Overview of Microsoft Teams Telephone Licenses
Microsoft Teams offers a variety of telephone-related licenses to support telephony services, enabling users to make and receive phone calls using the Public Switched Telephone Network (PSTN) directly through Microsoft Teams. These services include features such as traditional phone system capabilities, audio conferencing, and call plans that integrate with Microsoft Teams to create a complete unified communication solution.
Microsoft Teams telephony services fall into several categories, each requiring specific licenses:
- Microsoft Phone System License
- Microsoft Teams Calling Plans
- Microsoft Teams Audio Conferencing License
- Direct Routing (via SBC – Session Border Controller)
- Operator Connect
Below, we’ll explore each of these licenses, including features, usage examples, and how they can be combined to create a robust telephony environment.
1. Microsoft Phone System License
The Phone System license is the core telephony license for Microsoft Teams. It provides users with the capability to use Teams as a full-fledged cloud-based PBX (Private Branch Exchange), which allows users to make, receive, and transfer calls across a range of devices including desktop, mobile, and traditional desk phones.
Key Features:
- Cloud-Based PBX: The Phone System replaces traditional on-premises PBX systems, offering features like call hold, call transfer, and voicemail directly in Teams.
- Call Controls: Features such as call forwarding, delegation, group call pickup, and shared line appearances.
- Auto Attendant and Call Queues: Set up automatic greetings, call routing, and call queues for organizational departments like customer support.
- Voicemail with Transcription: Users get voicemail that includes automatic transcription.
- Call Analytics: Integrated analytics provide visibility into call quality and usage patterns.
Usage Example:
A company that wants to modernize its on-premises phone system can assign the Phone System license to users, allowing them to make and receive calls through the Teams app without the need for additional hardware. Employees can receive calls on their computers, smartphones, or desk phones using the Teams app, reducing reliance on traditional desk phones.
Requirements:
- Licenses: Microsoft 365 or Office 365 E5 includes the Phone System license. If you have E1 or E3 licenses, the Phone System can be added as an add-on.
- Calling Plan: To make external PSTN calls, the Phone System must be paired with either a Microsoft Calling Plan, Direct Routing, or Operator Connect.
2. Microsoft Calling Plans
A Calling Plan allows users with a Phone System license to make and receive calls to external phone numbers (PSTN) directly from Microsoft Teams without the need for an external provider. Microsoft operates as the phone carrier, providing the phone numbers, PSTN access, and call minutes.
Types of Calling Plans:
- Domestic Calling Plan: Provides calling minutes to local (in-country) phone numbers.
- International Calling Plan: Provides calling minutes to both local and international numbers.
Key Features:
- Minutes Bundles: Each plan comes with a set number of minutes for both domestic and international calls. The available minutes depend on the country/region where the license is assigned.
- Number Assignment: Microsoft provides the phone numbers for users, which can be managed through the Teams Admin Center.
- Porting Existing Numbers: Organizations can port their existing phone numbers into Microsoft’s system.
Usage Example:
An organization based in the U.S. that wants employees to be able to make domestic and international calls via Teams could assign a Phone System license combined with a Domestic Calling Plan for internal use. They could then assign an International Calling Plan to key employees who need to call international clients.
Requirements:
- Phone System License: A Calling Plan can only be used in conjunction with a Phone System license.
- Geographic Availability: Calling Plans are available in select countries. Organizations outside these regions can use Direct Routing or Operator Connect.
3. Microsoft Audio Conferencing License
The Audio Conferencing license enables Teams users to host meetings that participants can join by dialing in using a standard telephone. This is ideal for scenarios where meeting attendees don’t have reliable internet access and need to dial in from a phone line.
Key Features:
- Dial-In Access: Each meeting has a dial-in number and a conference ID, allowing participants to join by phone.
- Dial-Out Access: Meeting organizers or participants can dial out to invite others into the meeting from the Teams interface.
- Toll-Free and Local Numbers: Admins can assign local or toll-free dial-in numbers to their meetings.
- Custom Conference Bridges: Organizations can configure custom conference bridges based on geographic needs.
Usage Example:
A remote employee in a location with poor internet service can join a critical meeting by dialing the provided phone number in their meeting invitation. The Audio Conferencing license allows them to connect to the meeting without the need for video or an internet connection.
