On January 23, 2026, Microsoft announced that Microsoft Entra ID P2 and Microsoft Defender for Endpoint P2 became available as add-on offerings through the Cloud Solution Provider (CSP) program. This means that organizations using Microsoft 365 E3 plans can now easily enhance their security by adding these two advanced services without upgrading to a higher license tier. The change enables a straightforward, incremental upgrade path to strengthen identity and endpoint protection within existing subscriptions.

What is Entra ID P2?
Microsoft Entra ID P2 is an advanced identity and access management service (formerly known as Azure AD Premium P2). It provides enhanced identity security features, including risk-based identity protection and Privileged Identity Management (PIM) for admin accounts. Entra ID P2 helps organizations safeguard user sign-ins with intelligent threat detection (for example, flagging unusual login attempts) and ensures that highly privileged access (like administrative rights) is only granted when needed and closely monitored. This adds an extra layer of defense on top of the standard identity features in lower-tier plans, helping prevent unauthorized access and account breaches.
What is Defender for Endpoint P2?
Microsoft Defender for Endpoint P2 is a comprehensive endpoint security solution (the highest plan of Defender for Endpoint) that offers enterprise-grade endpoint detection and response (EDR) capabilities. Defender for Endpoint P2 goes beyond basic antivirus – it continuously monitors and hunts for threats on PCs, phones, and other devices, uses automated investigation and remediation to respond to attacks, and provides deep threat analytics to security teams. This means if a suspicious file or behavior is detected on an endpoint, Defender for Endpoint P2 can automatically investigate it, contain the threat, and help analysts understand what happened. It builds on Plan 1’s core protection by adding these advanced tools to stop sophisticated cyber-attacks on company devices.
Licensing
In the Cloud Solution Provider (CSP) program, these two products are offered as add-on licenses for organizations with Microsoft 365 E3. This means a customer with M365 E3 can purchase Entra ID P2 and/or Defender for Endpoint P2 on top of their existing subscription through their CSP partner SCHNEIDER IT MANAGEMENT. Microsoft has introduced an incremental pricing model – often called “step-up” licensing – so you only pay for the upgrade portion rather than a full separate license. This approach removes the need for complex licensing agreements or migrations; it’s a straightforward way to elevate security capabilities. It’s ideal for businesses that need stronger security than E3 provides but are not ready for a full E5 plan.
By using these add-ons, you can enhance identity protection and endpoint security now, while still preserving a path to eventually upgrade to broader suites like Microsoft 365 E5 if your needs grow. For detailed guidance and to ensure you choose the right licensing approach, it’s wise to seek expert advice from SCHNEIDER IT MANAGEMENT, who can assist with CSP licensing specifics and deployment planning.
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For more information about Microsoft Entra ID, please visit: https://www.microsoft.com/en-us/security/business/identity-access/microsoft-entra-id
For more information about Microsoft Defender for Endpoint, please visit: https://www.microsoft.com/en-us/security/business/endpoint-security/microsoft-defender-endpoint
For our Microsoft page, please visit: https://www.schneider.im/software/microsoft.
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