In This Article

NOTE

The announcement does not affect Nonprofit, Academic, and US Government products.  Currently, this only affects Microsoft's commercial (Enterprise, Business, and Frontline) products.

Additionally, the "end of sale" for the Office 365 and Microsoft 365 base plans do not affect existing Microsoft 365 customers.  It only affects customers that are new to Microsoft 365.

NOTE

Microsoft is not retiring the following Microsoft 365 Business (SMB) and Frontline Worker products:

• Microsoft 365 Business Basic
• Microsoft 365 Business Standard
• Microsoft 365 Business Premium
• Office 365 F3
• Microsoft 365 F1/F3

You can still purchase these products, or if you need the flexibility, you can purchase the (No Teams) version of the products, and pair them with Microsoft Teams Enterprise with them.

The changes are intended to realign Microsoft's global subscription product structure to match the changes made in Europe, which occurred in 2023.

For more information, read Microsoft's official announcement, and Microsoft's accompanying licensing details article.

Starting April 1, 2024,

• New commercial customers who wish to provide their workers with both Microsoft Teams and Microsoft 365 E3/E5 or Office 365 E1/E3/E5 base plans will need to purchase two SKUs: one E1/E3/E5 (no Teams) base plan and Microsoft Teams Enterprise.

• New small and medium business customers will be able to choose between the existing Microsoft 365 Business Basic/Standard/Premium base plans with Teams or the new (no Teams) versions of those base plans.

• For Frontline workers, customers will be able to choose between the existing Microsoft 365 F1, Office 365 F3, and Microsoft 365 F3 base plans with Teams included, or the new (no Teams) versions of those base plans.

“Existing customers” Existing customers are customers with an active license for any Microsoft 365/Office 365 base plan with Teams prior to April 1, 2024.  However, if at any time the customer no longer has any active licenses to a Microsoft 365/Office 365 base plan with Teams, they will no longer be considered an existing customer.

For existing customers, the introduction of new base plans without Teams adds new subscription license options to their current purchasing channel without removing their prior options. 

Existing customers may continue to:

• Use their existing licenses for base plans with Teams. 
• Renew their existing licenses for base plans with Teams.
• Increase the quantity of their existing subscription for base plans with Teams.
• Upgrade their existing base plans with Teams to other higher-level base plans with Teams.
• Add net new licenses to any base plan with Teams that was previously available to them.

Additionally, existing customers may:

• Switch to base plans without Teams at anniversary/renewal.
• Add new licenses to base plans without Teams at any time (including alongside base plans with Teams).
• Add new licenses of Teams Enterprise at any time.

Yes.  For example, an existing customer could have the following mix of products:

• Qty (100) Microsoft 365 E3 - Previously purchased before April 1, 2024
• Qty (50) Microsoft 365 E3 (No Teams) - New purchase after April 1, 2024
• Qty (50) Microsoft Teams Enterprise - New purchase after April 1, 2024

No, you cannot purchase a net new subscription (with a new term) for any of the end of sale products.  You will need to purchase one of the new base plans without Teams.

Microsoft's changes are intended to realign their global subscription structure following changes made in Europe in 2023. The different approach taken in Enterprise vs. SMB and Frontline was a compromise intended to address concerns raised with the European Commission while limiting disruption for customers, partners, and sellers.

No.  The changes announced on April 1, 2024 apply only to commercial SKUs (Enterprise, Business, and Frontline).  Consumer, Academic, US Government, and Nonprofit-specific base plans are not currently impacted.