Moving a Java team to Scala presents both challenges and benefits. Some challenges include Scala features like infix notation and higher order functions that can scare Java developers. It is important to select team members comfortable with functional programming concepts. Benefits include the Scala REPL for experimenting, compatibility with Java libraries and tools, and features like class constructors and pattern matching that allow for more concise code. With the right approach, a team can embrace Scala's advantages while overcoming unfamiliar elements.