning 

For all nonprofits currently using the grant, the single most critical action is to manage your account now to prevent unexpected charges.

The program is set to officially conclude in December 2025, with final grant funds needing to be spent shortly after. If your campaigns are not paused or end-dated, the account will automatically start charging the linked payment method (credit card or bank account) once the grant funds expire. This transition is scheduled to happen as early as January 1, 2026.

Action: Ensure all campaigns have definitive end dates set, or put a reminder in your calendar for early December 2025 to manually pause them. 

The ghost account risk

This closure also highlights a perennial issue in the nonprofit world: digital account oversight. There are numerous clients I’ve worked with over the years who weren't even aware they have active Google Grants accounts, often because staff have left the business, or the program was set up years ago and forgotten.

The same risk applies here. Nonprofits need to do a thorough audit: just check you haven't got a Microsoft Ads account that's currently spending grant credit which will suddenly become chargeable. Ensure account ownership is clearly documented and that someone is responsible for managing the closure and payment details.

The worrying trend: AI vs. impact

This decision by Microsoft, a company valued at over $3 trillion and the world's third most valuable company by market cap, is incredibly disappointing. Cutting funding to a successful non-profit program, especially one that generates goodwill and measurable impact, sends a regrettable signal.

This move appears to be part of a worrying trend that we are seeing across the big-tech landscape. As companies like Microsoft throw as much cash into the AI "bin-fire" as possible - they are seemingly having to pull money from other budget lines, including those dedicated to social impact. Nonprofits are unfortunately bearing the cost of this dramatic shift in corporate spending priorities.

While we understand the evolving nature of corporate philanthropy and technology, sacrificing proven social good programs for the sake of an aggressive AI pivot is a difficult pill for the nonprofit community to swallow. It reinforces the need for nonprofits to diversify their funding and marketing channels and never rely too heavily on the benevolence of tech giants.

The silver lining

It may not all be bad news - whilst the free credit will end in January, you may well have very successful campaigns running in your Microsoft Ads Accounts (actively or passively). If this is the case, it’s a good idea to start conversations now with senior budget holders in regards to replacing grant ad spend with actual spend where there’s the proven propensity for success.

If you’d like us to help you with this review, with your Microsoft Ads strategy, or digital marketing strategy in general, our senior marketing strategists are on hand and happy to have a chat. Drop us a line at hello@manifesto.co.uk