Microsoft globally separates Teams from M365 and O365 bundle

Microsoft has globally extended its decision to separate Teams from its Microsoft 365 and Office 365 suites. The move comes after the company initially made the decision in October 2023 for the European Economic Area (EEA) and Switzerland, in response to concerns raised by the European Commission regarding anti-competitive practices. Microsoft hopes that by unbundling Teams, customers will have the option to choose a business suite without Teams at a lower price. The company also aims to improve interoperability between rival communication and collaboration solutions and its suite offerings. While Microsoft’s rationale for the global rollout makes sense, analysts believe it may not deter competitors’ complaints entirely. Microsoft has faced regulatory charges in the past, having been fined $2.4 billion in Europe for bundling products. In the US, the Coalition for Fair Software (CFSL) has criticized the company’s restrictive licensing practices and called on regulators to take action. Despite these pressures, the new pricing structure offers flexibility for enterprise customers, allowing them to choose between bundled and unbundled offers. The pricing ranges start at $7.75 per month and go up to $54.75 per month, depending on the specific terms and products included.

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