Help CenterMicrosoft Teams is available with various licensing options, catering to the diverse needs of organizations, from basic communication features to advanced collaboration tools with enterprise-level security. Understanding the licensing options, including the newly introduced Teams Premium, is essential to selecting the right plan for your organization.
In this guide, we will cover the different Microsoft Teams licensing plans, the Teams Premium offering, pricing for each plan, and the available add-ons.
1. Microsoft Teams Licensing Overview
Microsoft Teams is included in a variety of Microsoft 365 and Office 365 plans, and it can also be licensed through standalone subscriptions for businesses that only need Teams capabilities without the full Microsoft 365 suite.
Teams Licensing Tiers
- Microsoft Teams Free: A basic version of Microsoft Teams offering essential communication and collaboration features without any cost.
- Microsoft Teams Essentials: A standalone plan that provides more features than the free version, aimed at small businesses that need additional collaboration tools but don’t require the entire Microsoft 365 suite.
- Microsoft 365 Business Plans: These include Microsoft Teams along with access to other Microsoft apps like Word, Excel, and OneDrive. Ideal for small to medium-sized businesses.
- Microsoft 365 Enterprise Plans: These plans offer Teams with advanced security, compliance, and administration features, designed for larger organizations.
- Microsoft Teams Premium: An add-on plan that offers advanced meeting capabilities, AI-powered features, and security enhancements beyond the standard Teams capabilities.
2. Pricing and Features Breakdown
1. Microsoft Teams Free
- Price: Free
- Key Features:
- Unlimited chat and search.
- Video calling for up to 60 minutes per meeting.
- 5 GB of cloud storage per user.
- Up to 100 participants in a meeting.
- Standard security features.
2. Microsoft Teams Essentials
- Price: $4 per user/month
- Key Features:
- Unlimited group meetings for up to 30 hours per meeting.
- Up to 300 participants per meeting.
- 10 GB of cloud storage per user.
- Integration with Outlook for scheduling meetings.
- Basic collaboration tools.
3. Microsoft 365 Business Plans (With Teams)
- Microsoft 365 Business Basic:
- Price: $6 per user/month
- Key Features:
- Teams, OneDrive, and web versions of Office apps.
- 1 TB of OneDrive storage per user.
- 300 participants in Teams meetings.
- Standard security features (multi-factor authentication, conditional access).
- Microsoft 365 Business Standard:
- Price: $12.50 per user/month
- Key Features:
- All features in Business Basic, plus desktop versions of Office apps.
- Email hosting with a 50 GB mailbox.
- Advanced collaboration tools like SharePoint and Planner.
- Microsoft 365 Business Premium:
- Price: $22 per user/month
- Key Features:
- Includes all Business Standard features.
- Enhanced security features, including advanced threat protection and device management.
- Azure AD Premium Plan 1 for advanced identity and access management.
4. Microsoft 365 Enterprise Plans (With Teams)
- Microsoft 365 E3:
- Price: $36 per user/month
- Key Features:
- Teams with advanced collaboration tools.
- Desktop and web Office apps, plus advanced compliance tools.
- Enterprise-level security, compliance, and identity management.
- Microsoft 365 E5:
- Price: $57 per user/month
- Key Features:
- All E3 features.
- Microsoft Defender for Office 365: Advanced security and threat protection.
- Advanced compliance and analytics with Power BI and other tools.
- Phone system and audio conferencing included.
3. Microsoft Teams Premium
Microsoft Teams Premium is an add-on that enhances the standard Teams experience with advanced meeting, security, and AI features. It is designed for organizations that need more robust meeting management, personalized experiences, and advanced security controls.
- Price: $10 per user/month (This is an add-on and requires a base Microsoft Teams license, such as E3 or Business Premium).
Key Features of Teams Premium:
- Personalized Meetings:
- Custom branded meeting experiences with logos and backgrounds.
- Meeting templates for standardized meetings (e.g., sales, customer service).
- Advanced Security:
- End-to-end encryption for meetings.
- Watermarking to prevent data leakage.
- Sensitivity labels to secure confidential information shared during meetings.
- E-discovery and legal hold for meeting content.
- AI-Powered Features:
- Live translations: Automatically translate meeting transcripts into different languages.
- Intelligent recap: AI-generated highlights and tasks from meeting discussions.
- Meeting insights: Get automated summaries of key discussion points.
- Advanced Analytics:
- Deeper insights into meeting usage and participant behavior.
- Enhanced Webinars:
- Manage end-to-end webinars with registration waitlists, customized emails, and more.
