Exchange Server Subscription Edition (SE) is Here — And it Changes Everything for IT Teams

Microsoft has officially launched Exchange Server Subscription Edition (SE) for commercial customers. This new release adopts a subscription-based model, departing from the traditional versioned approach to deliver continuous updates and long-term support.

Microsoft first announced details about the Exchange Server Subscription Edition (SE) back in May 2024. This new subscription-based version of Exchange Server is designed to be a platform that receives continuous updates instead of major version releases. While the initial release doesn’t introduce new features beyond Exchange Server 2019 CU15, it brings a modern lifecycle policy with no fixed end-of-support date. Exchange Server SE supports in-place upgrades from Exchange 2019 CU14 or CU15, and aligns with Microsoft 365 licensing.

According to Microsoft, Exchange Online and Microsoft 365 are the recommended solution for organizations that want Exchange running in the cloud. Exchange Online provides built-in high availability, automatic updates, advanced security features, Microsoft 365 Copilot integration, and seamless integration with other Microsoft 365 services like Teams and SharePoint. On the other hand, Exchange Server SE is designed for organizations that need to keep their email systems on-premises due to regulatory, security, or operational requirements.

In-place upgrade from Exchange Server 2019 made easy

Microsoft recommends that customers running Exchange Server 2019 perform an in-place upgrade from CU14 or CU15 to Exchange Server SE. Instead of requiring a full reinstallation or complex migration, Exchange Server SE installs as a cumulative update over the existing setup, preserving configurations and data.

“For customers who are already using Exchange 2019 today, our recommendation is to in-place upgrade CU14 or CU15 servers to Exchange SE, which will switch them to the Exchange SE modern support lifecycle. Exchange SE RTM is unlike previous Exchange RTM releases, as it does not contain a major code upgrade and contains no major changes when compared to Exchange 2019 CU15,” the Exchange team explained.

Why should organizations consider upgrading to Exchange Server Subscription Edition (SE)?

Microsoft plans to end support for Exchange Server 2019 and 2016 in October 2025. After this date, the company will no longer provide security updates, bug fixes, or technical assistance. This means that Exchange SE will become the only supported on-premises version to ensure that organizations stay secure and compliant.

What’s coming next: Exchange Server SE CU2

Microsoft plans to roll out major changes starting with Exchange Server SE Cumulative Update 2 (CU2). This update will prevent older versions like Exchange 2016 and 2019 from running alongside Exchange Server SE. It will also introduce Exchange SE-specific license keys and add new features for organizations. Going forward, Microsoft aims to release two updates per year to gradually modernize, simplify, and optimize the platform for on-premises environments.

Lastly, Microsoft has also announced the general availability of Skype for Business Server Subscription Edition. It provides features like instant messaging, voice and video calls, online meetings, and presence information, which is similar to previous versions, but now under a subscription-based model. Skype for Business Server SE also supports in-place upgrades from Skype for Business Server 2019 to make the transition easier for organizations.