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Realigning global licensing for Microsoft 365

April 1, 2024

Last year Microsoft updated the way Microsoft 365, Office 365, and Teams were licensed in the European Economic Area (EEA) and Switzerland. Now, we are announcing our plan to extend that approach worldwide.

Globally consistent licensing helps ensure clarity for customers and streamline decision making and negotiations. To that end, we are now updating the way Microsoft 365, Office 365, and Teams are licensed outside of Europe in keeping with the recent changes in the EEA. Starting today, we are introducing 1) a new lineup of commercial Microsoft 365 and Office 365 suites that do not include Teams in regions outside the EEA and Switzerland, and 2) a new standalone Teams offering for Enterprise customers in those regions.

As in the EEA and Switzerland, customers with existing subscriptions that include Microsoft Teams will be able to continue using plans they have already chosen. Additional details follow below.

Changes to Enterprise Suites:

With today’s introduction of the new commercial lineup outside the EEA and Switzerland,  Office 365 E1, Office 365 E3, Office 365 E5, Microsoft 365 E3, and Microsoft 365 E5 suites with Teams will no longer be available to net new subscribers, worldwide. Here is how customers may be impacted:

  • Customers who are currently subscribed to any of the suites involved will have new options. They can continue to use, renew, upgrade, and add seats to their current plans as usual. Or, if they wish to switch to the new lineup, they can do so on their contract anniversary or renewal.
  • Net new subscribers to Office/Microsoft 365 Enterprise suites outside the EEA and Switzerland who wish to provide their end users with Teams will need to purchase two SKUs: one Microsoft 365 (no Teams) or Office 365 (no Teams) suite and Microsoft Teams Enterprise. See details of the new lineup in the table below:

Existing suites with Teams

New Suites without Teams (after Apr. 1)

Pricing*

Office 365 E1/E3/E5 and Microsoft 365 E3/E5 suitesOffice 365 E1 (no Teams)$7.75
with Teams no longer sold to new subscribers.Office 365 E3 (no Teams)$20.75
Available only to customers with existing licensesOffice 365 E5 (no Teams)$35.75
that include Microsoft Teams as of April 1, 2024Microsoft 365 E3 (no Teams)$33.75
outside the EEA and Switzerland.Microsoft 365 E5 (no Teams)$54.75

New Microsoft Teams Standalone

Pricing*

Microsoft Teams Enterprise$5.25

*This price list pricing is subject to change and may vary by country and currency. Pricing in MSRP US$

Changes to Frontline suites:

Current Frontline suites will coexist with the new lineup. Customers will be able to choose between the existing Microsoft 365 F1, Office 365 F3, and Microsoft 365 F3 suites with Teams included or the new versions of those suites without Teams. See details of the new lineup on the table below:

 

 

Pricing*

New suites without Teams (starting Apr. 1)

Pricing*

Microsoft 365 F1$2.25Microsoft 365 F1 (no Teams)$1.75
Office 365 F3$4.00Office 365 F3 (no Teams)$3.50
Microsoft 365 F3$8.00Microsoft 365 F3 (no Teams)$7.50

*This price list pricing is subject to change and may vary by country and currency.

Changes to Microsoft 365 Business suites:

Microsoft 365 Business suites will coexist with the new lineup. Customers will be able to choose between the existing Microsoft 365 Business Basic, Microsoft 365 Business Standard, and Microsoft 365 Business Premium suites with Teams or the new versions of those suites without Teams. See details of the new lineup on the table below:

Existing suites with Teams

Pricing*

New suites without Teams (starting Apr. 1)

Pricing*

Microsoft 365 Business Basic$6.00Microsoft 365 Business Basic (no Teams)$4.75
Microsoft 365 Business Standard​$12.50Microsoft 365 Business Standard (no Teams)$10.25
Microsoft 365 Business Premium​$22.00Microsoft 365 Business Premium (no Teams)$19.75

*This price list pricing is subject to change and may vary by country and currency. Pricing in MSRP US$

Source: https://www.microsoft.com/en-us/licensing/news/Microsoft365-Teams-WW

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