Microsoft 365 Single Tenant vs Multi Tenant: Which is Better?

Microsoft 365 Single Tenant vs. Multi Tenant-Best Practices

Published By Aldrich Calvin
Anuraag Singh
Approved By Anuraag Singh
Published On October 17th, 2023
Reading Time 5 Minutes Reading
Category Office 365

Summary: In this write-up, we will talk about what happens when we need to choose between Microsoft 365 single tenant vs multi tenant. In addition, it can be a confusing task. Besides, if you decide to choose multiple tenants over single tenants for your organization. On top of that, it will be the wrong choice as it comes with some limitations for the end-user experience. 

Moreover, even experts suggest opting for a single Office 365 tenant for your organization in the majority of the cases. Therefore, a single tenant offers integrated online services for professional messaging, file sharing, and meetings. Tenants are used as containers for organization assets. 

So, in this article, we clarify the differences and architecture of the tenants,  but before we start from the main topic. Let’s start the article with the meaning of the tenants.

Explanation of Tenant in Microsoft 365 Single Tenant vs Multi Tenant

It can be a special space, only for one organization within the M365 cloud. Therefore, we can say that it is more like a virtual home for user accounts and settings. This significant space will be separate from others, and this will keep your things private. With the help of this, the administrator will minimize their workload. On top of that Administrators can create, configure, and manage user accounts within the tenant.

What Does ‘Multiple Office 365 Tenant’ Mean?

Within this part of this article, we will learn the meaning of multiple Office 365 tenants. So, it refers to a situation where an organization has multiple separate subscriptions of M365. Therefore, this means that an organization has to manage multiple distinct Microsoft 365 environments. Users within one tenant do not have access to their resources in another tenant since these tenants are segregated from each other. 

If we talk about the situations in which we need multiple tenants. So, users need to be integrated, when two companies agree to work concurrently. In addition, some of the organizations, need to use separate tenants to avoid internal conflicts of interest.

Microsoft 365 Single Tenant vs Multi Tenant: Which Suits Us Best?

It is essential to know the difference between Office 365 single tenants vs multiple tenants. So, here are some main differences of the same:

Single Office 365 Tenant

  1. You can handle it within the same company, and it ensures a better user experience.
  2. Users need only a single OneDrive for business sites. 
  3. SharePoint Search will provide results for all organizations, and the new intelligent search suggestions will offer a complete experience.
  4. Users don’t need multiple profiles, they need only a single user profile.
  5. You can gain full experience in Office 365 Groups.
  6. Users can share their data efficiently.

Multiple Office 365 Tenant

  1. You can not handle it within the same company, as users from different tenants are considered guests, impacting the user experience.
  2. Users need to maintain their multiple OneDrive for Business sites.
  3. Both SharePoint Search and the Term Store are confined to a single tenant.
  4. It will become unreliable to manage multiple profiles.
  5. You can gain limited experience in Office 365 Groups.
  6. It affects the sharing experience as from different tenants users cannot share their Shared mailboxes.

Above we saw the “Microsoft 365 single tenant vs multi tenant” meaning and differentiation. In the next part of the blog, we will learn the alternative query which is how can we merge two different ternant. 

Also read: Move Office 365 Subscription to Another Tenant

How to Consolidate Multiple Tenants into a Single Office 365 Tenant?

If an organization decides to switch from multiple tenants to a single tenant, in this case, they need to perform the migration procedure. In addition, at present there is highly advised software which can make the process reliable. 

So, the software is SysTools’ Most Secure Office 365 Merge Tool that can merge two M365 accounts of the same or different tenants. Moreover, it also provides the option of a date filter, with this you can merge Exchange Online Mailbox specifically. Additionally, it is compatible with Windows 10 (64-bit), and Windows Server 2012 / 2016.

Here are some steps of the above-mentioned software:

Step 1. Download and Launch the tool.

Download Now    Purchase Now

Step 2. Select Office 365 as the source and Office 365 as the destination.

Start screen

Step 3. Under the Workload Selection window, Software allows you to select Category, Email, Contact, Task, Calendar, and Document.


Step 4. You can see there are two options available, then select these reliable options:

  • Migrate Document Permissions
  • User Group Mapping

enter domains

Step 5. You can perform the date-based selective backup, using the Date-Range Filter option. Click on Next.

enter domains

Step 6. After that, Enter the Admin email ID & Application ID of the Source tenant & then click on the Validate button. Similarly, repeat the same step for the destination as well.


Step 7. You can see the permissions are validated. Click on the Next button.


Step 8. There are several ways in which you can add users from the source account that need to be processed such as Fetch Users, Import Users, and Download Template.


Step 9. Lastly, Click on the Start Migration button to initiate the process.


Wrapping Up

In this comprehensive blog, we learn about Microsoft 365 single tenant vs multi tenant and find out which is better. Here we covered the meaning of both single-tenant and multi tenant. On top of that, we discussed the difference between the same. In addition, there are many situations in which we need to consolidate the two different tenants. So, to solve this problem, we talked about the most efficient method for the migration process.