Microsoft Teams review

by MicrosoftTeam chat

Chat, meetings and guest access from $4 per user in Teams Essentials, or inside Microsoft 365 Business plans from $7.

Facts checked
  • Free plan
  • Self-serve
  • Per seat
  • Public prices
Visit site

What you're paying for

  • Worth the price (main value)
  • Compliance included

Chat, meetings and guest access for $4 a user, under Microsoft’s SOC 2, ISO 27001 and default HIPAA BAA terms.

Teams Essentials is the lowest listed price here for a company of 50: $200 a month paid yearly, for chat with guest access and meetings for up to 300 people. Microsoft’s compliance pages put Teams in scope for SOC 2 Type 2 and ISO 27001, the HIPAA BAA comes by default through Microsoft’s data protection addendum, and tenants that sign up in the EU have chat data stored there. Retention policies and the audit log are licensed from Microsoft 365 Business Basic ($7), which also adds business email and Office web apps.

  • Lowest price for 50 peopleTeams Essentials lists $4 per user a month paid yearly: 50 × $4 = $200 a month.Evidence: Teams business plans page (2026-10-15)
  • A HIPAA BAA without a separate contractMicrosoft says its HIPAA BAA is available through the Online Services Data Protection Addendum by default to customers who are covered entities or business associates; Teams is in scope.Evidence: Microsoft HIPAA compliance offering page (2026-10-15)
  • Certified and EU-located by defaultTeams is in scope for the Office 365 SOC 2 Type 2 report and ISO 27001, and Teams data residency docs commit to EU storage for tenants that sign up in the EU.Evidence: Microsoft SOC 2, ISO 27001 and Teams data residency pages (2026-10-15)
Best for
Small and mid-size companies that want chat and meetings at the lowest per-user price, especially if they already use Microsoft accounts.
Good to know
Retention policies and the audit log are licensed from Business Basic ($7), and eDiscovery cases need Microsoft 365 E3 or E5.

How Microsoft Teams compares

Against 3 other products we reviewed in Team chat: what you pay for with each, the five access facts, the plan limits we recorded and each review's bottom line. The note under the table says how each one was checked.

Microsoft Teams compared with Slack, Google Chat, Zoom Workplace
MetricMicrosoft TeamsSlackGoogle ChatZoom Workplace
What you're paying forWorth the priceChat, meetings and guest access for $4 a user, under Microsoft’s SOC 2, ISO 27001 and default HIPAA BAA terms.Built-in reachChat on its own terms: channels shared with other companies, unlimited history and custom retention from $7.25 per active user.Compliance includedChat included with Workspace from $7 a user, with SSO, Chat audit logs and a HIPAA BAA on the cheapest Business plan.Compliance includedRetention periods, legal holds and searchable chat exports on the entry paid plan, with meetings, mail and calendar in the same app.
Overall score7.5Best7.17.05.9
Free optionFree planFree plan14-day free trialFree plan
Card to start–Not measured–Not measured–Not measured–Not measured
Getting accessSelf-serveSelf-serveSelf-serveSelf-serve
Starter priceCheapest paid plan$4/user/mo$7.25/user/mo$7/user/mo$14.16/user/mo
Pricing modelPer seatPer seatPer seatPer seat
Pricing pagePublic pricesPublic pricesPublic pricesPublic prices
Plan priced for 50 peopleTeams Essentials, $4/user/mo paid yearlyPro, $7.25/user/mo billed annually ($8.75 monthly)Workspace Business Starter, $7/user/mo with a 1-year commitment ($8.40 flexible)Workplace Pro, $14.16/user/mo billed annually ($16.99 on the monthly view)
What else the plan includesMeetings up to 300 people, 10 GB storage per userChat only: huddles, canvases, lists, workflowsGmail, Meet, Drive (30 GB pooled per user), DocsMeetings up to 30 hours, Mail and Calendar clients, 10 GB cloud recording per user
50 people, annual terms$200/mo$362.50/mo$350/mo$708/mo
Free optionFree Teams for personal accounts; 1-month business trial with a cardFree plan: 90 days of history, data older than 1 year deleted14-day Workspace trialBasic: one free license; cloud chat copies kept 2 years
Retention, legal hold, eDiscoveryRetention policies from Business Basic ($7); eDiscovery cases need Microsoft 365 E3 or E5Custom retention on Pro; legal holds and Discovery API on Enterprise+Vault on Business Plus ($22)Retention periods, legal holds and Chat History search and export on every paid plan
SOC 2 Type II and ISO 27001Both (Teams in scope)BothBoth (Google Workspace)Both (Zoom Chat in scope)
HIPAA BAABy default through Microsoft’s data protection addendumHIPAA support listed on Enterprise+Accepted by an admin in the Admin consoleZoom signs BAAs; plans not named, healthcare through sales
EU data storageFor tenants that sign up in the EUBusiness+ and up, set up through salesData regions from Business Standard ($14)Regional Infrastructure for Education and Enterprise accounts
Company SSOMicrosoft Entra ID (free version included)SAML from Business+ ($15); Pro has Google OAuthThird-party IdP on every Business planSAML from Business ($18.33)
Audit logPurview Audit (Standard) from Business BasicEnterprise+Chat log events on every Business planAdmin activity logs from Pro
Working with outside peopleGuest access includedPro: guests and Slack Connect channelsStarter: external 1:1 and group DMs; external spaces from StandardExternal contacts in chats and channels, admin-controlled
Bottom lineFrom its public pages, Teams Essentials is the cheapest way here to give 50 people chat and meetings, under Microsoft’s certifications and default BAA. Plan on Business Basic or above if you need retention policies or an audit log.From its public pages, Slack is the most complete chat product sold on its own, with the only free team plan here. Admin and compliance controls step up by plan: SAML on Business+, audit logs, legal holds and HIPAA on Enterprise+.From its public pages, Google Chat gives the strongest admin controls on the cheapest plan here, because they come with Workspace. It is not sold alone, and retention, eDiscovery and EU regions start on higher plans.From its public pages, Zoom Workplace puts the most records controls on its entry paid plan here: retention, legal holds and chat exports on Pro. It is also the most expensive way here to give 50 people chat, and SSO starts on Business.

