Office 365 E5 vs E3 Comparison Table
Office 365 E5 Premium Advantages
What You Get Beyond Office 365 E3
Feature Category |
Office 365 E3 |
Office 365 E5 |
E5 Advantage |
Monthly Price |
$27.60/user |
$45.60/user |
$18.00 premium |
Voice Calling |
❌ Not included |
✅ Teams Phone Standard |
Save $8/month |
Audio Conferencing |
❌ Not included |
✅ Included |
Save $4/month |
Advanced Analytics |
❌ Basic only |
✅ Power BI Pro |
Save $10/month |
Threat Protection |
⚠️ Basic security |
✅ Defender Plan 2 |
Save $5/month |
Webinar Capacity |
1,000 attendees |
✅ 1,000 attendees |
Included |
Email Storage |
100GB |
✅ 100GB |
Same |
Desktop Apps |
✅ Up to 5 devices |
✅ Up to 5 devices |
Same |
OneDrive Storage |
1TB per user |
✅ 2TB per org |
Enhanced |
Office Mobile Apps |
✅ Included |
✅ Included |
Same |
Microsoft Teams |
✅ Included |
✅ Enhanced |
Premium features |
SharePoint |
✅ Included |
✅ Included |
Same |
Exchange Online |
Plan 2 |
✅ Plan 2 |
Same |
Compliance Tools |
⚠️ Basic |
✅ Advanced eDiscovery |
Enhanced |
Power Apps |
✅ Included |
✅ Enhanced |
More capabilities |
Power Automate |
✅ Included |
✅ Enhanced |
More flows |
Copilot Studio |
❌ Not included |
✅ For Teams |
Exclusive |
Visio |
For web |
✅ For web |
Same |
💰 Value Analysis: E5 includes $27/month of add-ons that cost separately with E3, making the $18.00 premium an exceptional value - you get $9 MORE in features than you pay extra!
E5 Exclusive Features Not Available in E3
Feature |
Description |
Standalone Cost |
E5 Value |
Teams Phone Standard |
Cloud-based phone system with calling plans |
$8/user/month |
✅ Included |
Audio Conferencing |
Global dial-in numbers for meetings |
$4/user/month |
✅ Included |
Power BI Pro |
Advanced analytics and data visualization |
$10/user/month |
✅ Included |
Defender for Office 365 Plan 2 |
Advanced threat protection |
$5/user/month |
✅ Included |
Copilot Studio for Teams |
Build custom AI assistants |
Add-on only |
✅ Included |
Advanced eDiscovery |
Enhanced compliance and legal hold |
Enterprise only |
✅ Included |
MyAnalytics Premium |
Personal productivity insights |
E5 only |
✅ Included |
Advanced Compliance |
Information governance and DLP |
Add-on only |
✅ Included |
Total Standalone Add-on Value: $27+/user/month
E5 Premium Over E3: $18.00/user/month
💡 ROI: You get $9 MORE in value than the upgrade cost - E5 saves money when you need these features!
