top of page
Search

Microsoft 365 Licensing for Enterprise: A Strategic Guide to E1, E3, E5, and F3 Plans

Microsoft offers a range of licenses tailored to different business needs. For enterprises, choosing the right license can significantly impact productivity, collaboration, and cost-efficiency. We have created a summary of the most common license types from Microsoft along with the list of applications afforded to each license, pros and cons, as well as typical uses cases. While this list is not complete, it provides a basis to make informed decisions on the license type potential for your organization. 


Microsoft 365 E1 

Summary: The E1 license is designed for businesses that need basic productivity tools and cloud services. It includes web-based Office apps, email, and collaboration tools. 

Applications: 

  • Web-based Office apps (Word, Excel, PowerPoint) 

  • Exchange Online (email and calendar) 

  • Microsoft Teams (chat, meetings, and collaboration) 

  • SharePoint Online (document management and collaboration) 

  • OneDrive for Business (file storage and sharing) 

Use Cases: 

  • enterprises with remote or mobile employees who need access to Office apps and email from any device. 

  • Teams that require basic collaboration tools like Teams and SharePoint for project management and communication. 

  • Businesses looking for a cost-effective solution for basic productivity needs. 

Pros: 

  • Cost-effective for businesses with basic needs. 

  • Access to web-based Office apps (Word, Excel, PowerPoint). 

  • Includes email and calendar with Exchange Online. 

  • Collaboration tools like Teams and SharePoint. 

Cons: 

  • Limited to web-based apps; no desktop versions. 

  • Basic security features. 

  • Limited storage compared to higher-tier plans. 


Microsoft 365 E3 

Summary: The E3 license offers a comprehensive suite of productivity tools, including desktop versions of Office apps, advanced security features, and additional compliance capabilities. 

Applications: 

  • Desktop and web-based Office apps (Word, Excel, PowerPoint, Outlook, OneNote, Access) 

  • Exchange Online (email and calendar) 

  • Microsoft Teams (chat, meetings, and collaboration) 

  • SharePoint Online (document management and collaboration) 

  • OneDrive for Business (file storage and sharing) 

  • Microsoft Intune (device management) 

  • Data Loss Prevention (DLP) and other security features 

Use Cases: 

  • Enterprises that need both web-based and desktop Office apps for offline access and advanced functionality. 

  • Organizations that require enhanced security and compliance features to protect sensitive data. 

  • Teams that need robust collaboration tools and more storage for file sharing and management. 

Pros: 

  • Access to both web-based and desktop Office apps. 

  • Enhanced security features (e.g., data loss prevention). 

  • More storage with OneDrive. 

  • Advanced compliance tools. 

Cons: 

  • Higher cost compared to E1. 


Microsoft 365 E5 

Summary: The E5 license is the most advanced plan, offering all the features of E3 plus additional security, analytics, and voice capabilities. 

Applications: 

  • All applications included in E3 

  • Microsoft Defender for Office 365 (advanced threat protection) 

  • Microsoft 365 Defender (security management) 

  • Power BI Pro (business analytics) 

  • Microsoft Teams Phone (voice capabilities) 

Use Cases: 

  • Enterprises that need the highest level of security and threat protection. 

  • Organizations that require advanced analytics and reporting tools to gain insights from their data. 

  • Teams that need integrated voice capabilities for communication and collaboration. 

Pros: 

  • Includes all features of E3. 

  • Advanced security and threat protection. 

  • Analytics tools like Power BI. 

  • Voice capabilities with Microsoft Teams. 

Cons: 

  • Highest cost among the E licenses. 

 

Microsoft 365 F3 

Summary: The F3 license is designed for frontline workers who need access to essential tools and services on mobile devices. 

Applications: 

  • Web-based Office apps (Word, Excel, PowerPoint) 

  • Mobile versions of Office apps 

  • Exchange Online (email and calendar) 

  • Microsoft Teams (chat, meetings, and collaboration) 

  • SharePoint Online (document management and collaboration) 

  • OneDrive for Business (file storage and sharing) 

Use Cases: 

  • Frontline workers who need access to Office apps and email on mobile devices. 

  • Teams that require basic collaboration tools for communication and project management. 

  • Businesses looking for a cost-effective solution for frontline workers with limited IT needs. 

Pros: 

  • Cost-effective for frontline workers. 

  • Access to web-based Office apps and mobile versions. 

  • Includes email and collaboration tools. 

  • Simplified management and security. 

Cons: 

  • Limited to web-based and mobile apps; no desktop versions. 

  • Basic security features. 

  • Limited storage and functionality compared to E licenses. 


Find the Perfect Microsoft 365 Plan for Your Business

Not sure which license fits your needs and budget? Let us help you choose the right Microsoft 365 plan based on your team's productivity, security, and collaboration goals.


Choosing the right Microsoft 365 license depends on your business's specific needs and budget. Enterprises should consider their requirements for productivity tools, security, and collaboration when selecting a plan. If you have any questions or need further assistance, feel free to ask!


Author:

Patrick Whittington

Senior Cloud Consultant at Migrate Technologies

ree

 
 
 
bottom of page