IT Navigator - Daymark Solutions Blog

Microsoft GCC High Business Premium: Features, Gaps, and CMMC Compliance Considerations

Written by Blake Bernard | Wed, Dec 03, 2025

Microsoft has introduced Microsoft 365 Business Premium for GCC High, a tailored solution for small and mid-sized organizations in the Defense Industrial Base (DIB). This offering provides a cost-effective path to compliance with CMMC 2.0 and NIST 800-171, while maintaining the strict security and sovereignty standards of the GCC High environment.

✅ What Does GCC High Business Premium Include?

The new Business Premium for GCC High license mirrors much of the functionality of the commercial Business Premium suite but operates within Microsoft’s U.S. Government Community Cloud High (GCC-High) environment. Key features include:

  • Enterprise-Grade Security
    • Microsoft Defender for Business for endpoint protection.
    • Advanced Threat Protection against phishing, ransomware, and other cyber threats.
  • Compliance Management
    • Built-in tools to simplify documentation and audit preparation.
    • Alignment with NIST SP 800-171 controls.
  • Data Protection
    • Encryption for data in transit and at rest.
    • Access controls enforcing least-privilege principles.
  • Productivity Suite
    • Word, Excel, PowerPoint, Teams, and SharePoint Online.
  • Device Management
    • Microsoft Intune for mobile device and application management.
  • Zero-Trust Architecture
    • Conditional access and identity protection via Microsoft Entra ID.

This bundle is targeted at organizations with fewer than 500 seats, making it ideal for SMBs in the defense supply chain that need a compliant, affordable solution without the complexity of enterprise-level licensing.

⚠️ What’s Missing in GCC High Business Premium?

While this license is a game-changer for smaller organizations, it has limitations:

  • No Advanced Compliance Features Found in G-Series Plans
    • Missing Microsoft Purview Premium capabilities for advanced data governance.
    • Limited eDiscovery and litigation hold compared to G3/G5 plans.
  • No Full Endpoint Detection and Response (EDR)
    • Defender for Business lacks advanced EDR features in Defender for Endpoint Plan 2.
  • Limited Scalability
    • Capped at 500 seats, making it unsuitable for larger organizations.
    • Exchange Plan 1 includes a 50 GB mailbox
  • Incomplete Tooling for CMMC Level 3
    • Supports Level 2, but organizations aiming for Level 3 or handling ITAR/export-controlled data may need additional licenses.
  • Copilot and AI Features
    • Some advanced AI capabilities are on the roadmap but not yet available.

🔍 Why Consider a Different Bundle for CMMC Compliance?

For organizations handling Controlled Unclassified Information (CUI) with export controls or aiming for CMMC Level 3, Business Premium for GCC High may not be enough. Here’s why:

  • CMMC Level 3 Requires Advanced Security and Governance
    • Features like Microsoft Purview Information Protection, Insider Risk Management, and Advanced eDiscovery are typically found in Microsoft 365 Government G5.
  • DFARS and ITAR Requirements
    • GCC High meets U.S. data sovereignty requirements, but Business Premium lacks advanced compliance tooling needed for higher-risk data types.
  • Audit and Reporting
    • G-Series plans offer more robust compliance reporting and monitoring capabilities critical for third-party audits under CMMC 2.0.
  • Future-Proofing
    • If your organization expects growth or more stringent compliance requirements, starting with G3 or G5 may save costly migrations later.

✅ Bottom Line

  • Choose Business Premium for GCC High if you’re a small defense contractor (<500 seats) aiming for CMMC Level 2 compliance at a lower cost.
  • Consider G3 or G5 if you need advanced compliance features, scalability, or are targeting CMMC Level 3 and ITAR-controlled data.

✅ How Daymark Can Help

Want to dive deeper into GCC High Business Premium pros and cons? As a Licensing Partner for Microsoft 365 GCC, GCC High, and Azure Government, Daymark’s Government Community Services Team can help guide you every step of the way. Contact us here and we’ll set something up.