Microsoft Teams Phone System Pricing for Large Companies in 2026��

You work for a medium to large-size company and the company (hundreds to thousands of employees), is in the market for a new phone system. You’re considering Microsoft Teams Phone System, but you’re wondering how much it costs.
In this video, I cover how much Microsoft Teams Phone System will cost your company.

Which vendor should your company quote for Teams Phone System? Ask me today.

About Me

Mike Smith has been helping companies select the best telecom, WAN, security, and cloud services since 1999. He founded AeroCom in 2003, and has been the recipient of numerous business telecommunications industry awards, including being recognized as one of the top 40 business people in tech-heavy Orange County, CA. Follow Mike on YouTube, LinkedIn, Reddit and SpiceWorks.

Transcript

Well, it’s 2026 and your medium to large size company. And by that I mean 100 or more employees is in the market for a new phone system. And your company uses teams quite a bit today. So team’s phone system is something you think is definitely an option that you want to look at. But you’re wondering how much does it cost? How much does team’s phone system really cost in 2026? Well, my name is Mike Smith. I’m the president of. Come. Let’s put our heads together on

My Recommnedation

But first, if you’d like a shortcut and you’d like pricing on team’s phone system and your medium to large size company, you can just reach out, send me an email or give me a call (714.593.0011). Don’t start looking it up on Microsoft and trying to get a quote the hard way and all that stuff. I’m a broker for all the major service providers out there. They can do teams, phone system like all the operator connect vendors, and I’ve been doing this for over 20 years, so I know the industry inside and out, and I don’t charge you anything to work with me. So it’s not going to cost your company anything. So there’s no reason not to at least reach out and join the thousands of other IT departments who have used me to help their company make a lot better decision and a fraction of the time. So send me an email. Give me a call. More information on that at the end of the video. Also, don’t forget to subscribe to the YouTube channel so you don’t miss any of my weekly videos that I put out and go check out our website Aerocominc.com where you can read and write reviews on providers, watch videos on providers, filter providers by features like teams, phone, all kinds of great stuff on there. Go check it out.

Large vs. Small company pricing

Okay, teams phone system pricing in 2026 for medium to large size companies. Well, why am I talking about medium to large size companies? Well, that’s my specialty. That’s my area of expertise. So that’s just what I know best. And pricing is different for medium to large size companies for teams phone system than it is for small companies. So that’s the focus of this video. Also another disclaimer about this video I’m going to focus on operator connect pricing for teams phone system. Why am I doing that. Because if your medium to large size company, that’s simply the best way to purchase team’s phone system, period. There is no better way to do it than operator connect. If your medium to large size company, don’t sit there and try to debate. Should we use direct routing? Should we buy directly from Microsoft? Don’t do that. I’m telling you, I’ve been doing this for a long time. You need to use Operator Connect if you’re a medium to large size company. If you want to know why, watch my video on what is Operator Connect. And I’ve done a bunch of different videos on that, so go check those out.

Two Pricing Components for Teams Phone

And a little spoiler alert if your company has less than 200 employees, team’s phone system is actually going to be your most expensive option on the table for cloud phone system. And I’m going to tell you why in a minute. team’s phone system pricing can be broken down into two separate components. There’s licensing and then there are calling plans okay.

Licensing

So let’s talk about licensing. First. In order for teams phone system to work you have to have a teams phone standard licensing add on for teams. unless your company has an E5 license, that licensing is going to cost $10 per month per user. So if your company has a business standard license or your users, I should say, have business standard licenses or business premium licenses, or E ones or E threes or the equivalent for that for government and nonprofits, I think is A1 and A3 or something like that. So as long as you don’t have an E5 or the equivalent of an E5 in government or nonprofit, pricing your company is going to have to purchase a licensing add on for every single user called team’s phone standard, and that just enables the capabilities that you’re going to need to use. Teams phone system. Think of it like a desk phone. You can buy a desk phone and then, but you also need to add a calling plan to it or a phone number and get some dial tone to it. Well, the desk phone itself is the cloud equivalent of team’s phone standard. You have to add the licensing first so that you have the capabilities. You have the dial pad that pops up, you have the call transfer buttons and everything that you’re going to need enabled in your team’s application. So it’s $10 per month per user for the licensing add on. And that’s done directly through Microsoft. Unless you use a CSP, which you can do and you can use it a CSP to purchase that as well.

Pricing with E5

Okay. But now if you have an E5 license or an equivalent to an E5 team’s phone standard is included with that licensing. So your company does not have to purchase team’s phone standard for every single user because your company already has that for every single user, it’s included in the E5 license, or it’s equivalent in government pricing or nonprofit pricing.

Calling Plan

Okay, now, in addition to the licensing add on, like I mentioned earlier, you’re also going to have to purchase a calling plan in order for team’s phone system to work. So the second pricing component out of the two pricing components is a calling plan. And like I mentioned earlier, we are going to focus today on Operator connect because you’re if you’re a medium to large size company, you want to purchase your calling plan through an operator Connect service provider or an operator connect operator, as Microsoft calls it. So how much does a calling plan cost through an Operator Connect service provider? if your company has less than 200 employees, you’re calling plan is probably going to cost around 5 to $8 per month per user. And the reason I say that is because smaller companies on that spectrum, like, you know, if you have 100 employees or not, you’re the best pricing that’s going to fit you is flat rate pricing through an operator connects service provider, meaning that it’s one price for every single user, usually 5 to $8 per month per user. And it includes unlimited calling. This is going to make more sense in couple of minutes when I start talking about unbundled pricing.

