If you’ve ever been confused by the terms ‘Microsoft 365’ and ‘Office 365’, we don’t blame you. Microsoft’s confusing branding has left many people scratching their heads.
Simply put, Microsoft 365 is a cloud-based rebranded version of Office 365 with some additional features the original Office 365 didn’t have. Typically around security and the idea is to bundle lots of different add-ons, on top of the Office 365 you are all familiar with to provide extra value.
Microsoft 365 vs. Office 365
Prior to what is now known as Microsoft 365, Microsoft had different tiered packages, everything was known as Office 365 and this is still what a lot of people refer to. Later they started to offer additional services bundled together WITH Office 365, aimed at businesses, they decided to call this new tier, Microsoft 365 Business.
These 2 sets of products continued to run side-by-side for a time, causing confusion as well as making it hard to find any information when trying to Google. Did you want Office 365 by Microsoft? or Microsoft 365 by Microsoft? you can see how that becomes confusing.
Realising the confusion and as part of their rebranding, Microsoft officially changed the name of their productivity suite from Office 365 to Microsoft 365 in April 2020. This change reflects Microsoft’s desire to offer a single productivity offering for all users, instead of having a separate Office brand.
Where did Office 365 go?
After Microsoft rebranded, Office 365 disappeared. Well, not exactly, the previous plans (Basic, Standard) and everything you previously got with Office 365 are still there, but not in name. Even though everything bears the name “Microsoft 365“, anything less than “Microsoft 365 Business Premium” is, in fact the old familiar Office 365 plans. The Premium is the one with all of the added value, security and add-ons bundled together.
Still confused? Don’t worry, this is what we can help with, but here is a handy tool to show you the old vs new name
Office 365 itself is a group of cloud-based productivity apps, including Microsoft Outlook, Word, Excel, and PowerPoint, now called Microsoft 365. In contrast, Microsoft 365 Business Premium includes the apps in Microsoft 365, with additional services not included in Microsoft 365 (Office 365).
Microsoft 365 vs. Microsoft Business Premium
The additional services in Microsoft 365 Business Premium include Windows 10 Business, Enterprise Mobility + Security (EMS), and machine learning. These services are absent in the regular Microsoft 365. Both offerings have different packages containing different services, but the major difference is that Microsoft 365 Business Premium contains more services and better value.
There is also a high-end version of Microsoft 365 known as Microsoft 365 E5. This package contains the conventional productivity apps, in addition to advanced security, compliance, and analytical applications, like Microsoft Defender and is aimed at Enterprises.
Unlike conventional software, all Microsoft 365 plans have automatic updates. These updates incur no additional charges, while conventional software would require you to purchase licenses to access newer app versions.
Microsoft 365 Features
- Multiple users can simultaneously edit or co-author a single Ms. Word, Excel, or PowerPoint file.
- Users can use the integrated sidebar to share files directly from the application.
- You can use Microsoft 365’s cloud storage to share files as links instead of transferring them online.
- Users can set access permission on their files, preventing unwanted access.
- Microsoft 365 applications can be used on any device in any location without installing Microsoft Office software on your computer.
- Microsoft Planner is included in most plans. It’s a project management tool that helps users create and assign tasks, set deadlines, share files, and list task statuses.
- Version control identifies which user made edits on each document, and you can revert a document to previous versions if undesired changes have been made.
Pros of Microsoft 365
- Cost-effective
Depending on the number of users, Microsoft 365 can be cost-effective. Instead of purchasing individual licenses for the apps that team members need, you can purchase a single Microsoft 365 subscription for your team. Increasing office productivity is usually one of the top reasons for managers wanting to move to Microsoft 365, to take advantage of all the apps that are already included.
The subscription system also provides free automatic updates. You can also pay-per-user to only pay for resources you’re using to minimize costs.
- Storage Drive
Microsoft 365 users have OneDrive access. Depending on your plan, you could have as much as 1 terabyte of storage per user. OneDrive allows cloud storage and easy access to files, in addition to permission-locking features for security.
