License & Subscription Issues

Power Apps vs. Power BI Pro Licenses with Microsoft 365 E3

Adam DavisAdam Davis Nov 4, 2026 869 views

Question details

Determine the differences between Power Apps and Power BI Pro licenses and identify which one is needed alongside an existing Microsoft 365 E3 subscription.

Power Apps vs. Power BI Pro Licenses with Microsoft 365 E3
Product
Microsoft 365
Device & OS
not provided
Scenario
An organization with Microsoft 365 E3 needs to understand whether they must purchase Power Apps or Power BI Pro licenses for specific user workflows.
Observed behavior
Seeking clarity on separate licensing models for Power Platform services since Microsoft 365 E3 does not include full standalone access to these tools.
Before you start

Ensure you have global admin or billing admin access to the Microsoft 365 Admin Center to view your organization's current licenses and subscriptions.

Solution 1Recommended

Determine Your Power Platform Licensing Needs

Understand the distinct capabilities of Power Apps and Power BI Pro to decide which separate license your users require.

Power Apps and Power BI Pro are separate licenses designed for different services within the Power Platform. Microsoft 365 E3 includes basic seeded versions of some Power Platform features, but advanced functionalities require standalone licenses.

1
Review Microsoft 365 E3 base capabilities

Microsoft 365 E3 includes limited 'Power Apps for Office 365' rights, allowing users to customize SharePoint forms and build canvas apps using standard connectors. It does not include Power BI Pro.

2
Assess Power Apps requirements

If your users need to build or run custom applications that connect to external data sources using Premium Connectors, or if they need to use Microsoft Dataverse, you must purchase a standalone 'Power Apps Premium' (formerly Per User) or 'Per App' plan.

3
Assess Power BI requirements

If your organization needs to perform advanced data analytics, publish reports, and share interactive dashboards with other users, you need to purchase 'Power BI Pro' licenses for those specific users.

Consult Microsoft Licensing Documentation: Licensing terms frequently change. It is highly recommended to review the official Power Platform licensing FAQ or contact Microsoft Support for organization-specific volume licensing guidance.
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Frequently Asked Questions

Is Power BI Pro included in Microsoft 365 E3?

No, Microsoft 365 E3 only includes the free version of Power BI, which is meant for personal data analysis. To share reports and dashboards with others, you must purchase a separate Power BI Pro license. Note that Microsoft 365 E5 does include Power BI Pro.

Do I need a separate Power Apps license if I already have Microsoft 365 E3?

It depends on your usage. Microsoft 365 E3 includes basic Power Apps rights for extending Microsoft 365 data using standard connectors. However, if your apps require premium connectors, Dataverse, or complex custom integrations, you will need a standalone Power Apps license.

Can I mix different Power Platform licenses within the same organization?

Yes. You can assign Microsoft 365 E3 licenses to all employees, but only purchase and assign Power BI Pro or standalone Power Apps licenses to the specific users who actually need to build apps or share analytics dashboards.