23 years from Stockholm
Migration guide · SendGrid

Migrate from SendGrid to a sender-reputation-first European alternative

On May 27, 2025, Twilio retired the permanent SendGrid free tier. New accounts get a 60-day trial of 100 emails/day, then have to move to Email API Essentials at $14.95-29.95/month or Pro at $89.95+/month. The Twilio acquisition (closed February 2019) reshaped pricing and product direction in ways that pushed many smaller and mid-volume senders to look at alternatives — the dual-subscription model splits Email API from Marketing Campaigns, dedicated IPs sit behind the Pro tier at $30/month per additional IP, overage fees compound on multiple axes, and shared-IP deliverability has become more visible to receivers as Microsoft and Gmail enforcement tightens through 2024-2026. For teams sending 50K-2M emails/month who want EU-jurisdictional routing, dedicated IPs from the first plan, and no Twilio-style pricing churn, here's the honest migration path to Authorize Hosting.

What changed at SendGrid and why teams are moving

Three structural shifts at SendGrid after the Twilio acquisition, and what they mean for senders evaluating alternatives

Twilio's acquisition of SendGrid closed in February 2019 for roughly $3 billion. For the first few years after the acquisition, SendGrid continued to operate much as it had — the permanent free tier remained, the Email API and Marketing Campaigns products stayed broadly stable, and the deliverability infrastructure was treated as the crown jewel. That changed visibly through 2024 and 2025. On May 27, 2025, Twilio retired the permanent free plan, leaving new accounts with a 60-day trial that gives 100 emails/day and then forces a move to paid Email API plans starting at $19.95/month (the dashboard often lists $14.95 for the 40K plan and $29.95 for the 100K plan under the Essentials tier).

The free-tier retirement is the headline event but it's not the only shift. The dual-subscription model splits Email API from Marketing Campaigns — if you need both, you pay for both, and the marketing side starts at $15/month for Basic (which strips out automation) or $60/month for Advanced. Dedicated IPs sit behind the Pro tier at $89.95/month as the entry, with each additional dedicated IP costing $30/month. Overage pricing layers on top: per-email overage fees up to $0.00133/email, $10 per 10K contacts in storage overages, and email validation credits as a separate add-on ($18-$800/month depending on volume). The total bill for a mid-market team running both transactional and marketing through SendGrid in 2026 routinely lands at $300-$1,500/month even before high-volume considerations.

The deliverability picture also evolved. SendGrid handles more than 200 billion emails/month across all customers, which means the shared-IP pools used on Essentials and lower Pro plans carry significant volume from heterogeneous senders. The Microsoft Outlook enforcement layer added May 5, 2025, with the 550 5.7.515 permanent rejection for senders that don't meet authentication or reputation thresholds, made shared-IP placement at Microsoft tougher specifically; senders that had been comfortably on shared infrastructure started seeing inbox-rate degradation. Gmail Postmaster Tools v2's binary Pass/Fail Compliance Status (launched October 2025) made the impact visible — a "Fail" on shared infrastructure shows up in your dashboard and you can't fully diagnose because the IP isn't yours.

Teams that are moving off SendGrid in 2025-2026 typically cite some combination of: cost predictability (the Twilio billing flow is harder to forecast than the simpler tier-based pricing of EU competitors), dedicated IP economics (Pro at $89.95 + $30 per additional IP gets expensive quickly when you actually need 5-10 dedicated IPs), regulatory positioning (SendGrid's US ownership and Twilio's US infrastructure don't fit the EU Cloud Sovereignty Framework adopted October 2025), and shared-IP deliverability concerns specifically at Microsoft Outlook. The teams that stay tend to be very high volume (4M+ emails/month where the Premier tier negotiations work) or deeply integrated into Twilio's broader product suite (Twilio Flex, Programmable Voice, Verify) where the unified billing matters.

For teams in the 50K-2M emails/month range with EU customers or EU operations, the math we hear from prospects moving to us looks roughly like: SendGrid Pro at $89.95 + 3-5 additional dedicated IPs at $30 each + Marketing Campaigns Advanced at $60 + email validation add-on at $40 + occasional overage = $300-450/month, often closer to $500-700 once usage spikes. Our equivalent — Email API Pro at €469/month or SMTP Relay Pro at €749/month with all dedicated IPs and managed deliverability included — typically lands at the same price or slightly higher in absolute terms, but with no hidden line items and EU-jurisdictional routing throughout.