Feature Categories Comparison
Communication & Collaboration
Feature |
E3 |
E5 |
Notes |
Microsoft Teams |
✅ Standard |
✅ Premium |
E5 includes advanced features |
Teams Phone System |
❌ |
✅ |
Cloud PBX replacement |
Audio Conferencing |
❌ |
✅ |
Dial-in capabilities |
Webinars |
✅ 1,000 |
✅ 1,000 |
Same capacity |
Exchange Online |
✅ Plan 2 |
✅ Plan 2 |
100GB both |
SharePoint Online |
✅ |
✅ |
Unlimited storage |
OneDrive for Business |
✅ 1TB |
✅ 2TB |
More storage |
Yammer Enterprise |
✅ |
✅ |
Social networking |
Productivity Applications
Feature |
E3 |
E5 |
Notes |
Office Desktop Apps |
✅ 5 devices |
✅ 5 devices |
Word, Excel, PPT, etc. |
Office Online |
✅ |
✅ |
Browser-based |
Office Mobile |
✅ |
✅ |
iOS & Android |
Visio for Web |
✅ |
✅ |
Diagramming tool |
Publisher (PC only) |
✅ |
✅ |
Desktop publishing |
Access (PC only) |
✅ |
✅ |
Database application |
Business Intelligence & Analytics
Feature |
E3 |
E5 |
Notes |
Power BI Pro |
❌ |
✅ |
$10/month value |
Excel Advanced Analytics |
⚠️ Basic |
✅ Advanced |
Enhanced capabilities |
MyAnalytics |
⚠️ Basic |
✅ Premium |
Personal insights |
Organizational Insights |
❌ |
✅ |
Team analytics |
Security & Compliance
Feature |
E3 |
E5 |
Notes |
Microsoft Defender for Office 365 |
⚠️ Plan 1 |
✅ Plan 2 |
Advanced threat protection |
Cloud App Security |
❌ |
✅ |
CASB functionality |
Advanced Threat Analytics |
⚠️ Basic |
✅ Advanced |
Behavioral analytics |
Multi-Factor Authentication |
✅ |
✅ |
Identity protection |
Azure AD Premium P1 |
✅ |
✅ |
Identity management |
Information Protection |
⚠️ Basic |
✅ Advanced |
Data classification |
eDiscovery |
⚠️ Basic |
✅ Advanced |
Legal hold |
Audit Log Search |
✅ |
✅ |
Compliance reporting |
Litigation Hold |
✅ |
✅ |
Email retention |
Data Loss Prevention |
✅ |
✅ |
DLP policies |
Automation & Development
Feature |
E3 |
E5 |
Notes |
Power Apps |
✅ Standard |
✅ Enhanced |
More API calls |
Power Automate |
✅ Standard |
✅ Enhanced |
More flows |
Copilot Studio for Teams |
❌ |
✅ |
Custom AI bots |
Dataverse for Teams |
✅ |
✅ |
Database platform |
When to Choose E5 Over E3
Use Case |
Recommended Plan |
Reason |
Need cloud phone system |
E5 |
Includes Teams Phone Standard ($8/month value) |
Require dial-in conferencing |
E5 |
Audio Conferencing included ($4/month value) |
Advanced data analytics |
E5 |
Power BI Pro included ($10/month value) |
Maximum threat protection |
E5 |
Defender Plan 2 included ($5/month value) |
Compliance & eDiscovery |
E5 |
Advanced compliance tools included |
Basic productivity only |
E3 |
More cost-effective for standard needs |
No phone system needed |
E3 |
Save $22.60/user/month |
Limited analytics requirements |
E3 |
Basic reporting sufficient |
Quick Decision Matrix
Your Organization |
Best Choice |
Why |
500+ users with PBX replacement needs |
E5 |
Teams Phone saves infrastructure costs |
Financial services / Healthcare |
E5 |
Advanced compliance requirements |
Data-driven decision making |
E5 |
Power BI Pro essential |
High security requirements |
E5 |
Advanced threat protection crucial |
Standard office productivity |
E3 |
Cost-effective for basic needs |
Growing business (50-500 users) |
E3 |
Upgrade to E5 as needs grow |
Limited IT budget |
E3 |
Best value for core features |
Key Subscription Features |
Exchange Online Plan 2: Email hosting with 100 GB mailbox and custom email domain address |
1TB Personal File Storage and sharing |
Advanced Security |
Microsoft Office applications Word, Excel, PowerPoint, Outlook, OneNote, Access (PC Only) Publisher (PC Only) and Teams |
Web versions of Outlook, Word, Excel, and PowerPoint |
Viva Insights |
Viva Learning |
Automation, App Building and Chatbots |
Power Apps for Microsoft 365 |
Power Automate for Microsoft 365 |
Power Virtual Agent for Teams |
Dataverse for Teams |
Copilot as an addon |
Information Protection |
Azure Information Protection Plan 2 |
Manual, default, and mandatory sensitivity labeling in Office 365 |
