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Microsoft 365 E7: The Frontier Suite Explained | Valto

Microsoft 365 E7 bundles Copilot, Agent 365, and Entra Suite into one plan. Find out what’s included & whether it’s right for your business.

Published: 10 March 2026

Microsoft 365 E7: What Is the Frontier Suite and Is It Worth It?

Microsoft 365 E7, also known as the Frontier Suite, is a new enterprise licensing plan announced by Microsoft on 9 March 2026, available from 1 May 2026. Priced at $99 per user, per month (approximately £79 based on current exchange rates), it bundles Microsoft 365 E5, Microsoft 365 Copilot, Agent 365, the Entra Suite, Work IQ, and Copilot Cowork into a single, integrated SKU. Microsoft has designed it specifically for organisations that are ready to move beyond isolated AI pilots and deploy artificial intelligence at company-wide scale.

For UK businesses currently on Microsoft 365 E3 or E5, this announcement is a significant one. This guide covers exactly what E7 includes, how it compares to existing plans, and how to decide whether it makes sense for your organisation.

What Does Microsoft 365 E7 Include?

Microsoft 365 E7 is a comprehensive bundle rather than a standalone product. It packages six components that were previously sold separately: ComponentWhat It Adds Microsoft 365 E5The full secure productivity foundation, including advanced compliance, eDiscovery, and identity protection. Microsoft 365 CopilotAI assistance embedded directly into Word, Excel, Outlook, Teams, and PowerPoint. (Worth ~$30/user/mo separately.) Agent 365A unified control plane for deploying, governing, and scaling AI agents across your organisation. (Worth ~$15/user/mo separately.) Entra SuiteZero-trust identity and access management covering external identities, private access, and internet access. (Worth ~$12/user/mo separately.) Work IQA shared intelligence foundation connecting insights across your Microsoft 365 environment. Copilot CoworkHandles complex multi-step tasks autonomously - such as scheduling email updates and preparing meeting briefings. Entering research preview March 2026. Purchased individually, these components would cost significantly more. Microsoft states that E7 offers up to 15% incremental savings over buying them as separate add-ons.

How Does Microsoft 365 E7 Compare to E3 and E5?

The clearest way to understand where E7 sits is to look at the pricing and capability gap across Microsoft’s enterprise tiers:

PlanPrice (per user/month)AI Capabilities
Microsoft 365 E3~$36 / ~£29None included
Microsoft 365 E5~$60 / ~£48Advanced security & compliance only
Microsoft 365 E7 – NEW$99 / ~£79*Copilot + Agent 365 + Entra Suite + Work IQ + Cowork

*GBP pricing is approximate based on current exchange rates. Microsoft UK pricing will be confirmed closer to the 1 May 2026 availability date.

The jump from E5 to E7 represents a 65% price increase on paper. However, organisations that are already paying separately for Microsoft 365 Copilot ($30/user/mo) and the Entra Suite ($12/user/mo) will find the gap considerably narrower – and Agent 365 effectively becomes an addition at minimal incremental cost.

What Is Agent 365 and Why Does It Matter?

Agent 365 is arguably the most significant new component in the Microsoft 365 E7 bundle. It provides a centralised control plane for governing, deploying, and scaling AI agents, both Microsoft’s own agents and those built by third-party partners.

In practical terms, Agent 365 allows IT and security teams to:

Govern and monitor all AI agents running within their Microsoft tenant
Set security, compliance, and observability policies across both Microsoft-built and partner agents
Approve which third-party agents can be deployed within the organisation
Use the Agent 365 SDK to commission custom agents built around specific business workflows

For organisations that have been cautious about AI adoption due to governance concerns, Agent 365 is a meaningful answer. It transforms AI agents from ungoverned individual tools into managed, enterprise-grade capabilities with full audit trails.

What Is Copilot Cowork?

