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Microsoft 365 vs Office 365: Comparison, Features & Capabilities

07 June 2023
Microsoft 365 vs Office 365: Comparison, Features & Capabilities

In today’s digital age, productivity is a deciding factor in writing the success story of every organisation. Microsoft has been a pioneer in providing fantastic productivity tools to businesses of all sizes. Two of its most remarkable productivity suits are Microsoft 365 & Office 365.

While the two are often used interchangeably, however, they have various distinct differences that organisations should be aware of before investing in them.

Even though, many people often mistake Microsoft 365 for Microsoft Office 365. Have you also considered them the same?

If yes then, note that Microsoft 365 is one of the latest products to come out as part of the Microsoft Cloud offering. This kind of confusion often results in choosing the wrong productivity suit for one’s business requirements. Henceforth, we have come up with a guide to resolve this confusion.

This guide unfolds the Microsoft 365 vs Office 365 comparison, helping organisations make an informed decision. We will look at their features, pricing, compatibility, and security to determine which suite is best suited for different organisational needs.

Whether you are a small business or a large enterprise, this guide is going to assist you comprehend which productivity suite is right for your business.

What is Microsoft 365?

Microsoft 365 is an all-in-one productivity, and collaboration suite, including all the applications of Office 365, along with the Windows 10 operating system, and Enterprise Mobility and Security (EMS) solutions.

It was previously known as Office 365 but was rebranded in April 2020, to reflect its expanded focus beyond just the traditional office suite of applications. It’s a complete package that caters to all the needs of an enterprise, from productivity tools to device management, and security solutions.

It has some in-built security features such as advanced threat protection, and device management capabilities to help keep user’s information safe, and secure.

Furthermore, users can choose from various subscription plans, including personal and business options, depending on their needs and the size of their organisation.

What is Office 365?

Office 365 is a subscription-based service offered by Microsoft that grants access to a range of productivity and collaboration tools. It also includes various remarkable applications such as Word, Excel, PowerPoint, OneNote, and Outlook.

It also includes cloud-based services like OneDrive and SharePoint, like Microsoft 365. Office 365 sets its sights on enhancing productivity and empowering businesses to do teamwork by providing them with a suite of applications that can be used across different devices and locations.

It has a variety of subscription plans that cater to the needs of both individuals and businesses. Furthermore, it is also compatible with Windows, macOS, iOS, and Android devices, and can also be accessed through a web browser.

Microsoft 365 vs. Office 365: A Breakdown of Inclusive Features

Microsoft 365 & Office 365 are both productivity suites from Microsoft but with different features. Here is its breakdown:

Office 365 Apps (Web & Mobile)

  • Excel
  • Word
  • Outlook
  • OneDrive
  • SharePoint
  • PowerPoint
  • OneNote
  • Publisher (PC Only)
  • Access (PC)

Office 365 Capabilities

Empower Teamwork & Communication

  • Host Online Meetings & Video Calls for up to 300 people using Microsoft Teams
  • Smooth Chat Experience with your team members
  • Create Centralised places for all your team’s chats, meetings, files, and apps!

Email & Calendaring (Outlook & Exchange)

  • Email Hosting with 50 GB mailbox
  • Custom Domain Name
  • Seamless Calendar Management (Share available meeting times, schedule meetings, and get reminders).

Meetings & Voice

  • Microsoft Teams
  • Microsoft Whiteboard
  • Microsoft Teams Audio Conferencing with dial-out to USA/CAN
  • Microsoft 365 Groups

Social and Intranet

  • Connect & Engage with your organisation via an intelligent, mobile intranet and enterprise social networking.
  • SharePoint, Yammer, Viva Connections, Viva Engage

File Storage & Smooth Sharing

  • Store & Share files with 1 TB of OneDrive cloud storage per user
  • Save files directly to OneDrive, and changes are updated across all synced devices.
  • Share files with external contacts with ease by providing guest links.

Microsoft 365 Capabilities

Microsoft 365 includes all the applications and features of Office 365, along with Win 10, Enterprise Mobility Suite, Microsoft Intune and Azure Information Protection Features. Let us explore the features in detail:

  • Windows 10: The latest version of Microsoft's operating system for PCs and tablets

  • Enterprise Mobility + Security: A suite of security and management tools for mobile devices and apps

  • Microsoft Intune: A cloud-based mobile device management tool for managing company devices and apps.

  • Azure Information Protection: A cloud-based service offered by Microsoft enabling organisations to classify, label, and protect their sensitive data.

The features may vary depending on the plan type your business chooses. For a detailed discussion,

Contact Microsoft Experts Now

What’s included in Microsoft 365 in Comparison to Office 365?