Evidence: Microsoft Teams: facts checked 2026-10-15 from its public sign-up and pricing pages, no completed hands-on run; Slack: facts checked 2026-10-15 from its public sign-up and pricing pages, no completed hands-on run; Google Chat: facts checked 2026-10-15 from its public sign-up and pricing pages, no completed hands-on run; Zoom Workplace: facts checked 2026-10-15 from its public sign-up and pricing pages, no completed hands-on run. Prices in USD as listed, excluding tax. "–" means not recorded.

Score

Score breakdown
Pricing clarity
8.0 / 10, Excellent
scenario plan priced; no month-to-month price published; Microsoft’s licensing guidance for Teams retention and audit does not mention Teams Essentials
Free tier
3.0 / 10, Fair
free version for personal accounts; group meetings up to 60 minutes and 100 participants, 5 GB per user; one-month business trial needs a card
Price for 50 people
8.8 / 10, Excellent
$200/mo: Teams Essentials at $4 × 50 people, annual terms; includes chat, meetings for up to 300 participants, guest access and 10 GB of cloud storage per user (no business email or Office apps)
Message history and eDiscovery
6.4 / 10, Good
full history on the scenario plan, retention periods on a higher self-serve plan, legal hold enterprise or through sales only, eDiscovery enterprise or through sales only
Compliance and data residency
10.0 / 10, Excellent
SOC 2 Type II, ISO 27001, HIPAA BAA on the scenario plan, EU data storage on the scenario plan (for tenants whose sign-up country is in the EU)
Admin and outside access
8.8 / 10, Excellent
company SSO on the scenario plan; audit log on a higher self-serve plan; group conversations with outside people on the scenario plan

Review

Review from public pages

Written from Microsoft Teams's public pages (pricing, security or privacy, and docs) as read on Oct 15, 2026. We did not sign up, and no hands-on run is published yet.

What the public pages show

We read Microsoft's Teams business plans page, the Microsoft 365 business comparison, the Teams Essentials and free Teams pages, and Microsoft Learn pages on Purview licensing, eDiscovery, data residency and compliance offerings on Oct 15, 2026; we did not sign up for this review. Teams is sold three ways for business: Teams Essentials at $4 per user a month paid yearly, and inside Microsoft 365 Business Basic ($7), Business Standard with Copilot ($23.50) and Business Premium with Copilot ($32). The business comparison links to a FAQ on the July 1, 2026, packaging and pricing updates for Microsoft 365 suites.

The pricing pages list annual-subscription prices only and describe a monthly commitment option without a price. The compliance story sits on Microsoft Learn: Teams retention policies are licensed from Business Basic, with retention periods above 30 days on Business plans, Purview Audit (Standard) is listed on all Business plans, and eDiscovery cases need Microsoft 365 E3 or E5. None of these pages mention Teams Essentials, so we did not credit it with those features.

The free version of Teams is for personal accounts. Microsoft says small businesses can use it, but upgrading moves everyone to a paid plan and an upgraded address cannot go back to free.

Strengths

  • Lowest price for 50 people

    Teams Essentials is $4 per user a month paid yearly, or $200 a month for 50, with chat, guest access and meetings for up to 300 participants.

    vs Slack: Slack Pro comes to $362.50 and Google Workspace Business Starter to $350 for the same 50 people.

  • HIPAA BAA by default

    Microsoft provides its BAA through the data protection addendum to customers covered by HIPAA, with Teams in scope.

    vs Slack: Slack lists HIPAA support on Enterprise+; Google’s BAA is accepted in the Admin console.

  • EU storage by sign-up country

    Teams data residency docs commit to storing chat data in the EU for tenants that sign up there, with Advanced Data Residency and Multi-Geo as add-ons.

