Microsoft Announces New Office 365 Plans for Small and Medium Sized Businesses

Andrew Connell

by Andrew Connell on 7/11/2014

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Date Revised:
7/11/2014


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Andrew Connell Inc

Ahead of next week's Worldwide Partner Conference in Washington DC, Microsoft announced some new plans for Office 365 that address customer feedback. These new plans, targeted to small and mid-sized businesses that range from 1 to roughly 250 employees, will eventually replace the existing plans these customers have been on.

There are three new plans, one of which is a rollup of the two other plans:

  • Office 365 Business Essentials: This plan costs $5/user and includes Office 365 offerings that are hosted by Microsoft including SharePoint, Exchange, Lync, Yammer and OneDrive for Business as well as the web version of the Office clients (Word, Excel, PowerPoint & OneNote) dubbed Office Online. This plan also includes 1TB of storage in OneDrive for Business. What's missing from this plan are the desktop Office clients.
  • Office 365 Business: This plan costs $8.25/user and includes both the online and desktop clients of Office (Word, Excel, PowerPoint, OneNote, Publisher and Outlook) as well as 1TB of storage in OneDrive for Business. What's missing from this new plan are the hosted services of SharePoint, Exchange, Lync & Yammer.
  • Office 365 Business Premium: This plan costs $12.50 and quite simply, include everything from both the plans above.

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All the above plans are supported by Microsoft's 99.9% financially backed uptime guarentee. The plans will be available starting October 1, 2014 for new customers and existing customers will be migrated to the new plans over time. For those customers currently paying $15/user under the Small Business and Small Business Premium plans, you'll get the new $12.50/user price the next time you renew and you'll also see your seat cap raise from 25 to 300.

Check the Office team's blog post for more information on timing and how existing customers can take advantage of this sooner: Evolving Office 365 plans for small and midsized businesses.


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