Side-by-side comparison

SendGrid versus Authorize Hosting on the dimensions that actually shape the bill and the deliverability

Dimension SendGrid (Twilio) Authorize Hosting
Entry plan (paid) Essentials $14.95-$29.95/mo (40K-100K emails) SMTP Relay Starter €399/mo (Email API €469/mo)
Dedicated IPs included Pro tier only ($89.95/mo+); $30/mo per additional IP 5-30 dedicated IPs included by plan tier
Free tier Retired May 27, 2025. 60-day trial only No free tier; 30-day money-back evaluation
Transactional vs marketing Separate subscriptions required (Email API + Marketing Campaigns) Single platform; per-stream IP isolation included
Overage pricing Up to $0.00133/email overage; $10/10K contacts; email validation $18-$800/mo add-on Soft overages absorbed; hard overages discussed before billing
Jurisdiction US (Twilio, San Francisco); subject to CLOUD Act 2018 EU (Sweden HQ, Stockholm + Frankfurt routing); not subject to CLOUD Act
Schrems II / DPF posture Relies on EU-US Data Privacy Framework; CLOUD Act remains unresolved EU-only routing default; no cross-Atlantic transfer for EU customers
Microsoft Outlook placement (shared IPs) Shared pools see degraded placement post May 5, 2025 enforcement Dedicated IPs from plan entry; no shared-pool contamination risk
Managed deliverability Available at Premier (custom pricing, typically $5K+/mo) Available from €1,200/mo as an add-on; €3,500/mo as a managed practice
Postmaster Tools integration Available; per-IP visibility limited on shared plans Full per-IP visibility in Gmail Postmaster v2, Yahoo CFL, Microsoft SNDS, La Poste
Account-level support Email support on Essentials; 24/7 chat on Pro+; named CSM on Premier Named operator from first plan; EU business hours phone + Slack channel

Pricing data current as of Q1 2026 from public SendGrid/Twilio pricing pages and G2 reviews. The exact comparison shifts month-to-month as SendGrid adjusts package boundaries; this table reflects the structural pattern rather than precise dollar figures, which we'd recommend you re-verify on Twilio's pricing page before a final decision.

The 30-day migration playbook

How a typical SendGrid migration runs — week by week, with no deliverability drop

The standard SendGrid migration is 30 days end-to-end for transactional workloads and 45-60 days for combined transactional + marketing. The single most important architectural commitment is that we run both providers in parallel during the migration — your SendGrid contract stays active, your traffic continues to flow there, and we move incrementally rather than cutting over. This protects the deliverability you've built on SendGrid while we establish reputation on the new infrastructure.

Week 1 — Foundation

DNS preparation and authentication setup

We provision your dedicated IPs and generate fresh DKIM keys under your sending domains. You add the new DKIM records alongside your existing SendGrid records (most domains can have multiple DKIM selectors active simultaneously). SPF gets updated with our include: directive added to your existing record. DMARC stays at whatever policy you currently have — we don't change DMARC during the migration. By end of week, every sending domain has both providers' authentication records published and propagated.

Weeks 2-3 — IP warmup

Gradual ramp on the new dedicated IPs while SendGrid stays primary

We run a controlled warmup on the new IPs: day 1 sends 50 messages, doubling every 2-3 days through a 14-day curve to reach the steady-state daily volume. The warmup traffic is your highest-engagement segment — typically transactional emails to active customers (order confirmations, password resets, account notifications) rather than promotional content. This signals to receivers that the new IPs are sending wanted mail, not bulk. SendGrid continues to handle the bulk of your volume during this period.

Week 3 — Parallel-run validation

10-30% of traffic shifted, deliverability compared in real time

We start routing a measurable percentage of your transactional traffic through us — typically 10-20% via a feature flag in your application or a round-robin at the load balancer level. The dashboards on both providers show the same campaigns side-by-side; bounce rates, complaint rates, and inbox-placement data are compared. If we see any deliverability gap, we tune the warmup curve before increasing the percentage. By end of week 3, most teams are at 30-50% on our infrastructure.

Week 4 — Full cutover

100% traffic on Authorize Hosting, SendGrid as standby

By end of week 4, the new IPs are at steady-state volume, deliverability is matching or exceeding SendGrid baselines, and we shift 100% of traffic over. SendGrid stays as a hot standby for 2-4 more weeks — you don't cancel that contract immediately. If anything goes wrong with the new infrastructure during those weeks (rare, but worth planning for), the application config flag lets us route back to SendGrid in minutes. Most teams cancel their SendGrid contract at the end of week 8 or 10 once they've seen one full billing cycle of steady-state performance.

