Power BI Pro enables users to collaborate with their teammates in real-time, sharing and analyzing data on highly interactive dashboards, reports, and many other features aimed at enabling informed decision-making processes. This add-on license costs $9.99/user/month.

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Power Automate

Microsoft’s Power Automate (formerly known as Flow), is a service that helps to create automated workflows between your favorite apps and services to synchronize files, get notifications, collect data, etc. A single Power Automate license is $15/user/month.

Microsoft Dynamics 365

This set of business applications’ base licenses includes sales, customer service, field service, finance and operations, and retail. Add-on options can be availed for additional functionalities and customization. The costs of Dynamics 365 add-ons vary extensively based on the specific utilities and services included.

Microsoft Intune

Microsoft Intune is a cloud-based service that focuses on mobile device management (MDM) and mobile application management (MAM). This add-on license is priced at $6/user/month.

Here’s a table for comparison:

Add-on License Cost per User/month
Power BI Pro $9.99
Power Automate $15
Microsoft Dynamics 365 Varies
Microsoft Intune $6

These add-on licenses offer supplementary features and services to your standard Microsoft 365 package. Your choice of add-ons will depend on the specific needs of your organization.

Do note that this isn’t an exhaustive list, Microsoft offers a plethora of add-on licensing options to ensure their suite of products and services is adaptable towards businesses’ varying needs. As Microsoft is constantly updating its product offerings and pricing structures, it’s recommended to check with the official Microsoft 365 licensing guide for the most updated information.

Before opting for any add-on, it’s crucial to evaluate the requirements and the value it will add to your organization. For instance, if your business heavily relies on data analysis and visualization, Power BI Pro could be a great addition. But if there is no need for such advanced data utilization, then the standard offerings in Microsoft 365 plans may suffice.

It is also vital to plan any changes to licensing carefully. In some cases, if you need multiple add-ons, it might be more cost-effective switching to a comprehensive plan such as Microsoft 365 E5 which includes many additional features not included in the basic packages.

Understanding the many facets of Microsoft 365 licensing options, including add-on licensing, will ensure your organization successfully implements a system that not only meets your functional needs but also fits your budgetary constraints. Therefore, spend ample time in understanding these options before making your decision.

Practice Test

True or False: All Microsoft 365 add-ons require a base license.

  • True
  • False

Answer: True

Explanation: A base license is a requirement for most Microsoft 365 add-ons as it provides the foundational capabilities for the add-on services.

Which of the following add-on licensing options are available in Microsoft 365?

  • a. Microsoft Defender for Office 365
  • b. Azure Information Protection
  • c. Power BI
  • d. All of the above

Answer: d. All of the above

Explanation: Microsoft 365 offers several add-on licensing options that can provide additional capabilities above and beyond the base license. This includes Microsoft Defender for Office 365, Azure Information Protection, and Power BI.

True or False: Each user needs a separate add-on license for their individual use.

  • True
  • False

Answer: True

Explanation: Add-on licenses in Microsoft 365 are assigned on a per-user basis, meaning each user that utilizes the service requires their own license.

Which of the following cannot be achieved with Microsoft 365 add-on licenses?

  • a. Increase storage capacity
  • b. Enhance security features
  • c. Access to additional apps
  • d. Reduction in base license cost

Answer: d. Reduction in base license cost

Explanation: Microsoft 365 add-on licenses provide added capabilities such as increased storage or improved security features. However, they do not reduce the cost of the base license.

True or False: Add-on licensing options are available for all plans of Microsoft

  • True
  • False

Answer: True

Explanation: Add-on licenses are available for all plans of Microsoft 365 and can be used to tailor an organization’s subscription to meet specific requirements.

Microsoft 365 Business voice is an example of Microsoft 365 add-on. True or False?

  • True
  • False

Answer: True

Explanation: Business Voice is an add-on to Microsoft 365 subscriptions that provides cloud-based telephony solution for businesses.

