12 Jan 2015

What happened to Microsoft's Office 365 Small and Midsize Business Plans?

As of the 1st of October Microsoft has replaced its Office 365 subscriptions for Small and Midsize businesses with versions that are more flexible, affordable and provide greater value.

The three new plans include:

Office 365 Business Essentials: This replacement for Office 365 Small Business provides the core Office 365 cloud services including Exchange Online, Lync Online, SharePoint Online, Office Online and more. It will cost approximately $5.50 per user per month, which is similar to that of the previous Small Business plan. However with Business Essentials, customers can expect greater value as it includes additional services such as Yammer and Active Directory support and new cap of up to 300 users. Small Business plans were previously capped at 25 users.

Office 365 Business: This product provides access to the full suite of Office applications including Outlook, Word, Excel, PowerPoint, OneNote and Publisher along with 1 TB of OneDrive for Business Cloud storage. It will cost $12.00 per user per month and is capped at 300 users.

Office 365 Business Premium: This replacement for Office 365 Small Business Premium and Midsize Business provides everything in both Office 365 Business and Business Essentials, so it’s the full suite of online services plus Office and the OneDrive for Business storage. It will cost $13.86 per user per month, which is a significant saving from the Midsize Plans which were approximately $16 per user per month. It provides greater value thanks to the inclusions of additional services like Yammer and Active Directory Support.

One of the most significant changes and benefits Office 365 Business Plans bring is the ability for customers to now be able to combine Business and Enterprise Plans together to cost effectively meet the exact needs of specific users.  Customers will also be able to add solutions such as Project, Visio, Dynamics CRM Online and much more.

So what about existing Small Business, Small Business Premium and Midsize Business customers?

It is Microsoft’s policy to give a 12 months’ notice for any changes to your core subscription. Customers will have no required action to take regarding their Office 365 plan subscription until their first renewal starting October 1, 2015.

However, existing customers will be able to continue to receive all the benefits of Office 365, including any feature and security updates that are relevant to their current subscription. Customers will be able to add seats, add new subscriptions and renew their existing subscription. It is until October 1, 2015 where existing Small Business, Small Business Premium and Midsize customers will no longer be able to renew to their existing Office 365 plan. Customers will be able to renew to either a similar Business Plan or a more advanced Enterprise Plan.


Note: Prices quoted are based on Brennan IT’s competitive pricing for Office 365 subscription. For pricing please click here.