For Microsoft customers, there are several benefits to making this transition. First, the add-ons and programs within a Microsoft 365 deployment will help home and business users work more effectively within a single suite of products. This way, they won’t need to rely on an ensemble of fragmented applications from different providers.
Additionally, the previous SKU system used an unclear tier-system for Microsoft products. For example, the mid-price offering for small-to-medium businesses was called “Office 365 Business Premium,” but the premium tier for small-to-medium businesses was called “Microsoft 365 Business.” This didn’t just create a confusing sales pitch, it muddied how customers understood Microsoft’s offerings.
To help create this alignment in Microsoft’s SKU system, licensing for SMB customers (meaning companies with up to 300 users) will be subject to new naming conventions whereas licensing plans for Small Medium Corporate or Enterprise accounts stay untouched. According to Microsoft, the following name changes will take place.
- Office 365 Business Essentials will become Microsoft 365 Business Basic.
Office 365 Business Premium will become Microsoft 365 Business Standard.
Microsoft 365 Business will become Microsoft 365 Business Premium.
- Office 365 Business and Office 365 ProPlus will become Microsoft 365 Apps.