Your Microsoft Teams licensing arrangements are changing… But there’s no need to panic!
Microsoft Teams has rapidly established itself as the default tool for professional communication and collaboration, powering interconnected workflows in the era of hybrid working. However, the way licensing for Teams works with your wider Microsoft ecosystem is about to change, which means it is essential that you establish how your licensing arrangements will be affected and take steps to maintain the levels of performance and cost-control you depend on.
How is Microsoft Teams licensing changing?
In response to the European Commission's anti-trust investigation, and the resulting changes in the way Microsoft Office, Microsoft 365, and Microsoft Teams are licensed in the EEA and Switzerland, Microsoft announced in 2023 that Teams will no longer be included in Microsoft Office and Microsoft 365 Stock Keeping Units (SKUs). This change officially came into force in April 2024, and will apply on a global basis.
In practical terms, this means…
- New Microsoft customers will no longer have Teams included in their Microsoft Office and Microsoft 365 SKUs and will have to purchase a separate licence. The SKUs affected include Office 365 E1, E3, E5, M365 E3, and E5.
- Existing customers with Microsoft Office or Microsoft 365 suites that include Teams dated up to 01/04/2024 can continue with their current plans, or switch to the new range of suites, if preferred. If you wish to add a new Enterprise suite to your licences, a switch will be required.
This also applies if you have an existing Cloud Solution Provider (CSP) arrangement for your Microsoft licensing.
How will the new Microsoft Licensing arrangements affect your organisation?
So, what does this all mean for our day-to-day communication and collaboration, and the ongoing development of our Microsoft ecosystems?
In terms of the financial impact, it will vary from organisation, depending on the current licensing arrangements and future plans for upscaling. It is also important to note that even if you feel one of the new SKUs that does not include Teams will be sufficient for your purposes, some Office functionality will still require Teams to be installed.
Regardless of who your current CSP provider is, we would like to ensure you enjoy the required functionality for a price that suits your budget and future plans, please speak to our specialist team to learn more.
Establishing your ideal Microsoft Teams licensing arrangement
If you are unsatisfied with your current CSP, then there is some good news…Microsoft's recent introduction of partner-to-partner subscription transfers means that if you are unsatisfied with your current CSP, you are able to switch to another with a single click, without any disruption to the performance and availability of your existing licences. In other words, this shift in the way Microsoft licensing arrangements work represents a perfect opportunity to not only take steps to futureproof your Microsoft ecosystem, but do so with the support of a trusted CSP who will be able to actively support your ongoing growth.
Whatever your goals for Teams, or any other Microsoft platforms, if you would like to explore how to licensing arrangement can be optimised to not only accommodate these changes, but deliver optimal performance, control, and scalability, just get in touch today. Our certified Microsoft experts will be more than happy to walk you through the new options available and explore your requirements in depth to ensure you can make the choice that's right for you.
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