Optional weeks 5-8 — Marketing migration

SendGrid Marketing Campaigns → integrated transactional+marketing on the same infrastructure

For teams that also use SendGrid Marketing Campaigns, the second phase moves campaign sending onto separate dedicated IPs (we recommend full IP-pool separation between transactional and broadcast, as Postmark popularized with Message Streams). Contact lists export from SendGrid in CSV or via the marketing API; templates port over with some syntax adjustments (SendGrid uses Handlebars with some custom helpers; ours is closer to standard Handlebars). The marketing phase typically takes 3-4 weeks because the per-campaign volume swings are larger than transactional steady-state and warmup needs to be more conservative.

Feature parity for SendGrid-shaped workloads

The SendGrid feature set, mapped to what we ship — and what we don't

Feature parity (direct equivalents)
  • REST API + SMTP relayBoth endpoints; SendGrid /mail/send equivalent with structured JSON; SMTP relay with auth options including STARTTLS, TLS 1.3, OAuth
  • Webhook eventsBounces, opens, clicks, unsubscribes, spam reports, deferred — same event taxonomy as SendGrid for drop-in replacement of event handlers
  • DKIM, SPF, DMARC, BIMIFull authentication suite including BIMI with VMC or CMC support; per-domain DKIM keys; SPF with macros supported
  • Email validationPre-send validation API for syntax, MX, role-based detection, disposable-domain check; included not as separate add-on
  • Template engineHandlebars-compatible with most SendGrid template syntax working unchanged; conditional logic, loops, partials
  • Sub-user accountsEquivalent of SendGrid subuser model for multi-tenant SaaS or agency setups; per-subuser IP allocation
  • RFC 8058 one-click unsubscribeHeader injection at the relay layer for any non-transactional mail; satisfies Gmail/Yahoo/Microsoft 2024-2026 mandate
Different model (not 1:1)
  • Marketing Campaigns UIWe ship a simpler campaign builder than SendGrid Marketing Campaigns; teams that depend on SendGrid's drag-and-drop designer often pair us with a dedicated marketing tool (Customer.io, Klaviyo, Brevo) for the UI layer
  • Inbound parseOur inbound parsing is more limited; for complex inbound workflows we typically recommend pairing with a dedicated inbound service or building on Postfix directly
  • SMS / unified messagingWe don't offer SMS or voice. If you need unified messaging across email/SMS/voice, you'd either pair us with a separate SMS provider or stay on Twilio for those channels
  • Pricing modelTier-based monthly pricing in EUR rather than per-email metering; overage discussions happen before billing, not automatically applied
  • Account onboardingNamed operator engagement rather than self-service signup; we work through requirements and IP allocation in a 30-60 minute conversation rather than form fields
Pricing scenarios

How SendGrid migrations typically size on the new infrastructure

SendGrid Essentials replacement

SMTP Relay Starter · €399/mo

5 dedicated IPs (vs SendGrid's 0 on Essentials), up to 200K messages/month, full authentication suite, bounce-handling and complaint-rate dashboards. Sized for teams currently on SendGrid Essentials at $14.95-$29.95/mo who want dedicated IPs and EU routing.

See SMTP Relay
SendGrid Pro replacement · Most common

Email API Pro · €859/mo

20 dedicated IPs (SendGrid Pro includes 1, then $30/mo each additional), up to 2M messages/month, full Postmaster Tools integration, dedicated deliverability engineer. Most common landing spot for teams currently spending $400-700/month on SendGrid Pro + addon IPs + Marketing Campaigns.

See Email API
SendGrid Premier replacement

PowerMTA Enterprise · from €2,799/mo

PowerMTA-based architecture for teams above 4M messages/month, 30+ dedicated IPs, custom IP pool segmentation, named deliverability engineer, EU-only routing across Stockholm + Frankfurt. For teams negotiating SendGrid Premier at custom pricing.

Open the conversation
Common migration questions

What teams ask before kicking off the SendGrid migration

Will I lose the sender reputation I've built on SendGrid?

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Domain reputation transfers; IP reputation doesn't. Sender reputation at receiving mailbox providers (Gmail, Yahoo, Microsoft) is largely tied to the combination of sending IP and From: domain. Your domain reputation stays attached to the domain — when emails start flowing through new IPs but the same From: domain, receivers see "this domain has historical engagement, but the IP is new." That's exactly the warmup signal they expect, and it's why the 14-day ramp on new IPs lets us establish IP reputation without the domain reputation having to start over.

What we do not transfer: any historical IP-warmup data SendGrid built on the shared pools they used for your account. That data isn't portable, and frankly, much of it was specific to SendGrid's IP space anyway. The shared-pool baseline you had on SendGrid Essentials was actually a ceiling on your deliverability rather than a foundation — moving to dedicated IPs is what unlocks the next level of placement.

What about my SendGrid templates and contact lists?