- Easy access to files
Microsoft 365 offers plans for remote work. You can access all Microsoft 365 apps online using their web and mobile versions. You can open and edit documents on any device with an internet connection.
- Remote access
Emails and documents can be remotely accessed on Microsoft 365. Team members can communicate, edit, and collaborate for work regardless of location as long as they have internet access. This includes Android or iOS phones, in fact it was listed as #1 of the Android apps to improve productivity.
- IT support
Microsoft 365 is a well known business product, companies like ourselves can setup, manage and provide IT support for your environment. Enabling advanced features and monitoring that is not configured out of the box. It also helps to find IT Support companies if you do need help, rather than some outdated or bespoke software. Since Microsoft 365 is used by millions, you shouldn’t find trouble.
- Security features
Cloud storage can be vulnerable. Microsoft 365 provides excellent security features to maximize data security and prevent unwanted data access. Microsoft 365 achieves so by utilizing multiple enterprise-grade security systems. In another blog post we also talk about How Microsoft 365 Defender can help shield your company.
For example, there’s a data-loss protection feature that restores deleted work. There’s a device protection feature that deletes all Microsoft 365-related data from a device if it’s reported missing or stolen.
- Outworking
Microsoft 365 apps can be accessed regardless of location. The advantage of using such a cloud-based system is that it facilitates remote work. By eliminating the need for proximity, Microsoft 365 allows teams to operate without having to be in the same office. The biggest benefit of this feature is that it saves office space, utility bills, travel costs, and stationery item expenses.
- Choice of plans
Microsoft 365 offers different plans for different users. You can select a plan that most closely matches your requirements, and you can upgrade to a different plan if you want to. Being able to switch between plans lets Microsoft 365 offer a flexible work environment that can be customized to individual needs.
Cons of Microsoft 365
- Internet reliability
Microsoft 365 requires an internet connection. There is a desktop version of Microsoft 365 also built that’s intended to record and save changes made offline.
- Security concerns
Centralized services like Microsoft 365 can make you more of a target. Hackers often target centralized services like Microsoft 365, and there are risks of data breaches in saving work in the Cloud. Especially as it is used so widely, that it makes easy target for Phishing attacks. Yet, it’s worth remembering that Microsoft is concerned with cyber-security, and there are precautions you can take. Look our for our upcoming blog post.
- Update and Compatibility problems
Microsoft 365 is not compatible with all devices. Although Microsoft is attempting to increase compatibility as much as possible, it’s not guaranteed your device can run Microsoft 365. Whilst most modern systems are compatible, the updates with these new modern software cycles is that technology moves a lot faster and out of support. If you may be a bit slow to regularly update and refresh your systems, this could hinder you.
- Frequency of updates and support
Now this might seem super counter-intuitive but bare with me. Microsoft 365 is fantastic for both Small and Large businesses and you get a wealth of products which is great for value. However, people forget that it still needs to be managed and maintained and this is where IT comes into play. The other aspect is, is your business fast moving and able to adapt to change? The speed at which Microsoft and Technology is moving is phenomenal, your business needs to keep up. When Microsoft change a setting, or no longer allow you to use certain protocols, you need to follow these or risk business interruption. There are also constant Microsoft emails about these changes and it is hard to keep up.
Final Notes
Hopefully, you’ll now have understood the difference between Microsoft 365 and Office 365. Microsoft 365 is a cloud-based suite of productivity tools, while Office 365 was the older desktop version of the same product, Finally Microsoft 365 Business Premium is the one with all of the added value.
We will also be publishing a post about Microsoft 365 vs Microsoft 365 Business Premium as that is an important topic to discuss and we have only touched on it slightly.
If you’d like more tips on how to navigate the complex maze of Microsoft’s services, below we’ve linked a post talking about Microsoft’s recent move from Windows 10 to Windows 11.
If you’d like some help setting up Microsoft services for your company, feel free to contact us, and setup a (free!) Consultation.