Google Workspace vs Microsoft 365 for Small Business: Which Fits in 2026?
Both cost $7, $14 and $22 a user a month on annual billing and cap Business plans at 300 users. The real differences are desktop apps, storage, what each plan includes for security and AI, and how your team already works.
By Bill Belcamino · Last updated September 19, 2026 · Our methodologyResearched and fact-checked by the HelpCompare team
Which is better for a small business, Google Workspace or Microsoft 365?
The price is the same ($7, $14 or $22 a user a month on annual billing). Choose Microsoft 365 if people need desktop Word and Excel, 1 TB per user or device management on Premium; choose Google Workspace for browser-first collaboration, pooled storage and Gemini included across the apps.
Quick verdict: At list price the two are identical: $7, $14 and $22 a user a month on annual billing ($8.40, $16.80 and $26.40 monthly), with Business plans capped at 300 users. Microsoft 365 is the pick if people need installable Word, Excel and PowerPoint (Business Standard and up), and every plan gets 1 TB of OneDrive plus a 100 GB mailbox; Business Premium adds Intune device management, Defender and archiving. Google Workspace runs in the browser, pools storage (30 GB, 2 TB or 5 TB a user) and includes Gemini in Gmail on Starter and across Docs, Sheets and Meet on Standard; Vault retention needs Business Plus. For AI, Microsoft includes Copilot Chat on every plan but charges $21 a user a month for Copilot inside the apps.
Neither, at list price: $7, $14 and $22 a user a month on annual billing on both. The difference is what each tier buys. For $7, Google Starter gives 30 GB pooled storage, while Microsoft Basic gives 1 TB of OneDrive plus a 100 GB mailbox but no desktop apps. At $14, Google Standard adds Gemini across Docs and Meet and 2 TB pooled; Microsoft Standard adds desktop Office apps. For email only, Microsoft sells Exchange Online Plan 1 at $4 a user a month.
30 GB, 2 TB, 5 TB pooled per user (shared by email and Drive)
1 TB OneDrive per user; 100 GB mailbox
Office apps
Browser-based Docs, Sheets and Slides (offline in Chrome or Edge); no installable desktop suite
Desktop Word, Excel, PowerPoint and Outlook on Standard and Premium; web and mobile only on Basic
Video meetings
Meet: 100, 150, 500 participants
Teams meetings: up to 300 participants
Retention and eDiscovery
Vault on Business Plus
Archiving and holds on Premium; add-on for Basic and Standard
Device management
Basic endpoint management on all plans; advanced on Business Plus
Intune and Defender for Business on Business Premium
AI included
Gemini included (limited on Starter)
Copilot Chat included; Copilot in the apps is a $21/user/mo add-on
Email-only option
None — every plan is the full suite
Exchange Online Plan 1 — $4/user/mo (annual)
Free trial
14 days
One month, card required
Verified September 19, 2026Prices recorded from each vendor’s own pricing page. See sources
US prices from workspace.google.com/pricing, Google’s Workspace billing help and Microsoft’s business plan pages; features from each vendor’s plan comparison and documentation. All checked September 19, 2026. Both vendors also run introductory offers; standard prices are shown.
Both give you email at your own domain, calendars, file storage, documents and video meetings. The choice usually comes down to whether your team needs desktop Office files, and which ecosystem your clients and tools already use.
Apps and files
Microsoft 365 Business Standard and Premium include desktop Word, Excel, PowerPoint and Outlook on up to 5 PCs or Macs, 5 tablets and 5 phones per user; Business Basic is web and mobile only. Google’s Docs, Sheets and Slides run in the browser (offline in Chrome or Edge) and can edit Office files; Google Drive for desktop syncs files.
Storage and meetings
Google pools storage across the organization: 30 GB a user on Starter, 2 TB on Standard, 5 TB on Plus, shared by Gmail and Drive. Microsoft gives each user 1 TB of OneDrive and a separate 100 GB mailbox. Google Meet allows 100, 150 or 500 participants by plan; Teams meetings allow up to 300 on every Business plan.