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Templates port over with minor syntax changes. SendGrid uses Handlebars with some custom helpers ({{{dynamic_data}}} for HTML, custom conditionals for personalization). Our template engine is closer to standard Handlebars; the migration script our team runs typically handles 90% of the conversion automatically, and the remaining 10% (custom helpers, deeply nested conditionals) gets manual review during week 1.

Contact lists: SendGrid's contact API exports lists in CSV or JSON. For teams on Marketing Campaigns, the export-and-import workflow is straightforward — segments, custom fields, and suppression lists all transfer. For teams using SendGrid's contact storage as their primary CRM (which we don't recommend, but it happens), the export needs more careful handling because SendGrid's custom fields can drift from your application's understanding of the contact model. We work through that during the marketing migration phase.

What if we use SendGrid for SMS or other Twilio products?

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Move just the email portion. Twilio's product suite (Programmable Voice, SMS via Twilio rather than SendGrid, Verify, Flex) is genuinely strong and you don't have to leave Twilio to leave SendGrid. The dual-subscription model that's a cost concern for email-only customers is less of an issue when you're getting value from other parts of the platform. We see many migrations where customers stay on Twilio for voice + SMS + Verify and move just SendGrid email to us. The unified-billing argument for keeping SendGrid weakens when your email volume is the dominant cost line.

Can we run both providers in production indefinitely?

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Yes, and some teams do exactly that as a deliberate strategy. The pattern is "primary + standby" where one provider handles 95-100% of traffic and the other is configured for rapid failover. We've seen teams keep SendGrid as a standby for 6-12 months after cutover and only cancel once they're confident in our infrastructure's steady-state performance. The cost is a small SendGrid Essentials plan (~$15/month) for the standby capability, which most teams view as cheap insurance.

For multi-region applications, we've also seen permanent dual-routing — SendGrid for one geographic segment, us for another. The architectural complexity is higher, but if your application already has a feature-flag system, it's straightforward to maintain.

How does this compare against migrating to Amazon SES?

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Honest comparison: Amazon SES is the lowest-cost option at high volume, full stop. If you're a heavily-AWS-integrated team running 10M+ emails/month and your engineering team has the operational appetite to handle SES's much-lower-touch service model, SES is probably the right answer on raw cost. SES added the Tenants feature in August 2025 (default 10K/day, request up to 300K, dedicated IPs at $24.95/IP/month) which addressed some historical complaints about scaling.

Where we differ from SES: we operate as a managed deliverability practice, not a metered API. The SES model assumes you'll own deliverability operations internally (warming, monitoring, complaint-rate management, list hygiene). Our model assumes you'd rather hand that to a named engineer in our Stockholm team. For teams without dedicated deliverability staff, our pricing typically beats SES + the cost of an internal deliverability lead. For teams that already have that lead, SES is a real alternative. We're transparent about that and don't pretend otherwise.

What happens to historical SendGrid analytics after migration?

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Export before cancellation. SendGrid retains a limited amount of historical data on the lower tiers (Essentials shows 3-day activity history; Pro shows 7 days; Premier varies). Before you cancel, we recommend exporting your last 30-90 days of email activity via the SendGrid Activity API or the dashboard CSV export. We don't import SendGrid's analytics into our dashboards (their event schema differs slightly from ours, and historical IP data doesn't transfer meaningfully), but we keep the export as part of your migration archive for reference.

For ongoing analytics post-migration, our dashboards cover the same dimensions SendGrid reported on (delivered, bounced, opened, clicked, unsubscribed, marked-as-spam) plus per-IP reputation data, Postmaster Tools integration, and seed-list inbox placement testing that's not standard at SendGrid's tier level.

Is there a contractual minimum or long-term commitment?

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Month-to-month on all standard plans, with a 30-day notice for cancellation. We offer annual contracts with a discount (typically 10-15%) for teams that want pricing certainty, but the annual is optional. The SendGrid pattern of trial-then-paid-then-overage doesn't apply on our side; the price you see on the plan page is the price you pay for the volume that plan covers, and any overage discussions happen before they appear on a bill.

For migration projects specifically, the first 60 days are structured so that you can route back to SendGrid at any time if the new infrastructure doesn't meet your standards. We don't lock you in during the period when you're still validating; the lock-in considerations (if any) come later, once steady-state is achieved.

Open the migration conversation

Tell us about your current SendGrid setup: which tier, monthly volume, dedicated IPs in use, whether you also run Marketing Campaigns, the geographic distribution of your recipient base, and what specifically prompted you to look at alternatives. We'll come back with a sized proposal, a migration timeline, and the technical Q&A for your engineering team.