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Microsoft 365 for Beginners – Introduction to Cloud Computing – Part 1
Microsoft 365 for Beginners – Introduction to Microsoft Azure Cloud Services – Part 2
Microsoft 365 is a leading Software-as-a-Service solution allowing organizations to accelerate their velocity in providing productivity, communication, and collaboration tools. Microsoft 365 and other SaaS solutions have permitted companies to embrace the hybrid workforce effectively. However, one of the daunting tasks for businesses is understanding the various licensing options for Microsoft 365. Let’s look at Microsoft 365 licensing options for beginners and see which subscription is right for your specific needs.
Overview of Microsoft 365 Licensing Options
Let’s look at the Microsoft 365 licensing options available to get a feel of which options fit various use cases. Note the following Microsoft 365 licensing options that cover the gamut of personal and business use cases:
- Personal and Family
- Business
- Enterprise
- Education
Personal and Family Licensing Options
The first licensing option we want to consider is the personal and family licensing options. The personal and family options are an excellent fit for individual users and families of users who need to access productivity tools cost-effectively.
Note the difference between personal and family plans:
- Microsoft 365 Personal – The personal plan is designed for a single user. It provides access to premium Word, Excel, PowerPoint, Outlook, and OneNote versions. In addition, subscribed users get access to 1 TB of OneDrive storage with access from upto 5 devices simultaneously
- Microsoft 365 Family – The family plan allows one to six people to share across up to five devices simultaneously. Suitable for households with up to six users. The family plan comes with 6 TB of cloud storage (1 TB per person). Families also get the additional features found in the Family Safety mobile app
Business Licensing Options
After the personal and family pricing tiers and features, there are the Microsoft 365 Business tiers.
Microsoft 365 business plans cater to small and medium-sized businesses (SMBs) with different needs and budgets. The primary business licensing options include the following:
- Microsoft 365 Business Basic – This plan offers web and mobile versions of Microsoft 365 apps, chat, call, meet up to 300 attendees, 1 TB of storage, business-class email, standard security, and support
- Microsoft 365 Business Standard – It includes everything in the Microsoft 365 Basic plan, including desktop versions of Microsoft 365 apps with premium features, host webinars, attendee registration, and reporting tools, and the ability to manage customer appointments
- Microsoft 365 Business Premium – This plan includes everything in Microsoft 365 Business Standard and adds advanced security, access and data control, and cyber threat protection
- Microsoft 365 Apps for business – This plan is aimed at businesses that require only Office apps and cloud storage. It includes the desktop, web, and mobile versions of Office applications and 1 TB of OneDrive storage per user, along with standard security and support
Enterprise Licensing Options
Moving further up the ladder of features, capabilities, and functionality is Microsoft 365 Enterprise editions. These plans cater to larger organizations with complex requirements and the need for a wide range of technologies and solutions.
Microsoft 365 enterprise plans are tailored for large organizations with complex IT requirements.
- Microsoft 365 E3 – This plan includes all the features of the Business Premium plan and advanced compliance tools, analytics, and voice capabilities. It’s designed for organizations that require wide range of productivity, collaboration, and security tools
- Microsoft 365 E5 – The E5 plan includes everything in the E3 plan and adds Identity and Access Management, Information protection, and compliance management
- Microsoft 365 F3 – This plan was formerly known as the Microsoft 365 F1 plan and is geared towards frontline workers with productivity apps and cloud services. It includes access to apps on mobile devices, email and calendar functionality, meetings and voice, device and app management, social and Intranet, files, and work management
Education Licensing Options
Microsoft 365 offers licensing options specifically designed for educational institutions. These plans include:
- Microsoft 365 A1 – This free plan includes web and mobile versions of Office apps, 1 TB of OneDrive storage per user, and access to Microsoft Teams, Exchange, and SharePoint
- Microsoft 365 A3 – Besides the features offered in the A1 plan, the A3 plan includes desktop versions of Office apps, advanced security and compliance features, and support for PC/Mac, tablet, and phone. It also includes additional features, such as advanced analytics and device management
- Microsoft 365 A5 – The A5 plan offers the most comprehensive set of features for educational institutions, including advanced security, compliance, analytics, and voice capabilities. It also includes features like Power BI, Azure Active Directory Premium, and advanced threat protection
Add-on Licensing Options
Besides the core plans, Microsoft 365 also offers various add-on licenses to enhance the functionality of your subscription. Some popular add-ons include:
- Power BI Pro – This add-on provides advanced business analytics and data visualization tools, allowing users to create interactive reports and dashboards
- Project Online – This add-on offers project management and portfolio management capabilities, helping organizations plan, track, and manage projects and resources effectively
- Visio Online – This add-on allows users to create, edit, and share professional diagrams and flowcharts using a web-based interface
- Advanced Compliance and Security – Organizations with specific requirements can purchase add-on licenses for advanced threat protection, information protection, and compliance management
Choosing the Right Licensing Option
Selecting the right Microsoft 365 licensing option for your needs depends on various factors, such as the size of your organization, the types of applications and services you require, and your budget. Here are some factors to consider to help you make the right choice:
Assess your organization’s needs – Determine the applications and services essential for your organization’s daily operations. Consider factors like the number of users, required storage capacity, and collaboration tools.
- Compare plans – Review the features and pricing of different Microsoft 365 subscription plans to understand their differences and identify the one that best meets your requirements
- Consider future growth – Choose a plan to accommodate your organization’s growth and changing needs. Some plans allow for easy scalability, ensuring you can add or remove licenses as needed
- Evaluate add-on options – Determine if any add-on licenses are necessary to enhance the functionality of your chosen plan
- Consult with an expert – If you’re unsure about the best licensing option for your organization, consider consulting with a Microsoft partner or specialist who can help you make an informed decision
Wrapping Up
Microsoft 365 is a powerful Software-as-a-Service (SaaS) platform providing modern organizations with productivity, communication, and collaboration tools. There are many license variations with different use cases and capabilities in mind. These span from individuals and families to large enterprise organizations. Carefully considering your organization’s business and technical needs allows selecting the proper Microsoft 365 licensing while not overspending on extra features and capabilities that may not be needed.
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