Microsoft Decouples Teams: What It Means for You

May 14, 2024
Article by:
Sue Wilkinson

Recently, Microsoft decided to unbundle Microsoft Teams from their Office 365 and Microsoft 365 suites in response to concerns from the European Commission about potential anti-competitive practices.

This scrutiny focused on how major tech companies might use their market dominance in one area to unfairly advantage themselves in others, with Microsoft potentially edging out competitors in the communication and collaboration software market by bundling Teams.

By unbundling Teams, Microsoft aims to let customers and businesses choose their preferred tools without feeling pressured to use Teams because of its integration with other Microsoft products. This change is significant for organisations using these technologies, as it could affect licensing costs and the possible integration of different communication tools.

Now, each Business Basic, Standard, and Premium license offers two options: one with Teams and one without.

What do you need to know?

New subscriptions without Teams will be available for the following licenses:

  • Microsoft 365 E3/E5, Office 365 E1/E3/E5
  • Microsoft 365 Business Premium, Business Standard, Business Basic
  • Microsoft 365 F1/F3, Office 365 F3

These options will be priced lower than the suites with Teams included, offering potential savings. Additionally, a new standalone subscription, Microsoft Teams Enterprise, will be introduced.

What does this mean in practice?

Existing Microsoft customers can continue with their current subscriptions or switch to the new versions without Teams at their next renewal. The timing of this switch—whether you are on an annual or monthly commitment—will determine how long you may have to wait.

We offer expert advice on the best Microsoft 365 subscription for your business, tailored to your team size, budget, and operations. Our services include analysis to help you understand the impact of choosing between a bundled or unbundled Teams plan. Please don’t hesitate to contact us for assistance.

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