Our Office 365 Savings/ TCO Calculator shows how 3rd Party Email Archiving can save you over 6 figures.
Many organizations are moving or are planning to move their exchange email systems from on-premise to the cloud via Office 365 to save costs, simplify their operations and increase use and productivity for their employees. Recently due to moving to remote working this more than likely has been a rapid decision that has resulted in people questioning the cost of their Office 365 licensing or over licensing against their need. Now they are looking to reduce their Office 365 Costs.
Office 365 is a great tool, but it is very complex, with numerous options, all with different costs. Many organizations try to look for a like-for-like transfer with their existing on-premises solution, rather than thinking about what they need. This results in most organizations paying too much for their Office 365 setup because they are paying for stuff that they do not need. We have also seen organizations forced down the Office 365 business-standard route and it simply does not meet all their requirements.
Things to Consider
- Email archiving and filtering, is it included, how good is it, do you still need or use something else?
- What happens to legacy or ex-user mailboxes? Shared mailboxes are blind to eDiscovery without a full license.
- Regulatory compliance requirements should be taken into consideration to ensure regulated data is not lost or misplaced.
- How will you implement retention policies for different legislation and users?
- Legal responsibilities, such as litigation hold, ensuring data remains in its original format, and guaranteeing metadata is not altered in any way are an absolute must.
- What about back up costs, do I need to back up all my licenses?
- Single Vendor Dependency– do you want to keep all your eggs in one basket? What happens when Microsoft goes down and it has quite recently? With much of the workforce working in a remote environment, this is particularly important.
Office 365 (E3 and E5) versus Third-Party Solutions
There is a maze of licensing options within Office 365, and it can be difficult to navigate what is suitable for your organisations’ requirements. As well as, that there are significant cost differences between different options, for example between the lower end E1 licenses and higher-end E5 licenses. From a compliance point of view, you will need a minimum of Microsoft E3 licenses with the Advanced Compliance add-on or else full Microsoft E5 licenses to ensure you are covered from an eDiscovery perspective. This is where utilising a third-party solution for the compliance piece can deliver benefits such as significant cost savings, better capabilities, and time savings.
The Calculations
- A company has 250 users on Office 365.
- 10% of their mailboxes are redundant but are kept because of the data they hold for regulation reasons.
- The company has 55% of its licenses on E1, 35% on E3, and 10% on E5.
- The cost for Office 365 Licences and back up would be approximately €49,560.00 (Back up is based on leading provider costs)
Let us look at the cost over a 3-year period to upgrade to Office 365 eDiscovery
- To provide eDiscovery, retention, compliance, and visibility Office 365 requires E3 with add-ons or E5 licenses for every user. This means that 55% of licenses on E1 will have to be upgraded to E3.
- The additional yearly cost to upgrade current licenses to E3 and E5 and include eDiscovery will be $37,440.00.
- The total cost to upgrade Current Office 365 Licenses to include eDiscovery and Backup will be $76,800.00.
- The cost over three years is – $230,400.00.
Let’s Create Some Savings and Reduce Office 365 Costs.
- MailMeter works with all O365 licenses to provide an encrypted archive, retention, search, export, eDiscovery, legal hold, automated identification, and templated auto search for violations.
- MailMeter works with all Office 365 Licenses so there is an automatic saving by not having to upgrade your office 365 license to E3 and E5.
- Typically, more than 10% of all Office 365 licenses are redundant, you can also remove the backup for these licenses. We ingest all your historical emails into our compliant hosted environment.
- MailMeter plus the company’s current Office 365 Licenses is $13,464.00 (this includes backup as above)
- Savings in Year one in comparison to Office 365 license and eDiscovery upgrade is $33,336.00
- That is a 3-year saving of $100,008.00
Considering the above results, utilizing a third-party email archiving solution like MailMeter to Archive Office 365 is a great investment!
MailMeter offers Lightning-fast Email archiving for huge cost and time savings. Simple, Secure, and Scalable so you can find what you want when you want from anywhere.
Want to try your own calculations? Try out our Email Archiving TCO calculator and see how much you reduce your Office 365 costs by!
Benefits of using MailMeter.
- Firstly, as shown above, huge cost savings.
- No impact on email accessibility.
- Archived email data through MailMeter remain just as visible and accessible. If end-users need emails back, they have instant access.
- Fully Managed- Cut the cost of management and free up your IT.
- Our fully automated archiving service is simple to manage and highly scalable. There is no need for end-user training, set up like outlook.
- Manage all through a single dashboard.
- Simple eDiscovery for data regulation such as FOI, GDPR, and legal requirements.
- Our solutions allow you to manage 90% of all searches in less than 10 minutes, for anything more, our managed service eDiscovery experts are just a local call away.
“Waterford technology is considerably faster at searching emails as opposed to the in-built search within outlook, and that is the most important thing when searching emails …. speed. MailMeter is very popular here. MailMeter delivers back searches in a matter of seconds, and that is the most important factor to me and MailMeter users.” Liam Sinnott – IT Manager, The Health Research Board
