Microsoft 365 Business Premium is a comprehensive, all-in-one productivity suite specifically designed for SMBs. It combines the Microsoft Office applications, cloud services, and security features into a single subscription offering. With Microsoft 365 Business Premium, companies can boost their productivity, collaboration, and data protection, all while streamlining their IT management.

M365 Business Premium offers many additional security features over and above what is included in Office 365 E3, and is cheaper, which makes moving to Business Premium an easy and beneficial change for SMBs with less than 300 users. M365 Business Premium is also one of the SKUs included in the Global Strategic Product Accelerator Incentive meaning that partners with a Solutions Partner Designation are eligible to earn additional rebates. Moving your customers to Business Premium also opens doors to new professional and managed services opportunities, as the customer will already be licensed security services such as Intune, Defender, and Azure AD Premium which gives you the opportunity to sell additional services to your customers to deploy and manage these solutions.  

It's important to note before having any conversations with your customers about this transition, that Office 365 E3 to M365 Business Premium is not an eligible NCE upgrade path. This means that you will need to wait until the end of the subscription term before moving the customer to Business Premium.

 

Key Differences

The key differentiator between Business Premium and Office 365 E3 is security – Business Premium includes the following security services that are not included in O365 E3:

  • Microsoft Entra ID P1 (previously called Azure AD Premium P1) – An identity and access management solution that enables organisations to securely manage their user identities and access to resources. It provides single sign-on (SSO) capabilities, multi-factor authentication (MFA), and self-service password reset (SSPR) features, enhancing security and the user experience.
  • Microsoft Intune Plan 1 - A cloud-based mobile device management (MDM) solution designed to help businesses secure and manage their devices and apps. It enables organisations to remotely control access to company data on employees' devices, enforce security policies, and ensure compliance.
  • Defender for Office 365 P1 – A comprehensive security solution designed to protect businesses from email-based threats. It offers advanced features like anti-phishing and anti-malware protection, safeguarding against malicious attachments and URLs with real-time threat detection and URL scanning.
  • Defender for Business – A endpoint security solution that helps protect organisations from a wide range of cyber threats with advanced threat detection and response capabilities, including antivirus, malware protection, and behaviour-based analytics.

The other key difference between the two licenses is storage. Since Office 365 E3 is an enterprise plan, it includes additional storage with a 100GB mailbox and unlimited OneDrive Storage, whereas Business Premium includes a 50GB mailbox and 1TB OneDrive storage. The additional storage is the only feature an O365 E3 customer would ‘lose’ by moving to Business Premium. While a 50GB mailbox is enough for most users, if a user needs more mailbox storage this can be easily addressed with Exchange Online Archiving, a feature included in Business Premium that provides an archive mailbox linked to the user’s primary mailbox with up to 1.5TB of additional storage space.

To check whether any users have more than 50GB mail or 1TB of OneDrive files, you can use the OneDrive for Business usage report and Mailbox usage report in the Microsoft Admin Center (MAC). By default, user details in the reports are hidden so make sure to enable the setting to show concealed usernames in the reports.

Exchange Online Archiving

Exchange Online Archiving is cloud-based email archiving solution offered by Microsoft. It allows organisations to store and manage their historical email data securely in the cloud, providing additional storage capacity for users' primary mailboxes. When Exchange Online Archiving is enabled for a user a secondary archive mailbox, named “Online archive – <user’s email address>” is created which sits under the user’s primary mailbox in Outlook. The archive mailbox is initially provisioned with 100GB of mailbox storage, which can be increased up to 1.5TB when auto-expanding is enabled.

Exchange Online Archiving can be enabled in the Exchange Online Admin Center (EAC) or by using Exchange Online PowerShell. If you want to bulk-enable archiving for all users, you must use PowerShell.

Here’s what will happen when you enable the archive mailbox:

  • By default, emails older than 2 years will be moved to the archive mailbox. This is controlled by the Default MRM Policy that is created by Exchange Online. You can customise the MRM policy if you want to change this behaviour.
  • It can take up to 7 days for archive mailbox to be provisioned and the mail to move to the archive mailbox. This is because the process responsible for this (Managed Folder Assistant) runs once every 7 days. Instead of waiting you can force the Managed Folder Assistant process to run with PowerShell.
  • By default, the online archive mailbox will have 100GB storage space. If you need more storage space, you can enable auto-expanding archiving, which will automatically increase the mailbox storage space as it reaches the storage quota up until the archive mailbox reaches 1.5TB.

