On March 10, 2025, Microsoft announced that Microsoft 365 E5 security and E5 compliance suites are now available as add-ons for customers with O365 E3 and Enterprise Mobility + Security (EMS) E3 licenses. This change provides an alternative path for organizations using E3 licensing to add more advanced security and compliance capabilities without the need to purchase a comprehensive suite with much of the functionality not relevant to their organization.

What are the Microsoft 365 E5 security and E5 compliance suites?

The E5 security suite provides advanced tools to protect organizations from cyberthreats. It includes Microsoft Defender for Office 365 (Plan 2), which provides protection against phishing and malware in email messages, and Microsoft Defender for Endpoints (Plan 2), which provides protection for end-user devices against advanced threats. The suite also includes Microsoft Defender for Identity, which can monitor suspicious activity within the network, and Microsoft Defender for Cloud Apps, which helps protect SaaS applications from security risks.

The E5 compliance suite focuses on compliance management and risk management tools. This includes Microsoft Purview Compliance Manager, which helps organizations manage their compliance and governance policies within Microsoft 365. The suite also offers Microsoft Purview Data Loss Prevention (DLP), which helps protect sensitive data from loss or unauthorized access. There is also Microsoft Purview eDiscovery, which can support legal investigations, and Microsoft Purview Communications Compliance, which helps maintain compliance with internal and external regulations regarding communications.

The Benefits of the E5 Add-ons for O365 E3 and EMS E3 Customers

The ability to add the E5 Security and E5 Compliance Suites as add-ons to O365 E3 and EMS E3 licenses provides organizations with significant flexibility. Companies can choose exactly the security and compliance capabilities they need, without having to purchase a more extensive suite, much of which may not apply to their use case. This makes the solution more attractive financially for companies that require more advanced security and compliance, but do not value the broader functionality of a full suite.

Organizations do not have to pay for features they do not need. They can fully focus on the tools that are important to them. This ensures that they do not unnecessarily invest in functionalities that do not add value for their specific needs, which allows them to optimize their costs while bringing their security and compliance to the right level.

Who is this change relevant to?

This change provides a compelling alternative for companies already using O365 E3 and EMS E3, and need specific tools to enhance security and compliance. Adding the E5 Security and E5 Compliance suites via these add-ons provides a targeted solution, without the need for a full upgrade to a more comprehensive suite.

Licensing requirements and cost savings

The E5 add-ons can be easily added to an existing O365 E3 license and EMS E3 subscription. This means that companies have the ability to integrate advanced security and compliance tools without the higher costs of a more comprehensive suite. By using these add-ons, companies can significantly extend their security and compliance capabilities, without paying for functionality they do not use.

It therefore offers a targeted way to optimize license management and control costs, while the necessary security and compliance tools are available when needed. This makes it much easier for companies to invest in the right technologies, without unjustifiably paying for extra features that do not add value to them.

Closing note

The ability to add Microsoft 365 E5 security and E5 compliance suites as add-ons to O365 E3 and EMS E3 licenses provides a practical and cost-effective way for organizations to implement advanced security and compliance capabilities without having to purchase a more comprehensive suite. This makes it more financially viable for organizations that require specific tools but do not need the broader functionality offered by other suites.

The main benefit is that companies can choose only the tools that are important to them, without paying for unused functionality. This allows companies to optimize their license management, save costs and bring their security and compliance to the right level, with only the functionality they need.

Are you looking for independent advice and the best licensing solutions for your organization? BeSharp Experts helps you with objective insight, so you can make well-considered decisions. Contact us for a free consultation.