Security, compliance and AI
Google includes Vault retention and eDiscovery only on Business Plus. Microsoft includes archiving with holds, Intune and Defender for Business on Business Premium. Gemini is included in Gmail on Starter and across Docs, Sheets, Slides and Meet from Standard. Microsoft includes Copilot Chat on all plans, but Copilot inside Word, Excel and Outlook is a $21-a-user add-on or a “with Copilot” bundle.
Cost calculator: what does your team actually pay?
Google Workspace
$0/mo
Microsoft 365
$0/mo
List prices checked September 19, 2026 (US). Both cap Business plans at 300 users. Introductory discounts, Copilot or other add-ons, and taxes are not included.
Choose Google Workspace if…
Your team works in the browser and collaborates live in shared documents, wants AI included across the apps, or wants large pooled storage.
Choose Microsoft 365 if…
Your people need desktop Office files, your clients send Word and Excel, or you want device management and security bundled in Business Premium.
Total cost over time
Uses your selections above. Estimate excludes add-ons, overages, and negotiated discounts.
Ready to pick your office suite?
Both offer trials. Set up your real domain on the trial so email migration testing is part of the evaluation.
Google Workspace vs Microsoft 365: security, offline & remote work
How Google Workspace and Microsoft 365 compare on compliance reports, sign-in controls, offline access and the setup details that matter for remote, hybrid and in-office teams. Every value links to the vendor page it came from.
AES-256 at rest and in transit for Drive/Docs filessource
BitLocker and per-file encryption at rest; TLS and IPsec in transitsource
Self-hosting option
Not published
Not published
Offline access
Offline mode
Works offlineDocs, Sheets and Slides can be created and edited offline in Chrome or Edge once offline access and the Docs Offline extension are turned on; recently opened files are saved locally and sync when back online.source
Works offlineInstalled Word, Excel and PowerPoint (desktop on Standard/Premium, mobile on all plans) can create, open and save files offline; cloud files must have been opened online once, and changes sync when reconnected.source
Offline editing needs Chrome or Edge (not private browsing) and the Google Docs Offline extension, set up while online.source
Desktop Office apps only on Business Standard and Premium; Business Basic has web and mobile apps only. Extended offline activation (up to 180 days) is a Microsoft 365 Apps for enterprise feature.Business Standardsource
YesBusiness StarterFundamental endpoint management on all Business editions (remote account sign-out and mobile account wipe, block devices, endpoint verification); Business Plus adds advanced mobile management and remote device wipe; Enterprise adds context-aware access and enterprise endpoint management.source
YesBusiness PremiumBusiness Premium adds Intune Plan 1 endpoint management, Defender for Business device protection and Windows 11 Pro upgrade; Basic and Standard do not include Intune.source
Office & room hardware
Google sells Google Meet Hardware for meeting rooms as a separate add-on; room booking ('Browse and reserve conference rooms') is on all plans.source
Audit reports: both publish a SOC 2 report, and Google Workspace and Microsoft 365 also hold ISO/IEC 27001. Ask each vendor for the report under NDA before you sign; security reviews usually want the latest one.
Single sign-on: Google Workspace includes it on Business Starter; Microsoft 365 includes it on Business Basic. If your team signs in through Okta, Microsoft Entra ID or Google, price the plan that includes SSO, not the entry plan.
Health data: Google Workspace and Microsoft 365 will sign a HIPAA business associate agreement.
Working offline: Google Workspace and Microsoft 365 let you keep working without a connection. Details are in the Offline mode row above.
Office-only access: Google Workspace can restrict sign-ins to approved IP ranges on Enterprise; Microsoft 365 can restrict sign-ins to approved IP ranges on Business Premium. That suits an office network or a company VPN; fully remote teams need a VPN for it to work.
Where your data lives: Google Workspace lets you choose US, EU on Business Standard. This matters for teams hiring across the EU, UK or Australia.
In the office: Google Workspace: Google sells Google Meet Hardware for meeting rooms as a separate add-on; room booking ('Browse and reserve conference rooms') is on all plans.
