Microsoft Defender Suite (Formerly E5 Security Add-On): Features, Pricing, & Is It Worth It?

July 1, 2025
By Rebecca Spoont

Upgrading to a full Microsoft 365 E5 license feels like overkill for a lot of organizations from both a feature and cost perspective. Microsoft’s answer to this? Microsoft Defender Suite, formerly known as Microsoft 365 E5 Security Add-On.

Microsoft Defender Suite is an add-on to Microsoft 365 Business Premium, Microsoft 365 E3, and Office 365 E3 + Enterprise Mobility and Security E3. It provides advanced security features without paying for the full Microsoft 365 E5.

Let’s break down how it works, what’s included, and how to decide if it’s the right fit for your organization.

TL;DR

What You Need to Know

  • The Microsoft 365 E5 Security Add-On is now called the Microsoft Defender Suite.
  • It gives you most Microsoft E5 security features for $12/user/month, compared to $57/user/month for full E5.
  • It includes tools like Defender for Endpoint P2, Defender for Office 365 P2, Defender for Identity, Defender for Cloud Apps, Entra ID P2, and Defender for IoT.
  • Compliance tools (Purview), Insider Risk, and eDiscovery are not included—that remains exclusive to full Microsoft 365 E5.
  • Great fit for organizations on Microsoft 365 E3, Office 365 E3 + EMS E3, or Business Premium who want high-value security at a lower cost.

What Is Microsoft 365 E5 Security Add-On (Now Microsoft Defender Suite)?

The Microsoft Defender Suite is a bundle of Microsoft’s advanced security tools. Previously known as the Microsoft 365 E5 Security Add-On, it is designed to give organizations the high value security components of Microsoft 365 E5 instead of paying for the full Microsoft 365 E5 Suite

This is why searches like E5 Security add-on price are increasing. Organizations want to strengthen security capabilities without the operational and financial jump to full E5.

Who qualifies for the Microsoft Defender Suite?

To be eligible for the Defender Suite, you must have one of the required licenses:

  • Microsoft 365 E3
  • Office 365 E3 + Enterprise Mobility and Security E3
  • Microsoft 365 Business Premium (Including Business Premium Charity and Nonprofit)

Is the Defender Suite the Same as Microsoft 365 E5?

No. The Defender Suite only includes the security tools, not the compliance, data governance, or productivity enhancements you get with a full Microsoft 365 E5 license.

Here’s a high-level look at the security and compliance differences between Microsoft Defender suite vs. Microsoft 365 E5.

Feature Area Defender Suite (formerly E5 Security Add-On) Microsoft 365 E5 (Full Suite)
Threat Protection Includes Microsoft Defender for Endpoint Plan 2, Defender for Office 365 Plan 2, Defender for Cloud Apps, App Governance, Defender for Identity, Defender for IoT – eIOT Same as Defender Suite
Identity & Access Management Includes Microsoft Entra ID P2 (formerly Azure AD Premium P2) Same as Defender Suite
Information Protection Not included Includes Microsoft Purview Information Protection, DLP, and auto-labeling
Insider Risk Management Not included Includes Insider Risk Management and Communication Compliance
Compliance & Data Governance Not included Includes Advanced eDiscovery, Advanced Audit, and Records Management
Security Management Includes Secure Score, Access Reviews, Security Baselines, Risk-based Conditional Access Policies, Privileged Identity Management Same as Defender Suite

Want to learn more about Microsoft 365 licensing?

Check out our breakdown comparing

Microsoft 365 E3 vs.
Microsoft 365 E5

How Much Does Microsoft Defender Suite Cost?

The Defender Suite (E5 Security Add-On) costs $12/user/month. Buying the same tools individually would cost $28.20/user/month, saving you around 57%.

But the savings go deeper than licensing.

By consolidating your security stack within the Microsoft ecosystem, you reduce the time, complexity, and administrative overhead of managing multiple point security solutions. That means:

  • Fewer vendors to evaluate and renew
  • Fewer contracts to negotiate and track
  • No more piecing together alerts from siloed tools

When tools are integrated with E5 Security, your team has centralized visibility, faster detection and response, and automated workflows. That leads to reduced risk, minimized downtime, and less damage if an incident does occur.

What’s Included in the Microsoft Defender Suite?

Here’s what you get with the Defender Suite bundle:

Identity and Access Controls: Microsoft Entra ID Plan 2

  • Risk-based conditional access and real-time dynamic user and sign-in assessment
  • Identity protection using advanced machine learning to identify risky sign-ins, compromised accounts, and insider threats
  • Granular control over privileged accounts with automated elevation and access reviews

Identity Protection: Microsoft Defender for Identity

  • Threat and suspicious user activity detection across identities and infrastructure
  • Built-in response and automated playbooks for quick threat mitigation
  • Context-rich identity insights during incident investigations—like recent events, activities and risk scoring
  • Tailored configuration vulnerabilities and attack path modeling

Device Security: Microsoft Defender for Endpoint Plan 2

  • Antimalware, cyberattack surface reduction, and device-based conditional access
  • Comprehensive endpoint detection and response (EDR)
  • Advanced hunting with support for custom detections
  • Attack surface reduction capabilities powered by Secure Score

Collaboration & Email Security: Microsoft Defender for Office 365 Plan 2

  • Protection against advanced attacks like phishing and malware
  • Protection beyond email to Microsoft Teams, OneDrive and SharePoint
  • AI and automation to investigate, analyze, and respond to email threats
  • Cyberattack simulation training and detailed reporting

SaaS Security: Microsoft Defender for Cloud Apps

  • Visibility into “Shadow IT” by discovering apps in use
  • SaaS app security posture that uncovers configuration gaps and offers recommendations
  • OAuth-enabled and line of business app monitoring, governance and protection

Enterprise IoT (Internet of Things) Security: Microsoft Defender for IoT

  • Insight into IoT devices in corporate environments (printers, cameras, proprietary devices)
  • Uncover hidden vulnerabilities on your IoT assets
  • Provide the missing pieces in your organization’s asset inventory

Who Is the Defender Suite Best For?

This bundle is ideal for organizations that:

  • Run Microsoft 365 E3 or Business Premium
  • Want enterprise-grade security without full E5 cost
  • Need integrated threat protection (email, identity, endpoints, SaaS)
  • Are consolidating point solutions like CrowdStrike, Proofpoint, Okta, or Netskope
  • Lack internal resources for manual correlation or multi-tool management

If your priorities are security and operational efficiency, Defender Suite is often the most cost-effective path.

How ProArch Can Help You Get the Most from Microsoft Defender Suite

Choosing the right Microsoft security licensing is just the beginning. You need a partner who can configure, optimize, and actively manage your environment.

That’s where ProArch comes in. As a top Microsoft Solutions Partner and proud member of the Microsoft Intelligent Security Association (MISA), we help you:

Ready to take your security to the next level without paying full E5 price?

Contact us to talk Microsoft 365 E5 Security.

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