Explanation of all license types of Microsoft 365 [Subscription type Office]

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Microsoft 365 is a subscription that gives you access to Office apps for a flat fee.

It is attractive that there are a wide variety of plans available, but many people feel that the plans are difficult to understand and that they do not know the difference because there are many types and they are subdivided.

In this article, we will introduce the types of Microsoft 365 plans and how to choose a plan that suits your needs.

Features and Benefits of Microsoft 365

In the past, the main method of providing Office apps was the one-time purchase type, but now it is shifting to the main “Microsoft 365” subscription contract.

The biggest advantage of using Office with Microsoft 365 is that you no longer need to manage the software as an object.

There is a high degree of flexibility in changing the number of users and the contract period, so you can use as much as you need without waste, and there will be no expiration or replacement.

Not only will the management work of the system staff be greatly reduced, but it is also expected to have a significant effect on cost reduction .

Always up-to-date with no need to replace

For one-time licenses, the support period is set, after which updates will not be provided.

If you continue to use the old version, there are disadvantages such as not being able to use new functions and security risks, so you will have to replace it with a new version.

Microsoft 365 will continue to provide the latest version updates for the duration of your contract, so you can always use the latest version.

You can use the app as soon as you have a network connection

With Microsoft 365, tasks such as creating users and assigning licenses are completed on the web management screen.

Licensed users can obtain Office apps by signing in to the portal screen with their own account, so they can access the necessary apps as soon as they have a network environment even when on a business trip or teleworking .

You can use it for as long as you need with an annual or monthly contract

Since the one-time purchase license requires a purchase fee regardless of the usage period, the license fee may be wasted if it is used only for a short period of time.

See also  Features and usage of Microsoft 365 file sharing function [OneDrive/SharePoint]

For Microsoft 365, you can choose yearly contract or monthly contract.

If you want to use it for a short period of time or temporarily increase the number of staff, you can subscribe to a monthly contract, and if you cancel before the renewal, you will not be charged after that.

[By Type] Microsoft 365 License

Licenses for Microsoft 365 for business are

  • for individuals
  • For general corporations (SMEs)
  • for large enterprises
  • For field personnel

are divided into four categories.

Personal – Personal, Family


For small groups, we offer two plans:

  • Microsoft 365 Personal
  • Microsoft 365 Family

These two plans are individual licenses, but all major Office apps are included, so they are suitable for business use by sole proprietors and small businesses.

Microsoft 365 Family can use OneDrive storage for 1TB × number of people, so even multiple people can secure enough capacity.

Microsoft 365
Personal
Microsoft 365
Family
number of users 1 person 1 to 6 people
Office apps
Teams
Skype 60 minutes of free calls every month 60 minutes of free calls every month
OneDrive
cloud storage
1TB 1 TB per person x number of users
Microsoft
Family Safety
(content usage restrictions)

General legal person (small and medium-sized enterprises) to けーBusiness


There are four types of corporate plans for up to 300 people.

  • Microsoft 365 Business Basic
  • Microsoft 365 Business Standard
  • Microsoft 365 Business Premium
  • Microsoft 365 Apps for business

The corporate license includes functions for organizations, such as the email service “Exchange Online” that allows you to set your own domain, and the file sharing service “SharePoint Online” that is convenient for creating portal sites.

It is possible to centrally manage internal user management, information sharing, and security with Microsoft 365 .

“Microsoft 365 Apps for business” is a slightly special plan.

All Office desktop apps are provided, but email services and Teams are not supported, and the plan contents are specialized for using Office apps.

Microsoft 365
Business Basic
Microsoft 365
Business Standard
Microsoft 365
Business Premium
Microsoft 365
Apps for business
number of users Maximum 300 people Maximum 300 people Maximum 300 people Maximum 300 people
Office apps △ (WEB version only)
Teams
Exchange
mailbox
50GB 50GB 50GB
OneDrive
for Business
cloud storage
1TB 1TB 1TB 1TB
SharePoint
Online
advanced security
Intune
(device management)

For big companies – Enterprise


Currently, there are 6 types of plans available for large groups of 300 or more people.