Google Workspace: worth knowing
RemoteMeet caps meetings at 100 participants on Business Starter, 150 on Standard, 500 on Plus and 1,000 on Enterprise, each up to 24 hours. source
OfflineOffline editing of Docs, Sheets and Slides only works in Chrome or Edge with the Docs Offline extension, so plan for that browser on laptops used in the field. source
SecurityA full admin data export starts no earlier than 48 hours after it is requested and typically takes 72 hours, up to 14 days. source
OfficeBusiness Starter, Standard and Plus are capped at 300 users; larger organisations need an Enterprise plan. source
Microsoft 365: worth knowing
RemoteAll three Business plans let you host Teams meetings and video calls for up to 300 people. source
OfficeEach Business Standard or Premium user can install the Office apps on up to 5 PCs or Macs, 5 tablets and 5 phones. source
OfflineOn mobile, cloud files must be opened online at least once before they can be edited offline. source
SecurityBusiness Premium includes mailbox archiving with holds; Basic and Standard need the Exchange Online Archiving add-on for In-Place and Litigation Hold. source
Checked September 19, 2026 against each vendor’s own trust center, help docs and app pages. Hover or tap “source” to see the exact wording we relied on. “Not published” means we could not find the vendor saying it on its own site — it doesn’t mean the feature is missing. Plan names are the lowest plan the vendor says includes the feature. Security · Offline · Remote vs office · Download the data
Frequently Asked Questions
Is Google Workspace cheaper than Microsoft 365?
No. List prices are the same: $7, $14 and $22 a user a month on annual billing ($8.40, $16.80 and $26.40 monthly). Prices checked September 19, 2026.
Which includes desktop Office apps?
Microsoft 365 Business Standard and Premium. Google Workspace apps run in the browser and can work offline in Chrome or Edge.
How much storage do I get?
Google: 30 GB, 2 TB or 5 TB a user, pooled and shared by email and files. Microsoft: 1 TB of OneDrive per user plus a 100 GB mailbox on Business plans.
Is AI included?
Gemini is included in Workspace (limited on Starter). Microsoft includes Copilot Chat; Copilot inside the Office apps costs $21 a user a month on annual billing.
Can I move from Google Workspace to Microsoft 365?
Yes. Microsoft’s Exchange admin center migrates Gmail mail, rules, calendar and contacts, and Migration Manager moves Google Drive files and permissions.
What is the user limit?
Both cap Business plans at 300 users; above that you need an Enterprise plan.
Migration Guides
Already decided? Here’s how to actually switch.
Step-by-step migration guides covering what transfers automatically, what doesn’t, and how to handle the gap — in both directions.
Every “best office suite” listicle tells you why to buy. Here’s the other half: the specific conditions under which Google Workspace or Microsoft 365 is the wrong purchase for your team.
Google Workspace
✓
Buy Google Workspace if:
Your team collaborates in real time in the browser
You want AI in email and documents at no extra cost
You want pooled storage
✕
Do NOT buy Google Workspace if:
People need installable Office apps
You need retention on a $7 or $14 plan
You want an email-only plan
Microsoft 365
✓
Buy Microsoft 365 if:
You work in Word and Excel files daily
You want device management in the same subscription
You want 1 TB per user on the cheapest plan
✕
Do NOT buy Microsoft 365 if:
You expect AI inside Office without paying extra
You want desktop apps on the $7 plan
You want a trial without a card
Canonical data for the tools on this page
Every pricing fact, rating, AI billing model and switching guide we hold on each tool, on one page — with the date each figure was last verified.
Prices on this page were recorded from each vendor’s own pricing page on the date shown at the top of the page. Vendors change pricing often — check the live source before you buy.
Verified prices costed for your team size, a check against your must-have requirements, the questions to settle before you sign, and a source for every figure. Print it, or paste it into an email to whoever approves the spend.
Built for the leader who owns the selection, answers for the spend, drives the rollout, and lives with the results. HelpCompare covers the whole decision, not just the first step.
Bill has worked in software and digital marketing for more than 20 years. He spent nine years as an engineer at HP, served as COO scaling a platform past 200,000 users, and ran Google’s $70M/year search syndication partnership at Alot.com. He has bought, trialled, integrated and cancelled more SaaS tools than he can count, and started HelpCompare because the real cost of switching tools is the part nobody covers.
“I’ve sat on both sides of the table: the agency recommending the tool and the client paying for it.”
Researched and fact-checked by the HelpCompare team. Pricing on this page was last verified on September 19, 2026. No paid sponsorships, no affiliate commissions.
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