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The Bottom Line

Price
From $6/mo, free trial. Compare plans

Key facts

  • Productivity suite with Word, Excel, PowerPoint, Outlook, Teams, and Copilot AI integration.
  • Includes OneDrive cloud storage, advanced security, and collaboration tools for businesses.
  • Personal plan at 6.99 dollars per month with Business Basic starting at 6 dollars per user.

Pros

  • Complete productivity suite
  • Desktop and web apps
  • 1TB OneDrive included
  • Teams included
  • Familiar interface

Cons

  • Subscription required
  • Per-user pricing
  • Sync issues possible
  • Feature bloat
  • Privacy concerns

What is Microsoft 365?

Editorial review
Microsoft 365 provides productivity applications and collaboration. Word, Excel, PowerPoint, and Teams-the suite that defines enterprise productivity. The applications are everywhere. The integration is deep. The enterprise features are complete. Organizations choose Microsoft 365 because it's the productivity standard.

Key Features

  • Office apps
  • Cloud storage
  • Email
  • Teams
  • SharePoint
  • Enterprise security

Pricing Plans

30-day Free Trial

Pricing checked Sep 29, 2026

Microsoft 365 plans and prices, checked September 2026
PlanPriceDetails
Basic

$6/user/month

Annual

  • Web apps only
  • 1TB OneDrive
  • Teams
+1 more
  • Exchange
Standard Popular

$12.5/user/month

Annual

  • Desktop apps
  • 1TB OneDrive
  • Webinars
+1 more
  • Bookings
Premium

$22/user/month

Annual

  • All Standard
  • Advanced security
  • Access control
+1 more
  • Intune
Apps for Business

$8.25/user/month

Apps only

  • Desktop apps
  • 1TB OneDrive
  • No email

Is Microsoft 365 worth the price?

Good value

Microsoft 365 is the default productivity suite for businesses worldwide, and for good reason.

The Business Basic plan at $6/user/month is hard to beat: 1TB OneDrive per user, Exchange email, Teams, and web/mobile Office apps. Business Standard at $12.50/user/month adds desktop apps and is the sweet spot for most teams.

Business Premium at $22/user/month bundles Intune device management and Defender for Business, making it a genuine security platform that replaces standalone MDM and antivirus subscriptions. All business plans cap at 300 users, larger organizations must move to Enterprise (E3/E5) plans.

Locking in current pricing before then saves 14-17% per seat.

Hidden Costs & Gotchas

Existing customers stay on current pricing until renewal.

It is not included in any standard plan and requires Business Standard or Premium as a prerequisite.

Business plans cap at 300 users.

There is no month-to-month option for Enterprise.

OneDrive storage is 1TB per user with no option to purchase additional per-user storage on Business plans. If a user needs more, you must upgrade to an E3/E5 plan or use SharePoint pooled storage.

The plans-without-Teams variants (for EU regulatory compliance) save $1.50-3/user/month but strip out a core collaboration tool that most teams rely on.

Full Microsoft 365 pricing: every plan, hidden costs and alternatives

How Microsoft 365's pricing compares

At $6/user/mo, Microsoft 365 is mid-range of its 2 comparable direct competitors ($1.99 to $6.25/mo across the set).

Microsoft 365
$6

Entry paid plan, monthly, per user. Pricing checked Sep 29, 2026.

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Best Microsoft 365 Alternatives

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Microsoft 365 FAQ

How does Microsoft 365 support enterprise productivity?

Microsoft 365 supports enterprise productivity by offering a complete suite of applications like Word, Excel, and PowerPoint, along with integrated collaboration tools like Teams. Its deep integration across applications and comprehensive enterprise features make it a standard for many organizations.

Which teams benefit most from Microsoft 365?

Teams that require a comprehensive set of productivity applications and robust collaboration tools benefit most from Microsoft 365. Its familiar interface and deep integration across desktop and web apps suit organizations that prioritize a standardized productivity environment.

How is Microsoft 365 priced?

Microsoft 365 is a paid product and does not include a permanently free tier. It operates on a subscription model with per-user pricing.

Can Microsoft 365 be used for file management?

Yes, Microsoft 365 can be used for file management, as it includes 1TB of OneDrive storage. This allows users to store, access, and share documents across various devices.

What kind of trade-offs should users consider with Microsoft 365?

Users should consider that Microsoft 365 requires a subscription and is priced per user. Potential trade-offs also include possible sync issues and concerns regarding feature bloat or privacy.

How does Microsoft 365 compare to Google Drive for productivity?

Microsoft 365 offers a complete productivity suite with both desktop and web applications, including Word, Excel, and PowerPoint, along with Teams for collaboration. In contrast, Google Drive primarily focuses on cloud-based file storage and web-based productivity tools.

Does Microsoft 365 include communication tools?

Yes, Microsoft 365 includes communication tools, with Teams being an integral part of the suite. Teams facilitates collaboration and communication among users within an organization.

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