Microsoft Teams vs Slack
Communication pricing comparison · 2026
Microsoft Teams pricing ranges from $4–$22/user/month, while Slack ranges from $0–$15/user/month. Slack is typically 21% more affordable, though your actual cost depends on tier and team size.
Microsoft Teams
Microsoft Teams paid plans cost $4–$22 per user per month as of 2026.
verified 6w ago
$399
$4.5K
Verdict · list-price math · year 1
Microsoft
saves
$2.4K
vs
Slack
· 25 seats
Cheapest
$2.1K
Spread
53%
Estimated license cost
at 25 seats
List price × seats. Click a tier below to lock it.
Microsoft 365 Business Basic
$2.1K/yr
year 1 license · $7/seat
Business+
$4.5K/yr
year 1 license · $15/seat
What buyers actually pay
median, annual
Vendr deal-flow data. The real benchmark, not list price.
Median annual
$399/yr
Vendr · n=344
No Vendr data
—
Not in Vendr's deal flow
REF · 01
Sources & confidence
Every dollar amount and contract clause below traces back to a sourced fact. We don't manufacture composite scores.
Where this data comes from
Vendr · TrustRadius · Reddit · BBB · official docs
Sources
11 sourced facts
7 hidden-cost · 1 contract · Vendr median · 2 review platforms
Last verified
1mo ago
Confidence
Medium confidence
Sources
23 sourced facts
13 hidden-cost · 7 contract · Vendr median · 2 review platforms
Last verified
1mo ago
Confidence
Medium confidence
REF · 02
Plans at a glance
Every tier per product. Lock one to drive the cost row above and reveal a tier-specific outbound CTA.
Tier ladder
Click a tier to lock the cost row to it. Locking surfaces a tier-specific Visit CTA.
REF · 04
Contract terms
The fine print, surfaced. Green = buyer-friendly. Each clause backed by a quoted source.
Microsoft
Slack
Auto-renewal
Yes
Yes
Cancellation
—
✓
30 days written notice before subscription term end. Either party can give notice of non-renewal at least 30 days before the end of a subscription term to stop auto-renewal. For Enterprise contracts, the deadline is typically 30-90 days before contract end. Monthly plans receive renewal notices 30 days before billing date; annual plans receive 60-90 days notice.
Commitment
Annual (required for advertised per-user prices)
Pro and Business+ have no published minimum seat count, but even 2-person teams pay for a minimum of 3 seats. Enterprise+ requires annual commitment, typically 1-3 year terms. Legacy Enterprise Select required a minimum of 9 users at $240/user/year on annual agreements only. Multi-year contracts (2-3 years) can save 15-25% compared to annual renewals.
Price escalation
Users report 10-30% annual price increases through tier restructuring and list price increases on Azure and Microsoft 365 products
Since the Salesforce acquisition, Slack enforces a mandatory 9% year-over-year price increase at renewal unless specific conditions are met: demonstrating 15-20% ARR growth, committing to multi-year contracts, or adding new Salesforce products. Over four years, the 9% annual uplift adds approximately $38,313 to cumulative subscription cost for a mid-size deployment — a 38% total increase. Business+ pricing increased 20% in 2025 (from $12.50 to $15/user/month) to reflect bundled AI features. Enterprise Select and Enterprise Grid were consolidated into Enterprise+ in August 2024. Annual contracts often include language allowing 5-7% price increases at renewal.
Can downgrade
—
—
REF · 05
What users say
Aggregated, with sample sizes. We use whichever review platform has data.
User reviews
TrustRadius · Trustpilot · G2
Decide
Get a quote from each vendor
Each link opens the vendor's pricing page in a new tab.
License cost is computed from publicly listed plans (real math, list price × seats).
Median annual cost is from Vendr's deal flow when available — see source badges.
Hidden costs and contract terms each cite their own sources. We do not invent composite scores.
VS
Microsoft Teams and Slack both operate in the communication category. This page compares their list pricing.
Plan-by-Plan Pricing
| Plan | Microsoft Teams | Slack |
|---|---|---|
| Microsoft Teams Essentials | $4 /user/month | Free /user/month |
| Microsoft 365 Business Basic | $7 /user/month | $7.25 /user/month |
| Microsoft 365 Business Standard | $14 /user/month | $15 /user/month |
| Microsoft 365 Business Premium | $22 /user/month | Custom |
| Microsoft Teams Enterprise (E3/E5) | Custom | — |
Cost at Scale
Total cost of ownership — licenses, implementation, and hidden costs included.
Microsoft Teams
4 scenarios$480/year ($4/user/month × 10 users × 12 months)
Small Team (10 users) - Teams Essentials
$2,100/year ($7/user/month × 25 users × 12 months)
Small Business (25 users) - Microsoft 365 Business Basic
$8,400/year ($14/user/month × 50 users × 12 months)
Mid-Market Team (50 users) - Microsoft 365 Business Standard
Slack
3 scenarios$870/year ($72.50/month)
Small Team (10 users, Pro plan)
$9,000/year ($750/month)
Mid-Size Team (50 users, Business+ plan)
~$50,300/year (negotiated from $57,160 median)
Large Organization (100 users, negotiated Pro)
Market Intelligence
Microsoft Teams
- Median annual cost
- $399
- Based on
- 344 deals
Slack
- Average negotiated discount
- 14%
Contract Terms
| Term | Microsoft Teams | Slack |
|---|---|---|
| Auto-renewal | Yes | Yes |
| Cancellation | — | 30 days written notice before subscription term end. Either party can give notice of non-renewal at least 30 days before the end of a subscription term to stop auto-renewal. For Enterprise contracts, the deadline is typically 30-90 days before contract end. Monthly plans receive renewal notices 30 days before billing date; annual plans receive 60-90 days notice. |
| Minimum commitment | Annual (required for advertised per-user prices) | Pro and Business+ have no published minimum seat count, but even 2-person teams pay for a minimum of 3 seats. Enterprise+ requires annual commitment, typically 1-3 year terms. Legacy Enterprise Select required a minimum of 9 users at $240/user/year on annual agreements only. Multi-year contracts (2-3 years) can save 15-25% compared to annual renewals. |
| Price escalation | Users report 10-30% annual price increases through tier restructuring and list price increases on Azure and Microsoft 365 products | Since the Salesforce acquisition, Slack enforces a mandatory 9% year-over-year price increase at renewal unless specific conditions are met: demonstrating 15-20% ARR growth, committing to multi-year contracts, or adding new Salesforce products. Over four years, the 9% annual uplift adds approximately $38,313 to cumulative subscription cost for a mid-size deployment — a 38% total increase. Business+ pricing increased 20% in 2025 (from $12.50 to $15/user/month) to reflect bundled AI features. Enterprise Select and Enterprise Grid were consolidated into Enterprise+ in August 2024. Annual contracts often include language allowing 5-7% price increases at renewal. |