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What is Teams Phone?

It makes Teams the company phone system — a real number that rings in Teams, on a desk phone, or on a mobile.

The license that grants it

Teams Phone with Calling Plan
$22

a seat, a month

What actually makes a call

Teams Phone with Calling Plan makes calls the moment it is bought, because the number and the minutes are in it.

Teams Phone Standard buys the phone system — voicemail, forwarding, auto attendants, call queues — but not a line to the outside world. External calls need a PSTN connectivity option bought alongside it, and every such option still requires this license as well.

At $13 a seat, that is the right license for a company that already has a carrier.

What Teams Phone does

TEAMS PHONE STANDARD $13Voicemail and transfersINSIDE THE COMPANYAuto attendantA MENU THAT ANSWERSCall queuesREACHES WHOEVER IS FREEWITH CALLING PLAN $22The same phone systemINCLUDEDA number and the minutes3,000 DOMESTIC A MONTHTHE SYSTEM AND THE LINE ARE TWO DIFFERENT PURCHASES
TEAMS PHONE STANDARD $13Voicemail and transfersINSIDE THE COMPANYAuto attendantA MENU THAT ANSWERSCall queuesREACHES WHOEVER IS FREEWITH CALLING PLAN $22The same phone systemINCLUDEDA number and the minutes3,000 DOMESTIC A MONTHTHE SYSTEM AND THE LINE ARE TWO PURCHASES

The system and the line to the outside world are sold separately. The bundled license carries both, which is why it is the one on the shelf.

  • Give the company a real phone number that rings in Teams, on a desk phone, or on a mobile.

  • Run an auto attendant and call queues, so a call reaches whoever is free.

  • Keep voicemail, transfers and caller ID in the same place as the chat and the meetings.

Which plans it can be added to

Teams Phone sits on top of a plan rather than replacing one. These are the plans it can be added to, at their own prices.

PlanPer person, per month
Microsoft 365 Business Basic
$9
Microsoft 365 Business Standard
$18
Microsoft 365 Business Premium
$28
Microsoft 365 F1
$4
Microsoft 365 F3
$13

Where it stops

Calling colleagues inside the company already works on most Microsoft 365 plans with no phone license at all. What the license adds is the outside world.

Worth knowing

  • Available on Business Basic, Business Standard, Business Premium, F1 and F3.

  • Audio Conferencing is a different product and does not need a phone license.

Common questions

Is a phone license needed to call colleagues?

No. Calling other people in the company already works on most Microsoft 365 plans. What the license buys is the outside world.

What is the difference between the two Teams Phone licenses?

Teams Phone with Calling Plan is $22 a seat and buys a working phone: the system, a phone number, and 3,000 outbound domestic minutes a month. Teams Phone Standard is $13 and buys the system alone, for a company that already has a carrier.

Is Audio Conferencing the same thing?

No. It is a separate product and needs no phone license at all. It puts a dial-in number on a meeting rather than giving a person a line.

Can an existing carrier be kept?

Yes. Teams Phone Standard is the license for that: it buys the system and leaves the line where it is. A PSTN connectivity option from the existing carrier connects the two.

Related licensing questions

Requiring a second factor, or blocking a sign-in from an unexpected place or an unmanaged device.

Wiping a lost laptop, requiring a PIN, enforcing encryption.

Catching something that runs on a laptop, rather than something that arrives by mail.

Labeling the files that matter and stopping them leaving by mail.

Microsoft’s assistant working inside Word, Excel, Outlook and Teams.

A Windows desktop that runs in the cloud and opens on whatever device is to hand.

Check it against the plan you are on

The comparison page prices every plan and shows which of them already includes this.

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