What’s Included Office 365 Microsoft 365
Latest version of Microsoft’s operating system for PCs, and tablets No Yes
Enterprise Mobility + Security (Fully protect all the sensitive data) No Yes
Secure access to documents on mobile devices No Yes
Automatically deploy Office apps to Windows 10 PCs, and Windows 11 No Yes
Secure access to documents on mobile devices No Yes
Apply security policies to protect business data on all your devices, including iOS, android, and Windows PCs using Microsoft Intune No Yes
Self-service PC deployment with Windows AutoPilot No Yes
Advanced Threat Protection against sophisticated threats hidden in Email Attachments No Yes

There are multiple subscription plans for both products and here we are discussing what’s included in Microsoft 365 in comparison to Office 365 through a comparison table:

We have Microsoft 365 vs Office 365 in the above table. Microsoft 365 is fully packed with advanced security protection for business data rather than only focusing on productivity and collaboration.

It enables businesses with high security on sensitive information. On the contrary, Office 365 only emphasises productivity and collaboration.

Explore the comparison pricing plan table for both Office 365, and Microsoft Office 365 below:

Microsoft 365 vs Office 365 Pricing

Office 365 Plan Microsoft Office 365 Price Plan
Office 365 Basic Office 365 Business standard Office 365 Business Premium Microsoft 365 Basic Microsoft 365 Business Standard Microsoft 365 Business Premium
$6.00 user/month $12.50 user/month $22.00 user/month $8.20 $17.20 $30.20

Why Should a Business Choose Microsoft 365 Over Office 365?

As we have discussed earlier in this guide, in 2020, Microsoft rebranded its cloud-based productivity suite, Office 365 as Microsoft 365. Its new name represents a shift in focus from just being a set of productivity tools to being a complete solution for business.

Considering the above, here are a few reasons why a business should choose Microsoft 365 over Office 365:

More Advanced Functional Capabilities

Microsoft 365 comes with more advanced features than Office 365, including sophisticated security levels, compliance tools, advanced analytics, and artificial intelligence capabilities.

Productive with Updated Versions:

Microsoft has ended the support or updated versions for Office 365, and only Microsoft Office 365 users can enjoy its latest features, and all.

Enhanced Security

Microsoft 365 offers advanced security features, such as identity and access management, threat protection, and data loss prevention. These features help protect your business from cyber threats, and ensure your data is secure.

Better Value

Microsoft 365 provides better value for businesses, as it includes more features and services for a similar price to Office 365.

Are Microsoft 365 or Office 365 the Same?

Microsoft 365 or Office 365 are related but not the same. Office 365 provides access to a suite of Microsoft Office applications, such as Word, Excel, PowerPoint, and Outlook. It also embodies some additional services such as Exchange Online for Email hosting, SharePoint for Collaboration, Content Management, and OneDrive for Cloud storage.

Microsoft 365, on the other hand, is an all-in-one bundle that includes everything in Office 365, plus additional features, and services such as Windows 10 Enterprise, Enterprise Mobility + Security, and Microsoft Teams.

Microsoft 365 is designed to be a complete solution for businesses that want to empower their employees with the tools they need to work from anywhere and collaborate effectively.

So, while Office 365 is focused on providing access to Microsoft Office applications and related services, Microsoft 365 is a more comprehensive solution that includes additional tools and services beyond Office.

Choose Your Best Fit: Microsoft 365 or Office 365

Microsoft 365 is the best one to invest in as it facilitates better productivity and collaboration, along with advanced significant data security capabilities against cyber and phishing attacks.

Move to the New Microsoft Office 365 License with Dynamics Square

Are you still using an older version of Microsoft 365 Office? If yes then, it’s an ideal time to switch from Office 365 to Microsoft Office 365. The new version, Microsoft Office 365 provides you with all the latest features, tools, inclusive of cloud-based collaboration, advanced security, and seamless integration with other Microsoft products like Team, and SharePoint.

If your business is ready to upgrade to Microsoft Office 365, Dynamics Square is here to assist you. We are Australia’s leading Business Applications Solutions partner. We have seasoned professionals, who have decades-long expertise, and experience in empowering businesses with smooth transition to the new license.

So, without further ado, get in touch with Dynamics Square to improve your process efficiency and productivity with Microsoft Office 365.

Key Takeaway

To sum up this guide, deciding between Microsoft 365 and Office 365 requires meticulous consideration of the features that matter most to your business. While both productivity suites offer similar tools, Microsoft 365 includes advanced security, and compliance features, along with artificial intelligence, and advanced analytics, which is quite crucial for some organisations.

Meanwhile, Office 365 provides a more affordable option with essential tools for email hosting, file storage, and collaboration. Ultimately, the decision should be based on your business's specific needs and goals, and Microsoft offers flexible plans to help you get started.

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