SQL Server 2016 End of Support: What It Means For Your Business & ERP

November 6, 2026

This guide includes insights from GraVoc’s Vice President of Business Development, Dan Johnson.

SQL Server 2016 reached end of support on July 14, 2026. This means that if you are still running it, you will no longer receive security patches unless you purchase Extended Security Updates (ESUs).

However, as our VP of Business Development, Daniel Johnson, says, ESUs are not a permanent solution. They are meant to act as a short-term security bridge while you transition to a more current SQL Server version, move to Azure, or upgrade to a cloud-based ERP system.

A lot of the businesses we talk to don’t want to stay on unsupported SQL versions, and are exploring next steps. What that looks like for each business depends on their specific timeline and systems. If you run a Microsoft Dynamics ERP, it’s also more complicated, because the database and the ERP usually have to be upgraded together.

In this blog post, we go over what SQL Server 2016 end of life means and what you should do next, including if you are running a Microsoft Dynamics ERP system that is powered by SQL Server 2016.

Key takeaways

  • SQL Server 2016 still works, but as of July 14, 2026, it has reached the end of support. This means it’s no longer patched or supported by default.
  • Your options are to upgrade, rehost in Azure, or buy ESUs.
  • ESUs only buy time; they are not a long-term solution or meant to act as a replacement for an upgrade or migration.
  • For Dynamics ERP users, SQL and the ERP usually have to move together. You can’t upgrade one without the other.
  • The right path depends on your business, so start with a deep look at your environment and long-term plans.

What SQL Server 2016 end of support actually means

Microsoft supported SQL Server 2016 for about 10 years: five years of mainstream support, followed by five years of extended support that covered security updates. On July 14, 2026, SQL Server 2016 reached the end of extended support. While your applications and reports will continue to run, end of support creates security and compliance challenges.

Here’s what end of support means:

  • No more security patches: New vulnerabilities stay unresolved unless you pay for ESUs.
  • No bug fixes or updates: Whatever technical issues exist today will remain unchecked.
  • No Microsoft support: If something breaks, you cannot rely on Microsoft for troubleshooting.

Running unsupported software comes with many security and compliance challenges. Microsoft has noted that automated attacks make unsupported systems more exposed the longer they run. Compliance reviews and cyber insurance questionnaires will also flag end-of-life software. Dan also highlights software compatibility concerns, “With SQL 2016 already being a decade old, applications are going to stop being compatible with it at some point.”

Your options

There’s no single right answer. According to Dan, “It’s very case-specific depending on the customer and their needs.” Here’s what you can do next as you plan a move away from SQL Server 2016.

01

Upgrade to a current version of SQL Server

Moving to SQL Server 2022 or 2025 puts you back on support with years of runway. SQL Server 2022 is supported through January 2033, and SQL Server 2025 through January 2036. This option works best when your applications are compatible with the newer version.

02

Rehost on Azure virtual machines

This moves your existing SQL Server 2016 environment into Azure largely as it is. It’s still essentially an on-premises setup, just running in Azure. It’s a viable option to stay protected without rebuilding everything right away.

03

Buy ESUs

ESUs provide critical security patches for up to three years after end of support. They don’t include new features, non-security bug fixes, or design changes. Only Enterprise and Standard editions qualify. Dan calls ESUs “a band-aid,” but he also notes that “for some companies, all they need to do is buy themselves some time before they replace SQL Server 2016.”

What SQL Server 2016 end of support means for Microsoft Dynamics ERP users

This is where it gets more complicated. If you run Dynamics GP, SL, NAV or AX on SQL Server 2016, upgrading the database on its own usually isn’t an option.

“You can’t just upgrade SQL without upgrading the whole ERP, because there isn’t forward compatibility between the ERP and SQL,” Dan explains. “It’s sort of an all-or-nothing project.”

Older ERP versions are certified to run on specific versions of SQL Server and Windows Server. For instance, Dynamics AX is out of support and the final version of the product, Dynamics AX 2012 R3, is only compatible with SQL Server 2016. Microsoft does not support running Dynamics AX on newer versions of SQL Server.

At the same time, most companies don’t want to leave unsupported software on their network. That leaves Microsoft Dynamics users with three potential options:

 

  • Upgrade to a current version of your ERP: Moving to a supported release of your current Dynamics system lets you upgrade SQL Server along with it. This lets you keep the system your team knows and get back on a supported version of SQL Server. This works best if the ERP is still on an active release cycle. For instance, Dynamics GP 18.9 and later support SQL 2025 and SQL 2022.
  • Rehost your SQL Server 2016 environment in Azure: You move your existing ERP and database into Azure largely as they are. That keeps your current system running while you plan your next step.
  • Migrate to a cloud ERP: You move off the legacy system completely, to a cloud-based Microsoft Dynamics 365 ERP system like Dynamics 365 Business Central or Dynamics 365 Finance & Supply Chain. It’s the biggest project of the three, but it gets you off the support-deadline cycle. If you’re on a Microsoft Dynamics ERP, Microsoft’s Bridge to Cloud 3 program offers eligible customers 30% off Dynamics 365 licenses for three years, and the promotion ends December 2027.

Here’s how to decide what’s right for you

Start with a few questions:

  • What’s running on SQL Server 2016? Make a list of every instance and the application it supports.
  • How long do you plan to keep your current ERP? If you plan to replace it in the next year or two, ESUs or Azure rehosting may be enough. If you plan to keep it longer, upgrading probably makes more sense.
  • What can your budget handle and when? An ERP upgrade and a cloud migration require different investments of time and resources.
  • What do your compliance and insurance requirements expect? Unsupported software will soon become a problem.

Still on SQL Server 2016? Let’s find the right path forward.

Upgrade, rehost in Azure, or migrate: the right answer depends on your systems, budget, and timeline. GraVoc will review your environment and show you which path makes sense. Talk to our team.