True or False: Add-on licenses can be mixed and matched across different Microsoft 365 plans.

  • True
  • False

Answer: True

Explanation: As long as the add-on is compatible with the base license, it can be mixed and matched across different Microsoft 365 plans.

Which of the following is not a benefit of using Microsoft 365 add-on licenses?

  • a. Customization of user experience
  • b. Access to advanced features and apps
  • c. Reduction in IT complexity
  • d. Guarantee of user adoption

Answer: d. Guarantee of user adoption

Explanation: While add-on licenses offer customization, access to advanced features, and potential reduction in IT complexity, they do not guarantee user adoption.

True or False: Add-on licenses can be permanently transferred between users.

  • True
  • False

Answer: False

Explanation: While licenses can be reassigned, they are typically associated with the individual user account and not meant to be permanently transferred.

True or False: Microsoft 365 add-on licenses enhance the capabilities of the base license.

  • True
  • False

Answer: True

Explanation: Add-on licenses supplement the base license and provide additional capabilities, such as increased security, added storage, or extra productivity features.

Interview Questions

What is add-on licensing in Microsoft 365?

Add-on licensing in Microsoft 365 facilitates the purchase of additional services beyond the core subscription. These add-ons might encompass additional storage, advanced security features, or enhanced collaboration tools.

Can add-on licenses be assigned to all the users in an organization?

No, add-on licenses can be assigned to specific users within the organization depending on the needs and roles of individual users.

What are some examples of available add-on licenses for Microsoft 365 Business Premium?

Some examples include Microsoft 365 Business Voice, Power BI Pro, and Microsoft Visio.

Can you remove add-on licenses from Microsoft 365?

Yes, administrators can remove add-on licenses if they are no longer required. However, this process should be carried out carefully as removing licenses can lead to data loss.

What happens when an add-on license is removed from a user?

When an add-on license is removed, that user will lose access to the services provided by that license. It should be noted that data associated with the add-on service could potentially be lost.

How do Power BI Pro licenses function as an add-on in Microsoft 365?

Power BI Pro is a self-service business analysis package and can be purchased as an add-on for users to analyze data and share insights through dashboards and reports.

Is there an add-on license for Office 365 Advanced Threat Protection (ATP)?

Yes, Office 365 Advanced Threat Protection (ATP) is available as an add-on that provides comprehensive protection by using machine learning to protect mailboxes against sophisticated threats.

Does Microsoft 365 include add-on options for additional OneDrive storage?

Yes, additional OneDrive for Business storage can be purchased as an add-on to the core subscription.

What are some add-on licensing options for Microsoft Teams?

Some add-on licensing options for Microsoft Teams include Audio Conferencing, Phone System and Calling Plan.

Can add-on licenses be mixed with different types of base licenses?

Yes, add-on licenses can be assigned to users with different types of base licenses, provided that the add-ons are compatible with these licenses.

What is the purpose of the EM+S (Enterprise Mobility + Security) add-on license?

The EM+S add-on license provides additional security features and capabilities beyond the basic offerings. It includes services like Azure Active Directory, Microsoft Intune, Azure Information Protection, and Microsoft Cloud App Security.

Is it possible to buy an add-on license without a base license?

Typically, an add-on license extends the functionality of a base license, so a base license is generally required. However, there can be exceptions, depending on the specific product or service.

Are Microsoft 365 add-on licenses company-wide or user-based?

Microsoft 365 add-on licenses are typically user-based. They are assigned to specific users and not applied across the entire organization.

What is an Audio Conferencing add-on in Microsoft 365?

The Audio Conferencing add-on enables users to join Microsoft Teams meetings from a regular phone line. This is particularly helpful for users who do not have access to the internet.

Can an organization change their add-on options after purchasing a Microsoft 365 subscription?

Yes, organizations have the flexibility to add or remove add-on licensing options at any time during their Microsoft 365 subscription.

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