Important Microsoft Security & Compliance Licensing Changes Starting October 2025
Microsoft has introduced significant changes to their security and compliance licensing structure that will impact how businesses access enterprise-grade protection.
Table Of Contents
E5 Compliance Gets a New Name (and New Options)
What Changed: Microsoft has rebranded E5 Compliance to Microsoft Purview Suite. While the product itself hasn’t changed—same features and capabilities—the licensing landscape around it has evolved significantly.
Key Points:
- Existing customers: If you currently have E5 Compliance licenses, you’re grandfathered in and can continue using them with full access under the new Purview Suite name
- New customers: E5 Compliance is no longer available for purchase as of September 2025
- Eligible base licenses for Purview Suite include:
- Microsoft 365 E3
- Office 365 E3 + EMS E3
- Microsoft 365 E5 (includes all Purview Suite features at no additional cost)
The Game-Changer: As of October 1, 2025, Microsoft 365 Business Premium is NO LONGER an eligible prerequisite for Purview Suite. This is a critical change for small and medium-sized businesses that previously had access to enterprise-grade compliance tools.
Introducing: New Business Premium Add-On Suites
To address the gap left by removing Business Premium as a Purview prerequisite, Microsoft launched three new add-on suites specifically designed for Business Premium customers in September 2025:
1. Purview Suite for Business Premium- $10/user/month
- Information Protection & DLP (including Endpoint DLP)
- Insider Risk Management
- eDiscovery (Premium)
- Audit (Premium) with 365-day retention
- Advanced Message Encryption
- Customer Key
2. Defender Suite for Business Premium- $10/user/month
- Defender for Endpoint P2
- Defender for Office 365 P2
- Entra ID P2
3. Combined Defender & Purview Suite for Business Premium- $15/user/month
- Everything from both suites above
- Savings: Up to 68% compared to buying components separately
Important Limitation:
These add-ons require Microsoft 365 Business Premium as the base license and have a maximum capacity of 300 users across all Business Premium add-ons.
Microsoft Teams Returns to CSP Licensing
In a significant policy reversal following a settlement with the European Commission, Microsoft reintroduced Microsoft 365 and Office 365 Enterprise suites with Teams globally on November 1, 2025. This change affects all CSP partners and marks the end of the Teams unbundling era.
What Changed:
- Enterprise suites with Teams are now available again alongside “no Teams” versions
- Pricing adjustments were made to create appropriate price deltas between versions
- Suites without Teams decreased in price, while Teams Enterprise standalone increased
What This Means for CSP Partners:
- Simplified licensing for customers purchasing through CSP
- Greater flexibility in offering complete Microsoft 365 experiences
- No more complex workarounds for Teams licensing in new CSP purchases
- Existing customers can transition from “no Teams” suites to versions with Teams included
Final Thoughts
These changes reflect Microsoft’s ongoing effort to:
- Simplify naming conventions (E5 Compliance → Purview Suite, E5 Security → Defender Suite)
- Create clear pathways for SMBs to access enterprise-grade security and compliance
- Streamline the CSP purchasing experience with Teams reintegration
- Address regulatory requirements while maintaining customer flexibility
Need help navigating these changes?
As a leading Microsoft Service Provider, our team of experts can review your current licensing and help determine the best path forward, whether you’re looking to maintain existing compliance capabilities or explore the new Business Premium add-ons.
