With the Microsoft 365 price increase, is Google Workspace a better option?
Microsoft increased Microsoft 365 licenses cost on March 2022. This change affected multiple licenses like Business Basic, E3 and Business Premium, but Microsoft 365 Business Standard and Apps for business prices were left untouched.
Because both suites limit several of the cheaper licenses to 300 users it's important to see how the costs translate for big organizations. With this in mind, we decided to check which of the two main business suits is cheaper for multiple organizations sizes.
Let's quickly compare the features and then go to the costs.
Business Basic
50GB mailbox + 1TB storage
Up to 300 video meetings + phone in + meeting recordings
Only Office Online, no Desktop software
Includes Sharepoint platform for organization sites development
Price: 4.5€
Business Standard
50GB mailbox + 1TB storage
Up to 300 video meetings + phone in + meeting recordings
Includes Full Office Software (Word,Excel,etc).Online + Desktop
Includes Sharepoint platform for organization sites development
Price: 9.3€
Business Starter
30GB everything (mailbox + storage)
Up to 100 video meetings + phone but no meeting recordings
Includes all Online Sheets and Documents apps
No tool for organization site development
Price: 4.68€
Business Standard
2TB everything (mailbox + storage)
Up to 150 video meetings + phone + meeting recordings
Includes all Online Sheets and Documents apps
No tool for organization site development
Price: 9.4€
Besides Google Workspace having more storage on the Business Standard plan, in all other features Microsoft 365 provides a better offer.
Also, a big advantage of Microsoft 365 business standard vs Google Workspace Business Standard is the inclusion of the Full Office Desktop Apps. With Excel Online now including Office Scripts which unlocks a lot of possibilities and the great Outlook, Word and Powerpoint for Desktop, Microsoft offer might be stronger.
How are the costs for different organization sizes ?
The prices are fetched from our Microsoft 365 license optimizer.
We are going to use a mix of users, half will have Business Standard and the other half Business Basic/Starter.
Company Size: 50 employees (25 Business Basic/Starter, 25 Business Standard)
- Google Workspace cost: 352€
- Microsoft 365 cost: 345€
Company Size: 300 employees (150 Business Basic/Starter, 150 Business Standard)
- Google Workspace cost: 2 112€
- Microsoft 365 cost: 2 070€
Company Size: 800 employees (400 Business Basic/Starter, 400 Business Standard). This one is interesting as it goes above the 300 user limit, which means using more expensive licenses.
- Google Workspace cost: 6 989€
- Microsoft 365 cost: 6 340€
Summary: No matter the size of the company, Microsoft 365 licensing seems to always stay ahead price and features wise, providing savings that can go up to 750€ per month (for 800 employees companies).
Plus, with Sharepoint + Office Software and Microsoft Power Automate it really seems to be the best option for organizations