Microsoft Teams

Microsoft Teams logo

Why Microsoft Teams

Best for
Companies on Microsoft 365 that want chat, video meetings, calling and file collaboration in one app, from small teams on the free version to larger organisations.

What it does

Microsoft Teams is a collaboration app for chat, meetings, calling and shared work. Teams and channels hold the conversations, files and tools for a group. Meetings, calls and enterprise voice features sit in the same app.

It is sold in several ways. There is a free version for chat, files and meetings, a standalone Essentials plan, and Teams as part of Microsoft 365 plans such as Business Basic and Business Standard. Microsoft also sells Teams Phone and Teams Rooms as add-ons.

Why you would need it

Without one shared place, work lives in email threads and separate video links. The pain shows up when a project has five people, three tools and no single place that holds the latest file or the last decision.

Teams puts the chat, the meeting and the files in one place, next to Outlook, SharePoint and the other Microsoft apps. What changes is that fewer things get lost in an inbox.

Where it fits

Teams sits at the centre of the Microsoft 365 workday. Your calendar, your files and your identity feed it. It feeds your meetings, your notifications and the apps and bots you add. Other systems can post into it.

It replaces separate chat and video tools if you already pay for Microsoft 365. It competes with Slack on chat, and with Google Workspace as a whole.

What stands out

  • It comes with Microsoft 365. If you pay for that suite, the app is already there.
  • A free version exists, so you can start without a licence. Its meeting links work up to 60 minutes.
  • A wide developer surface: Microsoft Graph APIs, bots, tabs and workflow automation through Power Automate.
  • A Teams MCP server is documented, so AI agents can work with chats, channels and messages.

My take

I would pick Teams when the company already uses Microsoft 365. It is hard to argue for a separate chat tool when Teams is already paid for, signed in and connected to your calendar and files.

What I'd watch is noise. Chat, channels and meetings multiply quickly, so decide early what goes where. If your team is not on Microsoft, I would not adopt it just for chat. A tool built around chat, such as Slack, is simpler to use and has more third-party integrations.

Verdict

Pick Teams if you run on Microsoft 365 and want one place for chat, meetings and files. Skip it if your company is on Google Workspace, where Meet and chat are already included.

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Before you choose

The free version has limits

The free version covers chat, files and meetings, but meeting links work up to 60 minutes. The Essentials plan raises that to meetings of up to 30 hours with 300 participants, and gives each user storage. If you run long client workshops, check meeting limits before you rely on the free tier.

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Which plan fits

Teams comes standalone, in Business Basic and Business Standard, and with Copilot on a Business Standard option. The right choice depends on whether you also want the Office desktop apps and AI. Compare the plans against what you actually use, because it is easy to pay for a suite you only use for chat.

Integration paths are changing

Microsoft is retiring Microsoft 365 Connectors for Teams and points developers to the Workflows app and Power Automate. If you have old webhook connectors, plan the move. Also, the app-specific MCP tools for Teams are documented as preview and meant for backward compatibility, with Microsoft pointing new work at Work IQ MCP.

Compare with Slack

Slack is the usual alternative for chat. It is often easier for outside integrations. Teams wins on bundling and meetings. Choose on where your team already lives.