IT security is now more complex than ever: attack surfaces are growing, the threat situation is becoming more dynamic and companies are increasingly faced with the challenge of effectively securing their existing systems. At the same time, many organizations are already working with Microsoft 365 — whether with Outlook, Teams or SharePoint. But standard licenses such as Microsoft 365 E3 are reaching their limits, especially in the area of security.
With the Microsoft 365 E5 Security Add-on Microsoft offers a cost-effective way to significantly expand your own protection — without having to invest in full E5 licenses right away.
The most important things in brief
- Security package for companies that includes powerful Microsoft 365 E3 Safety features from the E5 portfolio added.
- Access to market-leading tools such as Microsoft Defender XDR, Defender for Endpoint Plan 2 and Entra ID Plan 2— without the full price of the E5 license.
- Products included: Microsoft Defender for Office 365 Plan 2, Defender for Endpoint Plan 2, Defender for Identity, Defender for Cloud Apps, Entra ID Plan 2.
- Costs: ca. €13.44 per user/month, or 11,76€ per user/month with annual commitment.
Interest aroused? SOFTTAILOR helps companies make modern IT infrastructures secure, efficient and sustainable — with a focus on Endpoint Management, Microsoft 365 and automated software distribution.
1. Why the Microsoft 365 E5 Security Add-on makes sense
Until recently, companies were faced with a dilemma: Anyone who wanted comprehensive security features had to either purchase the expensive Microsoft 365 E5 license — including Power BI Pro and telephony features that are often not needed at all — or put together a complex combination of E3, E5, Windows and EMS (Enterprise Mobility & Security) licenses.
With the E5 Security Add-on, exactly this gap was closed. It offers the key security features from the E5 world, but as an addition to the existing E3 license — easier, clearer and significantly cheaper.
2. Overview of the products included
The add-on combines a selection of Microsoft's most advanced security solutions — each in extended expansion stage (Plan 2 or P2). This is particularly important because many organizations with E3 licenses already use basic functions (Plan 1/P1) but have no access to advanced protection mechanisms.
Entra ID Plan 2
Advanced identity and access management features including risk-based access, self-service password reset, passwordless login, single sign-on (SSO), conditional access, and privileged identity management.
Microsoft Defender for Office 365 Plan 2
Protection against phishing, malware, and zero-day attacks in emails and links. Includes threat intelligence, Safelinks, simulated attack scenarios, automated incident response, and active threat analytics.
Microsoft Defender for Identity
Detects unusual activity and potential network attacks using machine learning and behavioral analysis—particularly in hybrid Active Directory environments.
Microsoft Defender for Cloud Apps
Monitors and evaluates the use of cloud applications, detects shadow IT and analyses risky user behavior.
Microsoft Defender for Endpoint Plan 2
An advanced EDR (Endpoint Detection & Response) solution that goes beyond the Plan 1 version included in E3. Among other things, it offers automated investigations and responses (AIR), threat hunting, live response and access to Microsoft threat experts.
Microsoft Defender XDR
The central platform that brings together data from all Defender products and provides a unified view of threats — including automated response and prioritization of security incidents.
Together, these tools form an integrated XDR solution that correlates security data, detects vulnerabilities, and actively repels attacks—as an ideal basis for modern Security Operations Center (SOC).
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3. Pricing & Flexibility
The prices depend on the chosen licensing model as part of Microsoft New Commerce Experience (NCE):
- Monthly commitment
Flexible adjustment of the number of users — but with a price premium of around 20%.
- Annual commitment
Cheaper, but with a fixed number of users for 12 months.
Combinations are possible — e.g. 100 licenses per year + 30 licenses per month for seasonal employees.
list price:
- Approx. 13,44€ per user/month
- 11,76€ per user/for 12 months
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4. Conclusion
With the Microsoft 365 E5 Security Add-on companies get a modern, high-performance security architecture — without the complexity or high costs of a full E5 license. Especially for organizations that already rely on Microsoft 365, this add-on is a useful extension: You stay in the familiar ecosystem, increase the level of security and at the same time benefit from central administration and well-thought-out integration.
Learn more about the E5 Security Add-on or check whether it fits your existing IT strategy? SOFTTAILOR supports selection, licensing and implementation — practical, vendor-certified and tailored to the respective IT environment. Get non-binding advice now.
Dorian has been involved in corporate and IT strategy since 2011. Due to the endpoint security deficiencies of many companies and the information overload, he developed the endpoint strategy. Dorian is co-founder of the “Endpoint Management” expert group at IAMCP e.V.
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