Under 200 Users

But the thing you need to know is if your company has under 200 users, it’s more than likely your pricing is going to be 5 to $8 per month per user for a calling plan. So you add that to the first part of the pricing, which I said earlier is team’s phone standard, which is $10 per month per user, and you start getting 15 to $18 per month per user for Microsoft Teams phone system, total price. And that’s what I said is the teaser alert is that is going to be more expensive than almost any other cloud phone system option on the market, paying 15 to $18 per month per user. If you have 100 150 employees, that’s going to be the most expensive option. If you go to other cloud phone system service providers, they’re going to be less expensive than that. If you have that amount of employees. So just a little disclaimer there that that’s just going to be the case if you have that amount of employees. that is also factoring in that if you’re that size company, you probably don’t have an E5 license. If your company does have an E5 license, then your total cost is just going to be the calling plan. Because remember, E5 includes teams from standard, so then it’s not going to be the most expensive phone system in the marketplace. So that really is for companies who do not have an E5 license and have less than 200 employees.

Over 200 Users

But what if your company has more than 200 employees? How much is an operator Connect calling plan going to cost your company? Well, if you have more than 200 employees, you’re starting to get into the realm of call path pricing or unbundled pricing, as some people call it. So what that is, is that you pay for simultaneous call paths separately. Then users. An example would be so say you have 1000 employees, but no more than 100 people are ever on the phone simultaneously company wide. I’m talking about all locations in the United States combined. Well, in that scenario, your company would pay approximately $20 per month per simultaneous call path and about a dollar per month for those thousand users. So overall, when you start looking at unbundled pricing or simultaneous call path based pricing, I would estimate that your average calling plan with an Operator Connect service provider is going to be around $2 to $4 per month per user, depending on your ratio of call paths to users. Obviously if you. Have it. The more users you have, the less coal pads you have, the less average cost per user you’re going to have. But just to give you some nice round numbers, I would estimate that if you have more than a couple hundred employees, your average cost per user for an operator Connect calling plan should be about 2 to $4 per month per user.

Total Costs

Using a call path based pricing model. Now you add that on top of the team’s phone standard cost of $10 per month per user, and you get roughly $12 to $14 per month per user. Total cost for teams phone system. And again, that is considering you do not have an E5 license. If your company has E5 licenses, then your total cost for team’s phone system. If you have more than 200 employees and E5 licenses, your total cost is probably going to be 2 to $4 per month per user. And in that situation, if you have an E5 license, you will not find a phone system that is less expensive, a cloud phone system that is less expensive in the marketplace than team’s phone system. So if your company has an E5 license, team’s phone system is going to be your least expensive phone system that you will ever find, regardless of the amount of employees you have, regardless of the operator connect provider you choose or the calling path versus flat rate pricing. That’s just going to be the least expensive option because $10 per month per user is eliminated, your company is already paying for that in the cost, and the higher cost of the E5 license.

Add-ons

Now, there are other costs to consider as well, but there are minor costs. Those are the major costs. As you know, your team’s phone standard cost plus your calling plan cost through Operator Connect. The additional costs you’ll see is if hey you want SMS and MMS. for users or you have analog devices you want to add to the network or your company needs call recording or compliance call recording, or you have a call center. Things like that can add little incremental costs or maybe some failover things. That’s a pretty popular feature. So those can add small costs. But I think the main thing that I want you to understand is the majority of the cost is going to be your team’s phone standard add on, plus a calling plan from an operator connect provider. Well, which operator connect providers are the best out there? Well, there’s over 100 of them.

Which vendor should your company quote for Teams Phone System?

So don’t just start looking up. Operator. Connect vendors and try to figure out which one you should quote. Not all of them offer call path based pricing. So if you’re medium to large sized company, this is where I can help you. reach out, send me an email or give me a call (714.593.0011). I will definitely help you find the right operator. Connect vendor that your company should be quoting for teams phone system calling plans. They might also be able to sell you your team’s phone standard if they’re also a CSP. So again medium to large size company. Reach out, send me an email. Give me a call. I will get you better pricing. I will tell you which vendors you should use, which ones you should avoid, and I won’t charge you anything for utilizing my services. The service providers actually pay my company my broker fee. So your company doesn’t have to pay me a dime. So there’s no excuse not to at least reach out and get my opinion on the stuff. I’ve been a broker for all these service providers for over 20 years, and I know the industry inside and out. So give me a call. I guarantee you you’ll be happy. You did join the thousands of other IT departments who have used me to help their company make a lot better decision in a fraction of the time. Also, don’t forget to subscribe to my YouTube channel. I put out new videos every single week, and that’s the best way to make sure you don’t miss any of them.