Microsoft has decided to separate its popular video meeting application, Teams, from its commercial Microsoft 365 and Office 365 suites. The unbundling is a result of European antitrust regulations and global changes in business practices.
Initially implemented in the European Economic Area and Switzerland in October 2023, this move is now going global as of April 1.
Why the Unbundling?
The European Commission’s investigation into Microsoft Teams, prompted by an antitrust complaint from Slack in 2020, highlighted two key concerns: improving customer choice and enhancing information exchange with competitor products.
Failure to comply with these directives could have resulted in significant fines, prompting Microsoft’s proactive response.
Cost Considerations
Following the unbundling, Office plans without Teams for commercial customers will range from $7.75 to $54.75 per user per month, while Teams will be available as a standalone product for $5.25 per user per month.
What’s Next?
Organizations will now face a choice on how they wish to proceed based on this new development. Some customers may choose to keep Teams because they are comfortable with its interface, while others may begin to edge it out to cut costs.
To learn more about the differences in the Microsoft and Office 365 suites, make sure to register for our upcoming webinar to discover which plan makes the most sense for you/your organization.
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