In a significant move, Microsoft has announced changes to its licensing model, which will come into effect on April 1. These changes include the removal of Microsoft Teams from certain Microsoft 365 and Office 365 suites, specifically affecting Business Standard and Business Premium users. Lets look at the changes and what they mean to you:

Understanding the Changes

Microsoft’s new licensing model introduces a lineup of commercial Microsoft 365 and Office 365 suites that do not include Teams and the  new lineup includes:

  • Microsoft 365 Business Premium (no Teams)
  • Microsoft 365 Business Standard (no Teams)
  • Microsoft 365 Business Basic (no Teams)

It’s important to note that existing customers who wish to continue using the current SKUs that include Teams can do so, including renewals, license adds, and step-ups.

Effects on Business Standard and Business Premium Users

  1. Cost Implications: Businesses will need to evaluate their current licensing costs and determine whether the new standalone Teams offering or the “no Teams” suites are more cost-effective. This may involve a detailed analysis of usage patterns and collaboration needs.
  2. Operational Adjustments: If you’re new to Teams you may need to look at how you work – for example does a user require a full Business Standard or Premium licence or will a Teams standalone licence suffice?
  3. Enhanced Flexibility: The separation of Teams from the Microsoft 365 and Office 365 suites provides businesses with more flexibility. Companies can now choose to integrate Teams as a standalone product, allowing for more tailored solutions that meet specific business needs.
  4. Potential for Improved Collaboration: With the standalone Teams offering, businesses may benefit from enhanced features and dedicated support, leading to improved collaboration and productivity.
  5. Impact on IT Management: IT departments will need to manage the transition carefully, ensuring that all users have the necessary licenses and that any potential issues are addressed promptly. This includes updating internal documentation and providing support to end-users.

Preparing for the Transition

What do we suggest to ensure you are able to benefit from these changes?

  • Conduct a Licensing Audit: Review current licenses and usage to understand the impact of the new model.
  • Evaluate Alternatives: Consider whether the standalone Teams offering or the “no Teams” suites are more suitable for your organization.
  • Plan for Training: Ensure that employees are trained on any new tools or workflows that will be implemented.
  • Communicate Changes: Keep all stakeholders informed about the upcoming changes and how they will be managed.

To find out what changes are going to happen to you, and the impact to your business please drop us a line or click here to get in touch.