Microsoft Teams Licensing Changes in Europe: What You Need to Know
At Wanstor, we understand how vital collaboration tools are to modern business. Microsoft Teams has become a go-to platform for communication, meetings, and teamwork. But as the digital landscape evolves, so must the way these tools are offered, especially in response to regulatory requirements.
To support customer choice and ensure compliance with European competition laws, Microsoft has announced a series of changes to how Microsoft 365, Office 365, and Teams are licensed and priced across Europe. These updates aim to improve interoperability, enhance data portability, and give customers more flexibility in how they choose and use Microsoft services.
Supporting interoperability and data portability
Microsoft is reinforcing its commitment to openness by expanding access for third-party developers and solution providers. Here’s what’s changing:
- Add-in support continues: Microsoft will maintain its current add-in model, allowing third-party communication and collaboration tools to integrate with Microsoft 365 and Teams.
- Office Web Apps embedding: Through the Microsoft Document Collaboration Partner Program (MDCPP), partners can embed Microsoft Office Web Apps directly into their own platforms.
- APIs for data access: Microsoft is making APIs available that allow access to customer data from Entra ID, Exchange Online, SharePoint Online, and OneDrive—on par with what Teams uses.
- Teams data export tools: Customers can now export Teams data for use in other platforms, with tools available at no extra cost.
- New developer portal: A centralised resource hub will launch to support developers with interoperability tools, documentation, and feedback channels.
Together, these updates give customers greater control over their data and foster a more open, flexible ecosystem for collaboration.
Licensing and pricing updates from November 1, 2025
To begin with, Microsoft is introducing new licensing and pricing structures for Microsoft 365 and Office 365, in line with its commitments to the European Commission.
As a result, new customers worldwide will soon be able to choose Microsoft 365 and Office 365 suites either with or without Microsoft Teams. This means organisations will gain greater flexibility, enabling them to select the collaboration tools that best suit their needs, whether that’s Microsoft Teams or an alternative solution.
| Microsoft 365 and Office 365 Suites | Minimum Price Delta Between Options (With/Without Teams) |
|---|---|
| Microsoft 365 E3/E5, Office 365 E3/E5 | €8.00 ($8.55) |
| Microsoft 365 Business Standard/Premium, Office 365 E1 | €3.00 ($3.21) |
| Microsoft 365 Business Basic | €1.50 ($1.61) |
| Microsoft 365 F3 | €1.00 ($1.07) |
| Teams Standalones | Minimum Price (pupm)** |
|---|---|
| Microsoft Teams Enterprise / Microsoft Teams EEA | €8.00 ($8.55) |
| Microsoft Teams Essentials | €3.00 ($3.21) |
In addition to suite pricing, standalone Teams pricing will also be set at:
- Teams Enterprise: €8.00 / $8.55
- Teams Essentials: €3.00 / $3.21
These changes will apply globally from 1 November 2025, with pricing adjusted to reflect currency fluctuations where applicable.
Guarantees for EEA customers
For customers in the European Economic Area (EEA) purchasing directly from Microsoft, three key guarantees will apply:
- Switching flexibility: Customers on multi-year contracts can switch from suites with Teams to those without at their annual renewal point for the next five years.
- Discount continuity: Customers who switch will retain their existing discount percentage on the new suite.
- Equal discounts: Any discounts offered on suites with Teams will also apply to those without Teams.
While Microsoft is enabling partners to offer these guarantees, it’s up to each partner to decide whether to implement them.
What this means for Wanstor customers
As a trusted Microsoft partner, Wanstor is ready to guide you through these changes. Whether you’re reassessing your Microsoft 365 licensing, exploring alternative collaboration tools, or preparing for a Teams migration, we’ll work closely with you to ensure your solution is not only tailored to your business needs but also fully compliant with the latest regulations. In short, we make the transition smooth and strategic.
Contact us today to find out more: Contact – Wanstor