Requirements:
- License: Audio Conferencing is included in Microsoft 365 or Office 365 E5. It can be added as an add-on for users with other Microsoft 365 licenses (e.g., E1, E3).
4. Direct Routing (via SBC – Session Border Controller)
Direct Routing allows organizations to connect Microsoft Teams to their existing telephony infrastructure, such as a traditional PBX system or an on-premises PSTN provider, using a Session Border Controller (SBC). This provides a flexible, cost-effective solution for organizations that want to integrate Teams with their existing phone carrier or maintain specific telephony configurations.
Key Features:
- Use Existing Telephony Providers: Direct Routing allows companies to maintain relationships with their existing PSTN provider or carrier.
- Global Coverage: Direct Routing can be used anywhere, unlike Microsoft Calling Plans, which are limited to certain regions.
- Custom Call Flows: Organizations can create custom call routing and management solutions, including integration with legacy systems like on-premises PBX or contact center solutions.
- Emergency Calling: Direct Routing supports emergency calling configurations that may be required by local regulations.
Usage Example:
An enterprise with offices in multiple countries may want to integrate their existing on-premises PBX system with Microsoft Teams for a unified calling experience. By using Direct Routing, they can route all internal and external calls through Teams while keeping their existing phone numbers and carrier agreements in place.
Requirements:
- Phone System License: Required to use Direct Routing.
- Session Border Controller (SBC): An SBC is required to bridge the Teams service with the external telephony system.
- Expertise: Organizations need skilled IT resources or service providers to set up and maintain Direct Routing configurations.
5. Operator Connect
Operator Connect is a relatively new service that simplifies the process of connecting Microsoft Teams with an external phone carrier. It allows organizations to directly choose a supported telecommunications provider through the Teams Admin Center, without the need for complex Direct Routing configurations.
Key Features:
- Simplified Carrier Integration: Operator Connect makes it easy to assign phone numbers and integrate calling services with Teams by partnering with certified telecommunications operators.
- Operator Management: The carrier manages the PSTN connection, reducing the need for in-house telephony expertise.
- Call Quality SLAs: Operators can provide service-level agreements (SLAs) for call quality and availability.
- Number Management: The telecom operator assigns, manages, and supports the phone numbers used by the organization, all through the Teams Admin Center.
Usage Example:
A small business looking for an easy way to implement calling capabilities in Microsoft Teams without managing telephony infrastructure can use Operator Connect. The organization selects a telecom operator from the Teams Admin Center and assigns phone numbers to employees in just a few clicks.
Requirements:
- Phone System License: A Phone System license is required to use Operator Connect.
- Available Providers: Only specific telecom operators are supported by Operator Connect, and their availability depends on the geographic region.
Combining Microsoft Teams Telephony Licenses
In many organizations, different combinations of licenses are used based on specific user needs. Here are some common scenarios:
- Small Business with Basic Calling Needs:
- Users are assigned a Phone System license along with a Domestic Calling Plan, allowing them to make and receive local calls via Teams.
- Example: A local law firm assigns each employee a Domestic Calling Plan to allow them to make client calls through Teams, without needing to purchase separate phone systems or use an external provider.
- Enterprise with Global Offices:
- For their U.S. office, the enterprise uses Microsoft Calling Plans to handle domestic calls.
- For offices in regions where Microsoft Calling Plans are not available, they use Direct Routing to connect Teams to a local PSTN provider.
- Example: A multinational corporation has an office in the U.S. using Microsoft Calling Plans, while the office in Japan integrates Teams with a local telecom provider using Direct Routing.
- Conference-Heavy Organization:
- The organization assigns an Audio Conferencing license to meeting organizers, allowing external participants to dial into meetings using phone lines.
- Example: A non-profit regularly hosts international conference calls with external stakeholders, using Audio Conferencing to enable attendees from different countries to join via local phone numbers.
Microsoft Teams offers a flexible range of telephone licenses that cater to different organizational needs, from basic calling to complex, global telephony solutions. By combining Phone System with Calling Plans, Direct Routing, or Operator Connect, organizations can customize their communication infrastructure based on geographic needs, existing telephony systems, or call volume. Additionally, the Audio Conferencing license enables seamless meeting experiences by allowing users to dial in from anywhere, enhancing collaboration for remote and global teams.
These licenses provide businesses with a scalable, integrated platform for all communication needs, making Microsoft Teams a powerful solution for unified communications in the modern workplace.
