Assign Microsoft 365 licenses to user accounts

This article applies to both Microsoft 365 Enterprise and Office 365 Enterprise.

For the cloud-only identity model, you can assign Microsoft 365 licenses to user accounts as they are created, depending on how you create them.

For the hybrid identity model, when Active Directory Domain Services (AD DS) user accounts are synchronized for the first time, they are not automatically assigned a Microsoft 365 license. You must first configure each user account with a user location.

In either case, you must assign a license to user accounts so your users can access Microsoft 365 services, such as email and Microsoft Teams.

You can assign licenses to user accounts either individually or automatically through group membership.

To assign Microsoft 365 licenses to individual user accounts, you can use:

For automatic license assignment, see group-based licensing in Azure AD.

Next steps

With the full set of user accounts that have been assigned licenses, you are now ready to: