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As a result of the changes in the licensing structure by Microsoft, we are getting a lot of calls for help to break free from partnerships that are locked in. If everything is running smoothly, you may not have realized it because the price did not go up this year. However, if you need to upgrade, Teams is no longer included in the package.

We will guide you through the licensing jungle to make sure you maintain your freedom without paying a hefty price. Microsoft’s licenses are modified on an ongoing basis. Their systems take up the majority of the space on most companies’ IT environments. Therefore, even the smallest fluctuations are relevant to a very large group of people. However, this year, unlike prior years, the prices are not going up. So, what is the problem? We have called in our license expert, Jimmy Wolfhagen, to provide an overview and guide you along the way.

Hidden Price Increase of 25%

Did you know that if you want to switch suppliers, you will be stopped along the way? There is a healthy amount of frustration spreading among the customers in the EU because they feel tied to one given partner. We are seeing more and more new Microsoft customers who are faced with the same challenge: there is a price increase because you are now forced to purchase a separate Teams license. As a result, there is a hidden price increase of 25%, Jimmy Wolfhagen, Cloud License Specialist, explains and adds: “The same problem exists if you want to upgrade from Office E3 to Microsoft E3. You will also be stopped in your tracks here. This was the case until April 2024 for all EU customers, and we are dealing with a bit of drama now because both Zoom and Slack have commenced litigation against Microsoft, by and through the European Union, as a result of this issue and the decision now lies with Magrethe Vestager and her colleagues. The most recent development is: as of April 1, 2024, Teams will be removed from the package for all Microsoft customers on a global scale.”

“There is a price increase because you are now forced to purchase a separate Teams license in addition to the other license. Therefore, you now have a hidden price increase of 25%.”
Jimmy Wolfhagen, Cloud License Specialist

Is There a Workaround?

As complex as all of this is, the answer is simple: Yes, there is a workaround for the problem. Or rather, “we have found a workaround,” Jimmy says. “Of course, the customers should not be locked into something they do not want to be in if they prefer to enter into a new partnership. Furthermore, the hidden price increase for Teams is not appealing. Therefore, we have dug deep down into the material, left no stone unturned, and found a solution to both challenges. Everyone knows what Teams is, but we now know all the technicalities behind it and therefore, we know which boxes to check to make sure our customers can upgrade their licenses without losing Teams,” he says.


On the Same Team about Teams

Jimmy explains that the desire to “untie the knot” exists for us too. “When we discuss CSP in general or Teams and the upgrades, we also do not want to lock in our customers. On the contrary, we want our customers to have freedom and extra service, an extra layer added with our guidance. We have specialized insight and highly trained specialists,” he says.

Because of this level of specialization, we, at Danoffice IT, were the only Danish Microsoft Partner which was invited to participate in the global Microsoft Partner Summit 2024 at their headquarters in Seattle. Naturally, Jimmy attended the summit. “Attending an event like that is clearly of great benefit to us because we are provided with the most recent and in-depth knowledge and furthermore, we have the opportunity to get feedback from other talented Microsoft partners about issues such as these challenges with the licenses and Teams,” Jimmy Wolfhagen, Cloud License Specialist, concludes.

How can you keep Teams at no extra cost?

Contact us at +45 6221 1766 or mslicense@danofficeit.com to learn how we can help you. We base our counseling on your specific situation and licensing package and will guide you safely to the other side.

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