  • Company sign-in included

    The plan comparison lists Microsoft Entra ID (free version) on Teams Essentials and the Business plans.

  • Guest access on the cheapest plan

    Teams Essentials lists unlimited chat including guest access, and chat between work and personal accounts.

Things to know

  • Compliance tools start on Business Basic

    Teams retention policies and Purview Audit are licensed on Microsoft 365 Business plans; Microsoft’s licensing pages do not mention Teams Essentials.

    Workaround: Business Basic ($7) adds them along with business email and Office web apps.

  • eDiscovery needs E3 or E5

    Microsoft’s eDiscovery guide says admins and users working with eDiscovery cases need a Microsoft 365 Enterprise E3 or E5 license.

  • Free Teams is for personal accounts

    Group meetings on free Teams run up to 60 minutes; upgrading moves every user to a paid plan, and the converted address cannot return to free.

  • No monthly price listed

    The plan pages show prices for an annual subscription; a monthly commitment is offered, but its price is not on the page.

Pricing reality

Teams is billed per user, with annual subscriptions on the plan pages. Teams Essentials is $4 a month paid yearly, Microsoft 365 Business Basic $7, Business Standard with Copilot $23.50 and Business Premium with Copilot $32; Teams Premium is a $10 add-on.

For 50 people on Teams Essentials: 50 × $4 = $200 a month, or $2,400 a year. Business Basic, which adds retention policies, the audit log, business email and Office web apps, comes to $350 a month. eDiscovery cases need Microsoft 365 E3 or E5. The one-month trial requires a credit card.

Exit path

Microsoft’s plan pages say that when a subscription is canceled, all associated data is deleted. Its licensing guidance lists Teams Export APIs for exporting chat and channel messages with E5-level licenses.

Compared with

  • Pick Microsoft Teams when
    You want the lowest price for 50 people and a HIPAA BAA without an enterprise plan.
    Pick Slack when
    You want a free team workspace and custom retention on the entry paid plan.
  • Pick Microsoft Teams when
    You want chat and meetings at $4 per user and EU storage without a plan upgrade.
    Pick Google Chat when
    You want an audit log, SSO and external group chats on the cheapest plan, with email and documents included.

Choose it if

  • You want chat and meetings for a company at the lowest listed price per user.
  • You need a HIPAA BAA without negotiating an enterprise contract.
  • Your company already signs in with Microsoft accounts.

Look elsewhere if

  • You need retention policies or an audit log on a $4 plan.
  • You want a free plan run as a company workspace.

Bottom line

From its public pages, Teams Essentials is the cheapest way here to give 50 people chat and meetings, under Microsoft’s certifications and default BAA. Plan on Business Basic or above if you need retention policies or an audit log.

Plan limits at a glance

LimitAs recorded
Plan priced for 50 peopleTeams Essentials, $4/user/mo paid yearly
What else the plan includesMeetings up to 300 people, 10 GB storage per user
50 people, annual terms$200/mo
Free optionFree Teams for personal accounts; 1-month business trial with a card
Retention, legal hold, eDiscoveryRetention policies from Business Basic ($7); eDiscovery cases need Microsoft 365 E3 or E5
SOC 2 Type II and ISO 27001Both (Teams in scope)
HIPAA BAABy default through Microsoft’s data protection addendum
EU data storageFor tenants that sign up in the EU
Company SSOMicrosoft Entra ID (free version included)
Audit logPurview Audit (Standard) from Business Basic
Working with outside peopleGuest access included

Read from the vendor's public pages on Oct 15, 2026. No hands-on run is published yet. How we check

Microsoft Teams lists 4 plans. The cheapest paid plan, Teams Essentials, costs $4/user/mo.

  • Microsoft TeamsFree
    Teams (free)
    $0/mo
    Personal accounts; group meetings up to 60 minutes
    • Up to 100 participants per meeting
    • 5 GB of cloud storage per user
    • Chat, communities, file sharing
  • Microsoft TeamsLowest price
    Teams Essentials
    $4/user/mo
    Paid yearly, annual subscription; 1–300 users
    • Unlimited chat, including guest access
    • Meetings up to 30 hours and 300 participants
    • 10 GB of cloud storage per user
    • Microsoft Entra ID (free version)
  • Microsoft Teams
    Microsoft 365 Business Basic
    $7/user/mo
    Paid yearly, annual subscription; 1–300 users
    • Teams plus business email (Exchange)
    • Web and mobile Word, Excel, PowerPoint, Outlook
    • 1 TB of cloud storage per user
    • Purview Audit (Standard); Teams retention policies
  • Microsoft Teams
    Microsoft 365 Business Standard with Copilot
    $23.50/user/mo
    Paid yearly, annual subscription; 1–300 users
    • Desktop Office apps
    • Microsoft Copilot in apps, including Teams
    • Webinar hosting

Prices as listed, USD, excluding tax; observed 2026-10-15.

Source: microsoft.com pricing page. Prices change; the observed date above is when our agent read them.

Visit site