4. Add-Ons for Microsoft Teams
In addition to the core Teams licenses, Microsoft offers several add-ons to further extend Teams' capabilities:
1. Microsoft Teams Phone System
- Price: $8 per user/month (as an add-on to Microsoft 365 plans).
- Key Features:
- Cloud-based phone system to manage calls directly from Teams.
- Call management features (call forwarding, voicemail, call queues, and auto-attendants).
2. Microsoft Teams Audio Conferencing
- Price: $4 per user/month.
- Key Features:
- Dial-in phone numbers for Teams meetings, allowing participants to join via phone.
3. Microsoft Teams Rooms
- Price: $15 per device/month (Standard) or $50 per device/month (Premium).
- Key Features:
- Supports meeting room hardware to run Teams meetings.
- Standard: Basic management of meeting room devices.
- Premium: Advanced room management, monitoring, and support services.
Which Teams Plan is Right for Your Organization?
- Small Businesses:
- Teams Essentials or Microsoft 365 Business Basic provides core Teams features without the need for advanced security or collaboration tools.
- Medium-Sized Businesses:
- Microsoft 365 Business Standard or Business Premium are ideal for organizations needing integrated Office apps, Teams, and moderate security features.
- Enterprises:
- Microsoft 365 E3 or E5 plans offer comprehensive solutions for organizations that require enterprise-grade collaboration, security, and compliance tools.
- Teams Premium is a valuable add-on for enterprises looking for advanced meeting and webinar features.
Microsoft Teams Licensing: With vs. Without Teams in Enterprise Plans
As of recent changes, Microsoft Teams is not automatically included in some enterprise Microsoft 365 plans, such as E3 and E5. Customers now have to purchase Teams as an add-on in some cases.
Let’s break down the licensing options for Microsoft 365 Enterprise plans, with and without Teams.
Microsoft 365 E3 and E5 (Without Teams)
-
Microsoft 365 E3 (Without Teams)
- Price: $31 per user/month.
- Key Features:
- Office desktop apps (Word, Excel, PowerPoint, Outlook).
- Email hosting with 100 GB mailbox.
- SharePoint, OneDrive, and Exchange.
- Enterprise-grade security and compliance features (eDiscovery, Legal Hold, Data Loss Prevention).
- Windows 11/10 Enterprise.
- Does not include Microsoft Teams (requires separate purchase as an add-on).
-
Microsoft 365 E5 (Without Teams)
- Price: $53 per user/month.
- Key Features:
- Includes all E3 features.
- Enhanced security and compliance features like Microsoft Defender for Office 365.
- Advanced analytics through Power BI Pro.
- Does not include Microsoft Teams (requires separate purchase as an add-on).
Microsoft Teams Add-On for Enterprise Plans
For organizations using Microsoft 365 E3 or E5 that don’t include Teams by default, they can purchase Teams as an add-on:
- Microsoft Teams Add-On for Microsoft 365 E3/E5:
- Price: $5 per user/month.
- Key Features:
- Full access to Microsoft Teams for chat, collaboration, meetings, and calls.
- Up to 300 participants per meeting.
- Integration with other Microsoft 365 apps and services.
Microsoft 365 E3 and E5 (With Teams)
- Microsoft 365 E3 (With Teams)
- Price: $36 per user/month.
- Key Features:
- All Microsoft 365 E3 features.
- Microsoft Teams included for meetings, collaboration, and calling.
- Up to 300 participants per meeting.
- Office desktop apps, Exchange, SharePoint, and OneDrive.
- Microsoft 365 E5 (With Teams)
- Price: $57 per user/month.
- Key Features:
- All Microsoft 365 E5 features, including Teams for enterprise-level collaboration.
- Microsoft Defender for Office 365 for advanced threat protection.
- Advanced meeting capabilities (up to 1,000 participants).
- Power BI Pro for advanced analytics.
Conclusion
Microsoft Teams is highly customizable, with various pricing tiers and features to suit organizations of all sizes. By choosing the right plan—whether it's a standalone Teams Essentials subscription or advanced Microsoft 365 E5—organizations can unlock powerful collaboration and communication capabilities. The Teams Premium add-on further enhances the experience with AI-driven features, advanced security, and branded meeting customization, making it a valuable upgrade for businesses that rely heavily on virtual collaboration.
If you're looking to extend Teams functionality, consider add-ons like Teams Phone System and Audio Conferencing for a more comprehensive solution.
Let me know if you need more information or a detailed comparison of any specific plans!