Automatic sensitivity labeling in Office 365 apps |
Manual labeling with the AIP app and plugin |
Automatic labeling in the AIP plugin |
Automatic sensitivity labels in Exchange, SharePoint, and OneDrive |
Sensitivity labels based on Machine Learning/Trainable Classifiers |
Sensitivity labeling for containers in Office 365 |
Data Loss Prevention (DLP) for emails & files |
DLP for Teams chat |
Endpoint DLP |
Basic Message Encryption |
Advanced Message Encryption |
Customer Key |
Insider Risk and Management |
Insider Risk Management |
Communication Compliance |
Information Barriers |
Customer Lockbox |
Privileged Access Management |
Cloud Access Security Broker |
Microsoft Defender for Cloud Apps |
Microsoft Defender for Cloud Apps Discovery |
Threat Protection |
Microsoft Defender Antimalware |
Microsoft Defender Firewall |
Microsoft Defender Exploit Guard |
Microsoft Defender Credential Guard |
BitLocker and BitLocker To Go |
Windows Information Protection |
Microsoft Defender for Endpoint Plan 1 |
Microsoft Defender for Endpoint Plan 2 |
Microsoft Defender for Identity |
Microsoft Defender for Office 365 Plan 2 |
Application Guard for Office 365 |
Safe Documents |
Security and Compliance |
Microsoft 365 E5 Security |
Microsoft 365 E5 Compliance |
Microsoft 365 E5 Info Protection and Governance |
Microsoft 365 E5 Insider Risk Management |
Microsoft 365 E5 eDiscovery and Audit |
Microsoft Defender for Identity |
Microsoft Defender for Office 365 Plan 1 |
Microsoft Defender for Office 365 Plan 2 |
Microsoft Defender for Cloud Apps |
Microsoft Defender for Endpoint Plan 1 |
Microsoft Defender for Endpoint Plan 2 |
Microsoft Purview Data Loss Prevention (for email and files) |
Azure Active Directory Premium Plan 1 |
Azure Active Directory Premium Plan 2 |
Microsoft Intune |
eDiscovery and auditing |
Litigation Hold |
Content Search |
eDiscovery (Premium) |
Audit (Standard) |
Exchange Archiving |
eDiscovery (Standard) (including Hold and Export) |
Complete Overview of Microsoft Office 365 Features
What Size Companies Do We Work With?
Microsoft Office 365 For Enterprises (500+ Employees)
Our Enterprise Deployments of Microsoft Office 365 are for organizations that have a more advanced IT network configuration. We have the right Migration Package and Deployment structure for enterprises. We have extensive knowledge in Exchange, SharePoint, and Teams. Our Enterprise Business package is affordable to get you up and running in the cloud.
Microsoft Office 365 For Mid-Market (50-500 Employees)
Mid-market companies face unique challenges in leveraging Microsoft Office 365 , requiring a sophisticated approach to cloud productivity and collaboration tools. Our cloud managed services provide comprehensive support that transforms technology into a strategic business asset.
Microsoft Office 365 For Small Business (1-50 Employees)
Iron Cove Solutions is a leading provider of Microsoft Office 365 for small businesses. We have the right Migration package and Deployment structure for small businesses. Our “Small Business Package” is an affordable option to help you get up and running in the cloud. We are Microsoft cloud experts in Office 365.
Microsoft Office 365 For Non-Profits (Any Size)
We help nonprofit organizations access and implement Microsoft Office 365 at the lowest possible cost. As Microsoft Cloud Accelerated Partners, we tailor deployment plans to fit your mission, budget, and operational needs—making cloud adoption seamless and impactful.
Microsoft Office 365 Cloud Support (250 and under)
We offer Microsoft Office 365 Cloud support for organizations during and after a deployment. We offer flexible support packages for organizations of all sizes. Whether you're troubleshooting post-deployment issues or seeking to optimize your current setup, our cloud experts provide the ongoing support your team needs to succeed.
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