Dynamics 365 PSA End of Support: Upgrade to Project Operations (GCC) by March 2027

February 14, 2026 Rachel Kim – Technology Editor Technology

Microsoft has announced the end of support for Dynamics 365 Project Service Automation (PSA) on its U.S. Government cloud (GCC) environment, effective March 31, 2027. The company initially announced the end of support for PSA on commercial cloud environments on March 19, 2024, with that support ending on March 31, 2025, as planned.

The move is part of a broader shift towards Dynamics 365 Project Operations, which Microsoft has positioned as the successor to PSA. Project Operations was first released in October 2020, integrating Dataverse, Dynamics 365 Finance, Dynamics 365 Supply Chain Management, and Microsoft Planner into a single platform for project management.

According to Microsoft, customers currently using PSA on GCC should begin planning their upgrade to Project Operations. The company stated that any support tickets logged for PSA on GCC after March 31, 2027, will be closed with instructions to migrate to Project Operations. No further feature enhancements, updates, or bug fixes will be provided for the PSA application on GCC after that date.

Microsoft is highlighting a range of new features available in Project Operations to incentivize the upgrade, including integration with Planner capabilities on Dataverse for advanced scheduling, project budgeting and time-phased forecasting, date-effective price overrides, revision and activation on quotes, material usage recording, subcontract management, and various contract types including advances, retained-based contracts, and not-to-exceed agreements. The platform also offers task and progress-based billing, multi-customer contract management, and AI-powered experiences through Copilot.

For customers utilizing PSA on GCC High or DoD environments, Microsoft stated a future announcement will be made regarding the availability of Dynamics 365 Project Operations. The company has already made Project Operations available in the U.S. Government cloud (GCC) since December 2025.