Key Differences between Office 365 E3 and Microsoft 365 Enterprise Licensing

If modern businesses want to gain a competitive edge by effectively optimizing their IT infrastructure to increase productivity, choosing the right collaboration suite is crucial. The suite service provider that has the absolute monopoly over this market due to its high credibility and brand name is none other than Microsoft. Microsoft offers various licensing plans including Office 365 E3 and Microsoft 365 E3 plans. The plan selection is guided by the customer’s demands that includes their budget, requirements, and desired features. 

However, many potential customers feel confused as to which plan they should consider due to the almost similar names of the plans. Hence, to make the difference between the two flagship plans clear, this article is going to highlight the key features and differences between Office 365 E3 and Microsoft 365 to save companies’ time and ultimately make an optimal decision. 

What is Office 365 E3? 

It is a cloud-based suite that offers various applications and productivity services. It encompasses Microsoft Office foundational applications including Word, Excel, PowerPoint, and Outlook. Other than that, it also includes OneDrive and SharePoint for file storage and sharing and basic security and threat protection features.  

What is Microsoft 365 E3? 

It is a more comprehensive plan that offers everything that Office 365 E3 offers but with even more features. While offering the foundational applications, OneDrive, and SharePoint, it provides additional security and device management features. It also includes the OS licensing and management of Windows 11 which helps with performance and stability.  

A Comparison for a Brief Overview 

Features  Microsoft 365 E3  Office 365 E3 
Word and Excel  Yes  Yes 
PowerPoint  Yes  Yes 
Outlook  Yes  Yes 
OneDrive and SharePoint  Yes  Yes 
Email and Cloud Storage  100 GB of mailbox and 1 TB of cloud storage  100 GB of mailbox and 1 TB of cloud storage 
Security Options  Advanced  Basic 
Device Management Features  Extensive (Intune and Defender)  Limited 
Artificial Intelligence  AI powered suite  Limited 
Windows Operating System  Present (Windows 11 Enterprise)  Not included 
Compliance and Legal Features  Advance compliance and legal protection support   Basic support 
Azure Services  Extensive  Limited 

 

We can understand from the table that both plans offer the foundational features for which the suite is popular for. However, Microsoft 365 E3 plan does offer more features than Office 365 E3 plan especially with its advanced features. 

Sometimes, businesses’ primary requirement is access to just the productivity tools and cloud collaboration feature with the basic security and device management options. Office 365 E1 would be better suited for them.  

However, many businesses prefer advanced security and device management tools along with the productivity options as they deal with confidential data. Microsoft 365 E3 would be more compatible with them. 

In conclusion, both Office 365 E3 and Microsoft 365 licensing provide essential collaborative solutions for businesses. While one is a cost-effective option, the latter offers various advanced features worth the investment. However, the choice often narrows down to the size of the businesses and the type of information and clients they have! Therefore, one must consider these factors before choosing to buy Office 365 Enterprise E3 or Microsoft 365 Enterprise E3 license

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