 

Business Premium vs Office 365 E3 - Feature Comparison

License Feature

M365 Business Premium

O365 E3

Microsoft 365 Apps

 

 

Desktop client apps

Yes

Yes

Office Mobile apps

Yes

Yes

Install apps on up to 5 PCs/Mac + 5 tablets + 5 smartphones

Yes

Yes

Office for the web

Yes

Yes

Visio for the web

Yes

Yes

Microsoft Editor premium features

Yes

Yes

Multilingual user interface for Office apps

Yes

Yes

Email and calendar

 

 

Exchange Online

Plan 1 (50GB)

Plan 2 (100GB)

Calendar

Yes

Yes

Outlook desktop client

Yes

Yes

Exchange Online Archiving

Yes (1.5TB)

Yes (1.5TB)

Exchange Online Protection

Yes

Yes

Public folder mailboxes

Yes

Yes

Resource mailboxes

Yes

Yes

Microsoft Shifts

Yes

Yes

Microsoft Bookings

Yes

Yes

Meetings, calling, and chat

 

 

Microsoft Teams

Yes

Yes

Unlimited chat

Yes

Yes

Online meetings

Yes

Yes

Webinars

Yes

Yes

Screen sharing and custom backgrounds

Yes

Yes

Record meetings

Yes

Yes

Priority notifications

Yes

Yes

Teams Phone

No

No

Audio Conferencing

Yes via free add-on

Yes via free add-on

Social, intranet, and storage

 

 

SharePoint

Plan 1 (1TB OneDrive Storage)

Plan 2 (Unlimited OneDrive Storage)

10 GB additional storage per license

Yes

Yes

OneDrive personal storage

Yes (1 TB)

Yes (Unlimited)

Microsoft Viva Connections

Yes

Yes

Yammer Enterprise

Yes

Yes

Knowledge and content

 

 

Microsoft Graph API

Yes

Yes

Microsoft Search

Yes

Yes

Microsoft Lists

Yes

Yes

Microsoft Forms

Yes

Yes

Microsoft Stream (on SharePoint)

Yes

Yes

Delve

Yes

Yes

Project and task management

 

 

Microsoft Planner

Yes

Yes

Microsoft To-Do

Yes

Yes

Briefing Email

Yes

Yes

Analytics

 

 

Productivity Score

Yes

Yes

Secure Score

Yes

Yes

Compliance Management

Yes

Yes

Viva Insights

 

 

Personal insights in Teams

Yes

Yes

Outlook add-in and inline suggestions

Yes

Yes

Daily briefing email

Yes

Yes

Monthly email digest and personal dashboard

Yes

Yes

Viva Learning

 

 

Viva Learning in Teams

Yes

Yes

Create learning tabs in Teams channels

Yes

Yes

Search, share, and chat about learning content

Yes

Yes

Microsoft Learn and Microsoft 365 Training libraries + 125 top LinkedIn
Learning courses

Yes

Yes

Organization-generated content with SharePoint and Viva Learning

Yes

Yes

Automation, app building, and chatbots

 

 

Power Apps for Microsoft 365

Yes

Yes

Power Automate for Microsoft 365

Yes

Yes

Power Virtual Agent for Teams

Yes

Yes

Dataverse for Teams

Yes

Yes

Threat protection

 

 

Microsoft Defender for Business

Yes

No

Microsoft Defender Exploit Guard

Yes

No

Microsoft Defender Credential Guard

Yes

No

BitLocker and BitLocker To Go

Yes

No

Windows Information Protection

Yes

No

Microsoft Defender for Office 365

Plan 1

No

Endpoint and app management

 

 

Microsoft Intune

Yes

No

Mobile Device Management

Yes

Yes

Mobile application management

Yes

No

Windows AutoPilot

Yes

No

Group Policy support

Yes

Yes

Office cloud policy support

Yes

Yes

Shared computer activation for Microsoft 365 Apps

Yes

Yes

Endpoint Analytics

Yes

No

Cortana management

Yes

No

Identity and access management

 

 

Azure Active Directory Premium Plan 1

Yes

No

User Provisioning

Yes

Yes

Self Service Password Reset

Yes

No

Multi Factor Authentication

Yes

Yes

Conditional Access

Yes

No

On-premises Active Directory sync for SSO

Yes

Yes

Windows Hello for Business

Yes

No

Cloud access security broker

 

 

Microsoft Defender for Cloud Apps Discovery

Yes

No

Information Protection

 

 

Azure Information Protection

Plan 1

No

Manual, default, and mandatory sensitivity labelling in Office 365

Yes

Yes

Manual labelling with the AIP app and plugin

Yes

Yes

Data Loss Prevention (DLP) for emails and files

Yes

Yes

Basic Message Encryption

Yes

Yes

Data Lifecycle Management

 

 

Manual retention labels

Yes

Yes

Basic org-wide or location-wide retention policies

Yes

Yes

Teams message retention policies

Yes

Yes

eDiscovery and Auditing

 

 

Content Search

Yes

Yes

Litigation Hold

Yes

Yes

Audit (Standard)

Yes

Yes

Windows

 

 

Windows 11 Edition

Business

No

Azure Virtual Desktop

Yes

No

Universal Print

Yes

No