I have run both Microsoft 365 and Google Workspace as my primary work environment for months at a time. They are closer in 2026 than they have been in years, but real differences still matter for small business, education, and home use. Here is the comparison plus the five subscription plans worth knowing.
Comparison Table
| Plan | Storage | Apps |
|---|---|---|
| Microsoft 365 Business Basic | 1 TB | Web Office, Teams, Outlook |
| Google Workspace Business Starter | 30 GB | Docs, Sheets, Slides, Meet |
| Microsoft 365 Business Standard | 1 TB | Desktop Office + Teams |
| Google Workspace Business Standard | 2 TB | All apps + Meet recording |
| Microsoft 365 Personal | 1 TB | Desktop Office for 1 user |
1. Microsoft 365 Business Standard - Verdict: Best for Established Small Businesses
Microsoft 365 Business Standard is the plan I use day-to-day. Desktop versions of Word, Excel, PowerPoint, and Outlook run offline, which matters during travel or unreliable connections. Excel desktop still beats Google Sheets for any spreadsheet over 10,000 rows or with complex pivot tables and macros. Teams handles voice, video, chat, and file sharing in one app, and 1 TB of OneDrive storage per user covers most knowledge work. Tightly integrated with Active Directory if you grow into Azure.
2. Google Workspace Business Standard - Verdict: Best for Cloud-Native Teams
Google Workspace Business Standard is the plan I recommend for teams under 30 people that work primarily in browsers. Real-time collaboration in Docs and Sheets is genuinely smoother than Microsoft’s equivalent, mostly because Google built for cloud collaboration from day one. Gmail is the best work email client I have tested, and Google Meet recording, Drive sharing, and Calendar integration just work. 2 TB of shared drive storage per user is generous for most service businesses.
3. Microsoft 365 Family - Verdict: Best Home Productivity Suite
Microsoft 365 Family covers up to six users with desktop Office, 1 TB of OneDrive each, and Microsoft Defender. Atcurrent pricing per year for the whole family, it is the most cost-effective way to get full desktop Word and Excel for a household. The shared subscription handles students, parents, and side gigs without separate accounts. Outlook desktop is included, which is the email client I prefer for personal accounts with multiple inboxes.
4. Google Workspace Individual - Verdict: Best for Solopreneurs
Google Workspace Individual is a single-user plan atcurrent pricing per month that adds custom email (yourname@yourbusiness.com) to a personal Gmail address. It includes appointment booking through Calendar, branded Google Meet links, and noise cancellation on calls. The downside is no admin console, no shared drives, and no team features, so it works only for one-person businesses. Migration to Business Starter later is straightforward if you grow.
5. Microsoft 365 Personal - Verdict: Best Single-User Office Suite
Microsoft 365 Personal gives one user the full desktop Office suite plus 1 TB of OneDrive for a year. If you write documents, manage budgets in Excel, or use PowerPoint regularly, this is the cheapest legitimate way to get the desktop apps. Microsoft Defender, Family Safety, and Editor (the grammar checker) are useful extras. No custom email domain, since this is the consumer plan rather than a business workspace.
How to Choose Between Microsoft 365 and Google Workspace
Start with how your team works. If most people in your business already use Excel, PowerPoint, or Outlook desktop, Microsoft 365 keeps muscle memory intact and avoids retraining. If everyone lives in browsers and you collaborate on the same document with multiple editors, Google Workspace is faster and friction-free.
Email matters more than people admit. Gmail still has the cleanest filtering, the best mobile app, and the most reliable search. Outlook is better for high-volume inboxes (over 200 emails a day), rules-based automation, and deep calendar workflows. Both support custom domains in the business tiers.
Storage and pricing are close enough that they should not be the deciding factor. Microsoft 365 Business Standard atcurrent pricing with 1 TB and desktop apps is excellent value. Google Workspace Business Standard atcurrent pricing with 2 TB and no desktop apps is the better deal for cloud-first teams. Pick based on collaboration style and existing tooling.
Frequently asked questions
Which is cheaper, Microsoft 365 or Google Workspace?+
Entry tiers are close. Microsoft 365 Business Basic (/month) matches Google Workspace Business Starter (/month). Microsoft includes more storage (1TB vs 30GB) at the next tier.
Can I use Excel files in Google Sheets?+
Yes. Google Sheets opens and saves.xlsx files, and Microsoft Excel opens.gsheet files via Google Drive. Complex formulas and macros may not translate perfectly between the two.
Which has better video conferencing?+
Microsoft Teams has more enterprise features (breakout rooms, transcription, deep Outlook integration). Google Meet is simpler and runs in the browser without downloads.