Copilot Cowork is a new agentic capability entering research preview in March 2026, initially available to participants in Microsoft’s Frontier programme. Unlike standard Copilot, which responds to individual prompts, Cowork operates autonomously across multi-step tasks.

Early use cases include sending regularly scheduled email updates, preparing meeting briefings by pulling relevant documents and previous conversations, and co-ordinating workflows across Microsoft 365 applications without manual intervention. Microsoft has developed Cowork in partnership with Anthropic, integrating Claude AI to power aspects of the service.

Copilot Cowork enters research preview March 2026. General availability for all E7 customers is expected from the 1 May 2026 launch date.

Who Should Consider Upgrading to Microsoft 365 E7?

Microsoft 365 E7 is not designed for every organisation at every stage of their Microsoft journey. It is best suited to businesses that meet one or more of the following criteria: Organisations still in early-stage AI exploration, or those on E3 without an immediate roadmap to Copilot, may find the jump to E7 premature. A phased approach, starting with Copilot on E5, may be more appropriate.

You are already on Microsoft 365 E5 and actively evaluating or paying for Copilot and Entra add-ons
You are deploying or planning to deploy AI agents across your organisation and need a governance framework to manage them
You want to reduce licence sprawl by consolidating multiple SKUs into a single, predictable per-user cost
You are a mid-to-large enterprise organisation seeking a governed, security-first approach to scaling AI
Your IT or security team requires full visibility and control over AI activity across your Microsoft tenant

Is Microsoft 365 E7 Worth the Cost for UK Businesses?

The answer depends heavily on your current licensing estate. For a UK organisation with 500 users currently on Microsoft 365 E5 plus separate Copilot licences, the annual saving from consolidating into E7 can be substantial. For an organisation on E3 with no AI add-ons, the cost increase is significant and would need to be justified by a clear AI transformation roadmap.

There is also a strategic dimension. Microsoft is clearly positioning E7 as the direction of travel for enterprise customers. Organisations that invest in building Agent 365 governance frameworks and Copilot adoption now are likely to be better positioned as AI becomes a competitive differentiator over the next two to three years.

That said, licence cost is only part of the picture. The total cost of an E7 migration includes change management, user training, agent development, and ongoing adoption support – all of which should be factored into any business case.

When Is Microsoft 365 E7 Available in the UK?

Microsoft 365 E7 is available globally, including in the UK, from 1 May 2026. Microsoft’s Cloud Solution Provider (CSP) programme will begin offering E7 incentives and performance credits from 1 April 2026, meaning Microsoft partners like Valto can begin assisting customers with migration planning and cost modelling ahead of general availability.

UK GBP pricing will be confirmed by Microsoft closer to the launch date. Based on current USD/GBP exchange rates, expect an approximate list price of around £79 per user, per month, though Microsoft typically applies regional pricing adjustments that may differ from a direct currency conversion.

How to Prepare for Microsoft 365 E7

Organisations considering an upgrade to Microsoft 365 E7 should begin their planning now. The period between the March announcement and the May availability date is an opportunity to:

Audit your current Microsoft 365 licences and identify any Copilot, Entra, or Agent add-ons already in use
Calculate the true cost of your existing licensing estate versus an E7 bundle
Assess your AI governance readiness – do you have the policies and processes Agent 365 would require?
Build an internal business case using the up-to-15% bundle saving as a starting anchor
Engage your Microsoft partner to model scenarios and understand CSP-specific pricing

How Valto Can Help

As a Microsoft partner, Valto works with businesses to navigate licensing decisions, model costs, and plan migrations. Whether you are currently on E3 looking to understand the full E3-to-E7 path, or already on E5 and evaluating the incremental case for E7, we can provide a structured licensing review ahead of the 1 May availability date.

We can also support the broader E7 transformation: from Copilot adoption programmes and Agent 365 governance frameworks to custom agent development using the Agent 365 SDK. If you’d like to discuss Microsoft 365 E7 and what it means for your organisation, get in touch with the Valto team.

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