In today’s fast-paced digital workplace, organizations need tools that foster productivity, ensure security, and streamline collaboration. Microsoft 365 E3 offers a powerful suite of services tailored to meet these needs — combining productivity apps, cloud services, and security features into one enterprise-grade package.
But what exactly is Microsoft 365 E3, and is it the right fit for your business?
This post takes a deep dive into the Microsoft 365 E3 plan: what it includes, how it compares to other plans, and why it might be the strategic choice for your organization.
🧩 What is Microsoft 365 E3?
Microsoft 365 E3 is an enterprise subscription plan designed for medium to large businesses. It bundles together:
- Office 365 apps (Word, Excel, PowerPoint, Outlook, etc.)
- Enterprise-grade security and compliance tools
- Advanced collaboration features via Microsoft Teams, SharePoint, and Exchange Online
- Device and app management capabilities through Intune and Microsoft Entra (formerly Azure Active Directory)
It sits between the Business Premium and E5 plans, offering a balance of cost and enterprise-grade capabilities.
📦 What’s Included in Microsoft 365 E3?
Here’s a breakdown of the key features:
1. Productivity Apps
- Desktop Office Apps (Word, Excel, PowerPoint, Outlook, Publisher, Access)
- Web and Mobile Versions
- 1 TB OneDrive Cloud Storage per user
2. Email and Calendaring
- Exchange Online with 100 GB mailbox
- Professional Outlook email and calendar integration
3. Collaboration and Communication
- Microsoft Teams for meetings and messaging
- SharePoint Online for intranet and document management
- Yammer for enterprise social networking
4. Security and Compliance
- Data Loss Prevention (DLP)
- Sensitivity labels and rights management
- Microsoft Purview compliance tools
5. Identity and Access Management
- Microsoft Entra ID P1 (formerly Azure AD Premium P1)
- Self-service password reset
- Conditional Access
- Multi-Factor Authentication (MFA)
6. Device and App Management
- Microsoft Intune for MDM and MAM
- Support for Windows Autopilot provisioning
⚖️ Microsoft 365 E3 vs. Other Plans
| Feature | Business Premium | Microsoft 365 E3 | Microsoft 365 E5 |
|---|---|---|---|
| Max Users | 300 | Unlimited | Unlimited |
| Office Desktop Apps | ✅ | ✅ | ✅ |
| Intune + MDM | ✅ | ✅ | ✅ |
| Azure AD Premium P1 | ✅ | ✅ | ✅ |
| Azure AD Premium P2 | ❌ | ❌ | ✅ |
| Microsoft Defender for Endpoint | ❌ | ❌ | ✅ |
| Advanced eDiscovery & Audit | ❌ | ❌ | ✅ |
Takeaway: E3 is ideal for enterprises that want powerful productivity and security tools but don’t need the advanced analytics and threat protection of E5.
💼 Who is Microsoft 365 E3 For?
Microsoft 365 E3 is best suited for:
- Enterprises looking for scalable, secure collaboration
- Remote/hybrid teams that rely on cloud-based tools
- Highly regulated industries like healthcare, legal, and finance
- IT admins who need centralized identity and device management
💸 Licensing and Cost
As of 2025:
- $36.00 USD/user/month (Annual commitment)
Pricing can vary based on contracts, volume licensing, or CSP programs. Discounts may apply for education, nonprofit, or dev/test usage.
🔐 Security and Compliance Highlights
Security is a key driver for choosing Microsoft 365 E3:
- Sensitivity Labels for data classification and protection
- DLP across Exchange, OneDrive, SharePoint, and Teams
- Conditional Access for risk-based identity management
- Microsoft Purview for compliance auditing and reporting
⚙️ Integration with Your Existing Environment
Microsoft 365 E3 supports hybrid and cloud-native setups:
- Works with on-premises Active Directory
- Supports hybrid Exchange deployments
- Integrates with Microsoft Graph API for custom apps
- Offers connectors for third-party SaaS tools
🚀 Migration and Deployment Considerations
When migrating to Microsoft 365 E3, plan for:
- Identity strategy: cloud-only vs. hybrid vs. federated
- License automation: via PowerShell or Microsoft Graph
- Data migration: email, files, and SharePoint content
- User training: maximize adoption with onboarding resources
📈 Real-World Benefits
Organizations that adopt Microsoft 365 E3 often see:
- Reduced IT overhead through centralized management
- Improved employee productivity and collaboration
- Strengthened security and compliance posture
- Scalable growth with predictable licensing costs
🧪 Pro Tip: Use E3 in a Dev/Test Environment
This is perfect for testing:
- Intune device compliance
- Conditional access policies
- Sensitivity labels and DLP
- Custom Teams or Graph-based apps
📝 Final Thoughts
Microsoft 365 E3 is more than a productivity suite — it’s an enterprise-class platform designed for secure, scalable collaboration. Whether you're managing thousands of users or building internal apps, E3 provides the flexibility and control modern IT teams need.
Thinking of making the switch or testing it out? Start with the Microsoft Cloud Solution Provider and explore the power of Microsoft 365 E3 today.
If you enjoyed this guide or have specific use cases you want to explore, feel free to leave a comment! 💬
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