Insights

This blog is part of a series of posts where we are looking at the lesser-known SharePoint-associated add-ons available in the Microsoft 365 ecosystem. The list below outlines the order in which the blog posts will be released.

• SharePoint Premium 
• SharePoint Embedded
• SharePoint Advanced Management
• Microsoft 365 Backup
• Microsoft 365 Archive
• Microsoft 365 Viva
• Microsoft 365 Copilot (M365 collab-tools related)

As we continue this series exploring the functionality of Microsoft 365, we will now focus on SharePoint Embedded. This feature has recently emerged from preview and is now generally available. (https://techcommunity.microsoft.com/t5/microsoft-sharepoint-blog/announcing-sharepoint-embedded-general-availability/ba-p/4147960).

What is SharePoint Embedded

No, it’s not a new version of SharePoint. At its most basic function, it’s a file storage service for custom applications, a headless SharePoint storage partition with access only via the Microsoft Graph API.

The data stored in a SharePoint Embedded container is located within a customer’s Microsoft 365 Tenant; however, it is not directly accessible like a standard SharePoint Site.

Whilst there are many file storage options for application development in the market, the advantage of this offering is the data protection, compliance and security layers applied, and managed centrally within Microsoft 365.

Microsoft created this service to support its applications like Loop and Designer. The secure public API endpoints and container architecture are now available for your custom applications.

Here’s a quick rundown of the features of SharePoint Embedded:

• Storage usage isn’t counted towards the Microsoft 365 Tenant of the container host
• Not limited by standard SharePoint API or Microsoft Graph API throttling and rate limits
• Authentication and Entra ID management are the same as the Tenant it’s hosted within
• Microsoft Graph API is used for upload and retrieval, along with exposure through Microsoft 365 Search
• Only supports files, list and table data are not supported
• Sharing controls separate from standard SharePoint Sites can be applied
• Permission model for files within container able to be applied via APIs
• Integrated with Microsoft 365 business continuity features such as Autoscaling and high availability, backup and archiving, compliance and security
• Able to leverage SharePoint file collaboration features such as File Previews, Office Online, Office Desktop clients, Search and Recent files user experiences
• Able to leverage SharePoint Premium enhanced features such as Document Processing, eSignature and Copilot

Below is a high-level architecture of SharePoint Embedded:

Licence & Billing Model for SharePoint Embedded

SharePoint Embedded billing is separate from a client’s Microsoft 365 licence and is a pay-as-you-go model, associated with an Azure Subscription. However, it will soon be possible to set up pass-through billing, where final billing would be via Microsoft 365 administration.

This consumption or metered model, based on interactions with the Graph API and storage being utilised, means you only pay for what you use. With the billing being based on an Azure Subscription you have access to budgets, alerts and analysis to enable the cost management of the service.

Service meters are as follows:

• Storage: $/GB/Day (USD $0.00667)
• API Transactions: $/Transactions (USD $0.00050)
• Egress data: $/GB (USD $0.12)

There are exclusions to what is metered, such as communication between a document open in a desktop or online client and management tasks applying policies to files via Purview, for example.

Value Propositions

• If you need to develop a customer-facing app that allows secure uploading of files and resources access without giving access to internal environments, SharePoint Embedded can be utilised without users needing a Microsoft 365 licence.
• There are many file storage offerings in the market that custom applications can utilise, including from Microsoft, such as Azure Blob Storage. To compare with these, both a cost for expected usage and feature requirement comparisons should be undertaken, as SharePoint Embedded isn’t just a file store.
• SharePoint Embedded is fully integrated into the administration centres of Microsoft 365, enabling the centralised lifecycle and compliance management via Microsoft Purview. This reduces the sprawl of data across other platforms and centralised discovery and auditing.
• If your custom applications require a rich end-user collaboration and file editing experience, along with a high degree of security and compliance – SharePoint Embedded is worth considering, as development effort is reduced and user familiarity is high

Final Thoughts and Points to Consider

The service is used by Microsoft to build its applications, so I believe it will be a long-term offering. If your business is heavily involved in the Microsoft 365 ecosystem, it should be one of the first options to consider for file storage when developing custom line of business or customer-facing applications.

SharePoint has often been used as a data storage layer for custom applications. Developers have faced limitations with the SharePoint API, which have been further restricted with the introduction of the shared Microsoft 365 platform. By offering this storage as a dedicated service with many of the limitations removed, while still retaining all the good features, it could become a much relied upon service offering.

At Chamonix, our extensive experience positions us as a valuable partner in navigating the complexities of SharePoint Embedded. We specialise in:

• Providing insights into how SharePoint Embedded can be utilised by custom applications and integrated into in your existing business operation workflows.
• Advising on configuration, usage governance, and cost management to ensure an efficient analysis and usage model
• Developing proof of concepts for new applications or alternate architectures to existing

Following its general availability release, Chamonix provides current insights, experience, and support as SharePoint Embedded continues to evolve. Our aim is to assist you in maximising the potential of the Microsoft 365 platform, thereby improving productivity and governance within your organisation.

Get in contact with us to discover how we can help you leverage SharePoint Embedded for enhanced productivity and governance.