Report: A free version of Microsoft Teams is in the works

Microsoft Teams is a chat-based collaboration platform that brings your team’s conversations, files, and tools in a single workspace. Microsoft announced the general availability of Teams just 11-months back and since than more than 125,000 organizations have adopted this tool for their internal communication needs. Microsoft has been regularly delivering updates to this service with new features and recently announced that they will replace Skype for Business with Microsoft Teams in the coming years.

Microsoft Team’s main competitor in the market is Slack, a billion dollar startup. Despite having years of head start, Slack is now struggling to win customers against Microsoft Teams because of Microsoft’s pricing strategy. Microsoft is currently giving away Teams for free to all Office 365 Business premium and Enterprise customers. A business need to pay around $12.5 per seat per month for premium edition of Slack. For the same price, a business can get full suite of Office desktop applications, Exchange online, OneDrive, SharePoint, Yammer and many others along with full edition of Microsoft Teams. Because of this reason, most of the enterprises and large businesses prefer Teams over Slack.

But Slack still remains popular among startups and the web community in general, the main reason behind this popularity is their free edition. There is no free edition of Microsoft Teams till date. You have to buy an Office 365 subscription which includes Microsoft Teams. According to a latest report from Petri, Microsoft is working on a free edition of Microsoft Teams. Just like how Slack offers users to upgrade from free edition to premium edition, Microsoft will allow free users to upgrade to a paid edition to enjoy complete set of features without any storage or people limits. Once Microsoft unveils the free edition of Teams, Slack’s life will become even tougher. It will be interesting to see how Slack takes on Teams in the coming months.

Source: Petri

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