I’m confused with this question. Why wouldn’t it? It’s not like Teams has (or will have) any kind of end-to-end encryption in place. Teams is a sluggish and monstrous replacement for chat that stores all messages (on Microsoft’s servers if the organization uses Office 365) to synchronize views across devices. The easiest way to achieve such synchronization with history is to store everything on the servers. That also has the potential to make searching faster (though such a potential is squandered in Teams, in my experience).

> The Microsoft spokesperson continued: "We also believe that privacy is a human right, and we're deeply committed to the privacy of every person who uses our products. Only the global administrator has rights to the analytics and reporting experience, which provides insights into the ways in which the organization is using Microsoft Teams, not the message content itself."

IMO, this part is perfect wording in legalese. It doesn’t say that the global administrator does not have access to the message content. It says that the analytics and reporting experience (which the global administrator has access to) provides insight into how Teams is used and that this experience does not provide the message content. There must be another “experience” mode that provides access to all message content from every user in the organization’s scope. After all, every organization has its users emails available to it at any point in time in plain text form (unless the user has encrypted them with specific keys unknown to the organization). Why should chat be considered more private?