Microsoft Teams Phone System Pricing & Plans:
Full Guide for 2025

With over 320 million users worldwide, Microsoft Teams is one of the most widely used communication tools on the market. But does its MS Teams Phone stand up to scrutiny?

As one of the biggest software companies in the world, consumers naturally hold Microsoft to a high service standard. However, with the comparatively barebones features that Teams Calling Plans offer, many may be left cold.

In this article, we’ll take a closer look at the Microsoft Teams Phone system cost, evaluate its various plans on offer, and compare them head-to-head to other industry-leading VoIP solutions. Continue reading to find out more!

Key Takeaways:

• Microsoft Teams Phone starts at $8 per user/month, but additional costs for subscriptions and minutes can make it less affordable than it seems.
• MS Teams Phone focuses on basic VoIP features and integration with Microsoft 365, but lacks advanced call center tools and robust automation.
• Compared to competitors like CloudTalk, MS Teams Phone falls short in terms of international numbers, advanced features, and seamless integrations.

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Overview of Microsoft Teams Phone System Pricing & Plans

Microsoft Teams offers multiple calling plans, with the only difference between them being the specific pricing structure. Below, you’ll find a quick overview of the different Teams VoIP pricing options, along with all their included minutes and features.

Feature/Aspect

Standard

Pay-as-You-Go

Calling

Domestic & International

Annual Pricing

$8 per user/month

$11 per user/month

$15 per user/month

$32 per user/month

Calling Minutes

Purchased additionally

Metered calling

3,000 domestic outbound

3,000 domestic / 600 international outbound

Cloud-Based Phone App

PSTN

VoIP

Audio Calls

Video Calls

Microsoft Teams Phone Standard

Starting at just $8 per user/month, this is the cheapest Teams Phone pricing option available. Standard does not include any calling minutes, but can be combined with a compatible providers’ phone plan to leverage your personal / company SIM number.

The benefit of this is that you can effectively leverage VoIP calls and all of Microsoft Teams’ features, without juggling multiple phone numbers at the same time. However, Standard does require an additional Microsoft Teams subscription to work.

Teams Phone with Pay-as-You-Go Calling
(Country Zone 1 – US)

Starting at $11 per user/month, this Microsoft Teams Phone system pricing is perfect for companies that don’t want to over-spend on minute-package plans they wont use. It offers metered outbound calling, meaning you only pay for the subscription and minutes.

However, on Microsoft’s page, this plan is only available in its “Country Zone 1”, which includes the United States, Canada, United Kingdom, and Puerto Rico. It requires an additional, stand-alone Microsoft Teams subscription to work.

Teams Phone with Calling Plan
(Country Zone 1 – US)

Starting at $15 per user/month, the Teams Phone with Calling Plan pricing is ideal for local businesses that spend a similar amount of time calling each month and want to save via a package deal. This plan comes with 3,000 outbound domestic minutes.  

Like the PAYG plan, this subscription is also only available in Country Zone 1 (US & Puerto Rico, UK & Canada), and requires an additional, stand-alone Microsoft Teams subscription to work.

Teams Phone with Domestic & International Calling
(Country Zone 1 – US)

Starting at $32 per user/month, the Teams International Calling subscription works best for international companies with stable monthly minute spends. It offers a combined pool of 3,000 domestic and 600 international outbound minutes with a 1:5 conversion rate.

In practice, this means that each minute you call internationally will subtract 5 minutes from your domestic calling allowance. This plan is also only available in Country Zone 1 and requires an additional, stand-alone Microsoft Teams subscription to work.

Microsoft Teams Voice Licensing Hidden Costs:

While the Teams Voice licence cost may seem more than favourable, as we previously mentioned, each plan required and additional Microsoft Teams subscription for onboarded agent to work. These also come in multiple packages, including:

• MS Teams Essentials: $4 per user/month, annually for access to MS Teams.
• MS Teams Premium: $10 per user/month, annually with AI-powered features.

This means that although Microsoft Teams VoIP pricing seems quite cheap, your annual subscription costs can quickly rise, if you intend on onboarding multiple users and agents to handle your call center operations.