  • Office 365 E1
  • Office 365 E3
  • Office 365 E5
  • Microsoft 365 E3
  • Microsoft 365 E5
  • Microsoft 365 Apps for enterprise
See also  Introducing a list of services and functions that can be used with Microsoft 365

Microsoft 365’s predecessor, Office365’s enterprise plan, is still on sale today.

However, if you are going to sign a contract from now on, we recommend Microsoft 365, which has excellent security .

Although it is sold for large companies, there is no lower limit on the number of users in any plan, and contracts can be made with 300 or less users .

Office 365
E1
Office 365
E3
Office 365
E5
Microsoft
365 E3
Microsoft
365 E5
Microsoft 365
Apps for enterprise
number of users Unlimited Unlimited Unlimited Unlimited Unlimited Unlimited
Office apps △ (WEB version only)
Teams
Exchange
mailbox
50GB 100GB 100GB 100GB 100GB
OneDrive
for Business
cloud storage
1TB 5TB (when used by 5 or more people) 5TB (when used by 5 or more people) 5TB (when used by 5 or more people) 5TB (when used by 5 or more people) 1TB
SharePoint
Online
Information protection
Intune
(device management)
App monitoring

For field personnel


There are 3 types of plans for frontline workers working in the field such as stores and factories.

  • Office 365 F3
  • Microsoft 365 F1
  • Microsoft 365 F3

The feature of this plan is that there is no desktop application provided, and it is all web applications .

Assuming use on a shared computer, sign in with your own account.

Office 365
F3
Microsoft 365
F1
Microsoft 365
F3
number of users Unlimited Unlimited Unlimited
Office apps △ (WEB version only) △ (WEB version only) △ (WEB version only)
Teams
Exchange
mailbox
2GB *Teams calendar only 2GB
OneDrive
for Business
cloud storage
2GB 2GB 2GB
SharePoint
Online
advanced security
Intune
(device management)

How to find out which type of license is best for you


We’ve introduced the types of licenses for Microsoft 365, but even looking at the comparison chart, it may not be obvious which plan is right for your company.

Since there are many types, it is recommended to narrow down by following the steps below instead of comparing all at once.

  1. number of users
  2. Do you need a desktop app
  3. security level

1. Number of users

Some plans in Microsoft 365 have a limit on the number of users, so first narrow down the plan by the number of users.

The types of plans that can be contracted for each user size are shown in the table below.

number of users Plans that can be contracted
6 people or less For individuals, for general corporations (SMEs), for large companies, for field personnel
7 to 300 people For general corporations (SMEs), for large companies, for on-site personnel
More than 300 people For large companies, for field personnel
See also  [Microsoft 365] Explain how to change or upgrade your plan

2. Do I need a desktop app?

There are two types of Office applications: desktop applications and web applications.

  • Desktop app: Install and use on your computer
  • Web app: use on browser

The caveat is that while the desktop app is fully functional, the web app doesn’t replicate advanced features such as Excel macros .

Among the Microsoft 365 plans, there are five types of plans that only offer web apps.

If you want desktop apps, rule out these plans.

  • Microsoft 365 Business Basic
  • Office 365 E1
  • Office 365 F3
  • Microsoft 365 F1
  • Microsoft 365 F3

3. Security level

Some of the older Office 365 plans are still for sale, but Microsoft 365 plans offer more security, including threat protection and device management .

If you want to raise the security level for remote work or using the cloud, we recommend the top plan of Microsoft 365 .

Article Summary

We introduced the types of license plans for Microsoft 365 and tips on how to choose one.

There are many plans and they are complicated, but if you narrow down the conditions based on the number of people and the points you are particular about, you should be able to find the most suitable plan.

Prices are introduced on this page, so please refer to them as well.