Microsoft Pulls Teams Phone Into Its Dynamics 365 Contact Center

Microsoft alleviates the need to configure and administer a separate phone system for contact center deployments

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Contact CenterLatest News

Published: March 17, 2025

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Floyd March

Microsoft has announced Teams Phone extensibility with Dynamics 365 Contact Center. 

The move will allow users to leverage Teams Phone as a single integrated solution, powering voice interactions across Microsoft’s UCaaS and CCaaS platforms. 

As a result, Microsoft alleviates the need to configure and administer a separate phone system for contact center deployments. 

Key details include:

  • Streamlined Deployment and Management: A single telephony solution simplifies operations, reduces complexity, and improves billing processes. 
  • Broad Geographic Coverage: Customers can leverage the broad availability of Teams Phone numbers worldwide.
  • Increased Efficiency: Enterprises can manage UCaaS and CCaaS functionalities in one cohesive platform.

According to Microsoft, these capabilities aim to make it easier for businesses to “transition from on-premise contact centers to a cloud-based solution, enabling them to modernize their infrastructure while leveraging AI-driven tools.”

Teams Phone within the Dynamics 365 Contact Center will enter public preview in April.

What the Teams Phone Announcement Means for Service Leaders

In pulling Teams Phone into the contact center, Microsoft aims to “meet customers where they are”.

A spokesperson for Microsoft explained: 

Offering enterprises a single, integrated solution for managing telephony and contact center needs reduces overhead and complexity.

The collaboration also allows organizations to deliver “seamless” interactions across channels, placing their existing telephony infrastructure within an omnichannel environment. 

This functionality also extends to ISV (Independent Software Vendor) solutions. Launch partners include Anywhere365, AudioCodes, ComputerTalk, Enghouse, IP Dynamics, Landis, and Luware.

Teams Phone extensibility for these Microsoft-certified contact center solutions will be available in public preview “shortly after” it’s pulled into Teams.

A Move to Simplify CCaaS Migrations

Microsoft’s latest announcement represents a “bold step in empowering businesses” to transition to the cloud, simplify operations, and embrace the potential of AI.

That narrative is not new, as Microsoft has placed significant emphasis on simplifying contact center migrations since the Dynamics 365 Contact Center launched in July 2024.

Indeed, the tech giant often emphasizes how its platform seamlessly integrates with any CRM system, eliminating the need to replace existing platforms.

Alongside this, Microsoft often champions the Dynamics 365 Contact Center’s Copilot-first design.

Meanwhile, Microsoft has even teased AI agents for the platform. These monitor common contact reasons, create new knowledge articles, and autonomously interact with customers.

Together, these AI agents beckon the “self-learning contact center”

Other Enterprise Connect News

Day one of Enterprise Connect has seen a whole host of announcements.

Alongside Microsoft, AWS, and NICE dropped mega-releases.

Indeed, AWS launched the next generation of Amazon Connect, with native, first-party AI embedded across the platform.

Meanwhile, NICE released an “industry-first” orchestration solution, allowing teams to compose, automate, and continually optimize service experiences.

Cisco, Zoom, and Five9 have also stolen the headlines, with the former two vendors making agentic AI announcements.

Elsewhere, Five9 introduced its latest solution: Spotlight for AI Insights. 

The solution uses generative AI (GenAI) to transform customer interaction data into actionable insights. 

Utilizing Five9 Genius AI, the tool empowers businesses to understand customer interactions better, track new metrics, and uplevel CX intelligence. 

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Generative AI

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