Monday, October 26, 2026The business owner's brief on new tech that saves time.
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Google Workspace vs. Microsoft 365: Which Office Suite Fits a Small Business?

Both now bundle AI into email, documents and meetings. Google's entry price is lower and simpler; Microsoft gives you full desktop Office apps and sells Copilot in bundles.

Google Workspace and Microsoft 365 both give a small business professional email on its own domain, cloud storage, documents, spreadsheets and video meetings. Today's choice is also about AI: Google now builds Gemini into its business plans, and Microsoft sells plans that come with Copilot or adds it on. The biggest practical differences are price at each tier, whether you need desktop Office apps, and how much AI you get at the entry level.

At a glanceGoogle WorkspaceMicrosoft 365
Lowest price per user$7 a month, annual plan (Business Starter)$7 a month, paid yearly (Business Basic)
AI at the entry planGemini in Gmail and Vids onlyCopilot Chat, no Copilot inside desktop apps
AI built into docs and emailBusiness Standard, $14 a month annualBusiness Standard with Copilot, $23.50 a month
Storage per user30 GB (Starter), 2 TB (Standard), 5 TB (Plus)1 TB on every business plan
Desktop office appsNo, browser and mobile appsYes on Business Standard and Premium
Video meetingsGoogle Meet, 100 to 500 participants by planMicrosoft Teams (cheaper versions without Teams also sold)
Free trial14 daysYes, terms vary by plan

Google Workspace

Price: Business Starter $7 per user a month on an annual plan ($8.40 month to month); Business Standard $14 ($16.80); Business Plus $22 ($26.40)Best for: Teams that live in the browser and want AI in every app from the mid tier up

Prices are from Google's Workspace admin help page on business edition pricing; Google's main pricing page lists the plan features and storage.

Strengths
  • Business Standard includes Gemini in Gmail, Docs, Sheets, Slides, Drive, Meet and Chat
  • Simple flexible month-to-month option on every Business plan
  • Generous storage: 2 TB per user on Business Standard, pooled across the team
  • 14-day free trial
Watch-outs
  • Business Starter limits Gemini to Gmail and Vids
  • Starter storage is 30 GB per user
  • No desktop versions of Docs and Sheets, which matters if clients send complex Excel or Word files
Visit Google Workspace →

Microsoft 365

Price: Business Basic $7 per user a month; Apps for business $10; Business Standard with Copilot $23.50; Business Premium with Copilot $32 (all paid yearly)Best for: Businesses that rely on desktop Word, Excel and Outlook, or need stronger security tools
Strengths
  • Business Standard and Premium include desktop Word, Excel, PowerPoint and OneNote
  • 1 TB of cloud storage per user even on Business Basic
  • Bundles with Copilot put AI inside Word, Excel, PowerPoint, Outlook and Teams
  • Copilot Chat with web grounding is included on Business Basic
Watch-outs
  • Business Basic is web and mobile apps only
  • Listed prices assume a yearly subscription that auto-renews
  • The Microsoft 365 Copilot Business add-on starts at $18 per user a month on top of a plan
Visit Microsoft 365 →
Our take

If your team already works in Gmail and the browser, Google Workspace Business Standard is the better value: $14 a user on an annual plan gets you Gemini across email, documents, spreadsheets and meetings. Pick Microsoft 365 if you or your clients depend on desktop Excel and Word, or you want Microsoft's security tools in Business Premium, and budget for the Copilot bundles if AI inside those apps is the point. Either way, start with one team on a trial before you move everyone's email.

Prices and features checked October 13, 2026 from each company's own site. They change often, so confirm before you buy. We are not paid by either company.