New subscription structure for Microsoft 365 in Europe
August 31, 2023
Today, Microsoft announced important changes to the way we license Microsoft 365, Office 365, and Microsoft Teams in the European Economic Area (EEA) and Switzerland. See below for details on how these changes will impact Microsoft customers and partners in these regions.
Overview
We believe that business customers in Europe and around the world expect a modern work solution to include modern communication and collaboration capabilities. That’s why, for more than a decade, we have included these capabilities in our business suites, starting with Office Communicator in 2007 and evolving and innovating over the years through Lync, Skype for Business Online, and most recently Microsoft Teams. As work continues to evolve, we remain committed to helping our customers adapt and thrive. We do this by studying how work is changing, responding to customer needs, and being responsive to feedback from governments and competitors.
In an effort to remain focused on the needs of our customers while also taking meaningful steps to address concerns that have been raised with the European Commission, we are updating the way Microsoft 365, Office 365, and Teams are licensed in the EEA and Switzerland. Starting October 1, 2023, we will introduce 1) a new lineup of commercial Microsoft 365 and Office 365 suites in these regions that do not include Teams, and 2) a new standalone Teams offering for Enterprise customers. These changes will not impact currently subscribed customers, and will be implemented in the following way:
Changes to Enterprise Suites:
With the introduction of the new commercial lineup, the sale of current Enterprise suites that include Teams to net new subscribers will end. As a result, 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 in the EEA and Switzerland. 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, 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 who wish to provide their end users with Teams will need to purchase two SKUs: one EEA-specific Microsoft 365 or Office 365 suite and Microsoft Teams EEA. See details of the new lineup on the table below:
Existing Suites with Teams |
New offerings without Teams (after Oct. 1) |
Pricing* |
|---|---|---|
|
Office 365 E1 EEA (no Teams)
|
€7.40
|
|
| No longer offered in EEA/Switzerland: |
Office 365 E3 EEA (no Teams)
|
€23.10
|
| Office 365 E1/E3/E5, Microsoft 365 E3/E5 |
Office 365 E5 EEA (no Teams)
|
€39.50
|
|
Microsoft 365 E3 EEA (no Teams)
|
€35.70
|
|
|
Microsoft 365 E5 EEA (no Teams)
|
€57.70
|
|
| -- |
Microsoft Teams EEA
|
€5.00
|
*This pricelist pricing is subject to change and may vary by country and currency.
Changes to Frontline suites:
Current Frontline suites will coexist with the new lineup. Customers in the EEA and Switzerland 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 EEA-specific versions of those suites without Teams. See details of the new lineup on the table below:
Existing Suites with Teams |
Pricing* |
New offerings without Teams (after Oct. 1) |
Pricing* |
|---|---|---|---|
| Microsoft 365 F1 |
€2.10
|
Microsoft 365 F1 EEA (no Teams)
|
€1.60
|
| Office 365 F3 |
€3.70
|
Office 365 F3 EEA (no Teams)
|
€3.20
|
| Microsoft 365 F3 |
€7.50
|
Microsoft 365 F3 EEA (no Teams)
|
€7.00
|
*This pricelist 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 in the EEA and Switzerland 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 EEA-specific versions of those suites without Teams. See details of the new lineup on the table below:
Existing Suites with Teams |
Pricing* |
New offerings without Teams (after Oct. 1) |
Pricing* |
|---|---|---|---|
| Microsoft 365 Business Basic |
€5.60
|
Microsoft 365 Business Basic EEA (no Teams)
|
€4.60
|
| Microsoft 365 Business Standard |
€11.70
|
Microsoft 365 Business Standard EEA (no Teams)
|
€9.70
|
| Microsoft 365 Business Premium |
€20.60
|
Microsoft 365 Business Premium EEA (no Teams)
|
€18.60
|
*This pricelist pricing is subject to change and may vary by country and currency.
FAQ
-
For additional context please read the official announcement on the EU Policy Blog.
-
Existing EEA and Switzerland based customers may continue to use suites to which they have already subscribed without any impact. Customers who currently subscribe to existing Office 365 E1/E3/E5 or Microsoft 365 E3/E5 suites with Teams can continue to use and renew those suites, as well as adding or removing seats at Anniversary and Renewal. Existing customers who wish to switch to the new EEA (no Teams) suites may also do that at Anniversary or Renewal.
-
Starting October 1,
-
New commercial customers in the EEA and Switzerland who wish to provide information workers with both Microsoft Teams and the value in existing Microsoft 365 E3/E5 or Office 365 E1/E3/E5 suites will need to purchase two SKUs: one E1/E3/E5 EEA (no Teams) suite and Microsoft Teams.
-
New small and medium business customers in the EEA and Switzerland will be able to choose between the existing Microsoft 365 Business Basic/Standard/Premium suites with Teams or the new EEA (no Teams) versions of those suites.
-
For Frontline workers, customers in the EEA and Switzerland 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 EEA (no Teams) versions of those suites.
-
-
No.
-
Microsoft Teams EEA is an Enterprise offering available to customers in the EEA and Switzerland that provides meetings, chat, calling (VOIP), and collaboration without any limitation on seat numbers.
Microsoft Teams Essentials remains unchanged; it provides meetings, chat, calling (VOIP), and collaboration for customers with fewer than 300 users.
-
The new EEA suites and Teams standalone are intended for purchase by customers with enrollments in EEA countries and Switzerland, from EEA/Switzerland pricelists, for deployment on EEA/Switzerland tenants out of datacenters in the EEA and Switzerland.
-
Multinational organizations with enrollments inside the EEA/Switzerland will be able to purchase the new EEA SKUs.
If other multinational organizations wish to purchase the EEA (No Teams) suites, they are able to set up an EEA/Switzerland enrollment with an EEA/Switzerland billing address to acquire these suites. These seats are intended for purchase by customers with enrollments in the EEA countries and Switzerland, from those applicable pricelists, for deployment on EEA/Switzerland tenants out of datacenters in the EEA and Switzerland.