“evolving its cloud storage and collaboration offerings"
That's a good euphemism for, 'further enshittifying our cloud offerings.'
“reflects low customer demand for standalone offerings, increased instances of unintended or nonstandard usage, and higher operational costs associated with maintaining these plans.”
'Low customer demand' is probably because these plans weren't pushed as aggressively as the suites so people missed them.
'Unintended or nonstandard usage' will be people choosing these as it's just cheaper cloud storage, not because of the quality of the service.
'Higher operational costs associated with maintaining these plans.' Nope, it's because MS have identified an area where customers product aren't getting price gouged yet, and that needs remedying.
There's probably also not enough AI rammed into these areas either, so naturally this also needs addressing paying for so just sit back, shut up and enjoy the new offerings. We're doing you a favour mate.