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CloudTalk Vs. Microsoft Teams Phone: Which Is Better?

Whenever you’re considering a particular provider, it’s important to consider their offering in the context of other options on the market. In this case, we’ll be comparing the provider directly against CloudTalk, so it’s vital we give you some context.

Short Overview of CloudTalk’s Plans and Pricing

CloudTalk has 5 pricing plans on offer, ranging in price from $19 to $50 per user/month, with a special exception for the custom pricing plan, which lets you tailor your solution to your unique business needs. Here’s a breakdown of CloudTalk’s plans:

1. Lite: CloudTalk’s special entry-level plan for micro and small businesses in the US and LATAM. Uniquely quick to deploy, with all the basic calling and call center management tools you need to enter the global market.
   
   Key Features: Unlimited calling in US & Canada, Business SMS, Click-to-Call, Call Recording, Analytics
   
2. Starter: CloudTalk’s basic plan is designed specifically for micro and small businesses. Easy to set up and easier to use, this plan offers small teams everything they need to kick off their call center operations.
   
   Key Features: Click-to-Call, Voicemail, Call Flow Designer (CFD), Automatic Call Distribution (ACD)
   
   Price: $25 per user/month
   
3. Essential: CloudTalk’s medium plan, focused on growing SMBs and MMBs. This plan helps teams expand their inbound and outbound operations, automate processes, and improve experiences.
   
   Key Features: SMS/MMS, Interactive Voice Response (IVR), Skill-Based Routing, Callback, Integrations + Open API
   
   Price: $35 per user/month
   
4. Expert: CloudTalk’s feature-packed plan for growing MMBs and enterprises or any team that requires robust calling capabilities. This plan helps customer-facing departments streamline outreach and improve performance.
   
   Key Features: Power Dialer, Smart Dialer, VIP Queues, WhatsApp Inbound & Outbound Messages, Call Monitoring
   
   Price: $50 per user/month
   
5. Custom: CloudTalk’s ultimate plan for the most demanding of companies, tailored perfectly to their particular business needs. This plan allows you to do it all, from coordinating teams to conquering the world’s many markets.
   
   Key Features: Custom Onboarding, Unlimited Outbound Calls with Flat Rates, Enterprise-Level Security, Developer Support
   
   Price: Varies based on features, number of users, etc.

CloudTalk Vs. Microsoft Teams Phone: Direct Comparison

CloudTalk Vs. Microsoft Teams Phone: Key Takeaways

We can glean several insights based on our comparison between CloudTalk’s and Microsoft Teams Phone’s pricing and plans. These include:

1. Pricing: While MS Teams Phone starts at $8 per user/month, its hidden costs and lack of included features make CloudTalk’s $25 plans far more favorable.
2. Features: CloudTalk offers numerous advanced features missing from the MS Teams Phone, which can be severely limiting and costly in missed opportunities.
3. Integrations: Unlike MS Teams Phone, which lacks native integrations, CloudTalk integrates seamlessly with over 35 CRMs and business tools.

Microsoft Teams Phone Best Features

While MS Teams Voice offers only a limited number of features, a few rise above the rest. Based on external reviews, Microsoft Teams Phone’s top 3 features include:

1. Operator Connect: Allows direct connection to a telecom provider without additional hardware, ensuring flexibility and reliability.
   
2. Call Queues: Efficiently manages inbound calls by placing them in organized queues, ensuring no call goes unanswered.
   
3. Direct Routing: Enables businesses to connect to PSTN using their preferred telecom provider, offering cost control and flexibility.

Microsoft Teams Phone Pros & Cons

Based on everything discussed so far, we can make several conclusions regarding MS Teams Phone’s strongest and weakest aspects. These include:

CloudTalk: The Better Solution for International Teams

While Microsoft Teams Phone offers a low entry price and seamless integration with Microsoft 365, its limitations in features, hidden costs, and lack of international scalability can hinder its appeal for growing businesses. 

But why fight when you can make friends? You can enjoy both the benefits of Microsoft’s collaboration system while delivering crystal-clear calls across 160+ countries. All you need to do is install the CloudTalk x MS Teams one-click integration.

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