Originally published 10 November 2023. Fully updated for 2026.
In office productivity, two giants stand out: Microsoft 365 and Google Workspace. They aren't just applications, they're ecosystems that shape how your business emails, stores files, meets, secures its data and, increasingly, uses AI. Switching later is possible but takes planning, so it's worth choosing deliberately.
We've updated this comparison for 2026. Since the original article, both platforms have built generative AI into their suites, security expectations have risen, and licensing has shifted. We've removed specific pricing because it changes often; check current Australian pricing with Microsoft, Google or your IT provider before deciding.
The short answer
The choice mirrors the Windows vs macOS debate: preference plays a real part. As a rule of thumb:
- Microsoft 365 is the frontrunner for businesses that want the full Office desktop apps, deep security and device management, a phone system inside Teams, and room to scale into more complex requirements.
- Google Workspace is compelling for businesses that live in the browser, want simple administration and real-time co-editing, and don't depend on complex Office documents.
Side-by-side comparison
| Microsoft 365 | Google Workspace | |
|---|---|---|
| Business plans | Business Basic, Standard, Premium (up to 300 users), Enterprise plans above that | Business Starter, Standard, Plus (up to 300 users), Enterprise plans above that |
| Core apps | Word, Excel, PowerPoint, Outlook as full desktop apps (Standard and Premium), plus web and mobile | Docs, Sheets, Slides, Gmail, browser-first with offline mode and mobile apps |
| File storage | OneDrive per user, SharePoint for shared content | My Drive per user, Shared drives for teams, pooled storage |
| Chat and meetings | Microsoft Teams | Google Chat and Google Meet |
| Business phone system | Teams Phone, connected to the phone network via a carrier or Microsoft | More limited; usually paired with a third-party phone system |
| Identity and devices | Microsoft Entra ID and Intune (Business Premium) | Google Admin console and endpoint management |
| AI | Copilot Chat; Microsoft 365 Copilot as an add-on licence | Gemini built into Business and Enterprise plans |
Apps and everyday productivity
Microsoft's advantage is the desktop apps. Excel remains the standard for finance and complex modelling, and Word and PowerPoint documents move cleanly between businesses, clients and government without formatting surprises. Microsoft has also closed much of the gap on real-time co-authoring, which used to be Google's standout feature.
Google's advantage is simplicity. Docs, Sheets and Slides load instantly in any browser, sharing is intuitive, and there's nothing to install or patch. For teams that work mostly in the browser and produce simpler documents, that's a genuine productivity gain.
Security showdown
Both suites provide strong security foundations: encryption, multi-factor authentication, phishing and malware filtering, and data loss prevention on higher tiers. The difference is depth and control.
- Google's admin console wins on simplicity. It's easier for a non-specialist to understand and manage.
- Microsoft offers deeper control and automation. Business Premium bundles Conditional Access, Intune device management and Defender for Business endpoint protection, which map directly to controls in the Essential Eight, especially on Windows fleets.
Neither platform is secure by default in every respect. Both need to be configured, monitored and backed up independently. We cover the Microsoft side through compliance & security auditing, and both platforms through cloud-to-cloud backup for Microsoft 365 and Google Workspace.
With AI assistants able to surface anything a user has access to, file permissions matter more than ever on both platforms. Before switching on Copilot or Gemini, review who can see what in SharePoint, OneDrive or Google Drive.
Communication tools in focus
With hybrid work now the norm, chat and meetings are central. Microsoft Teams combines chat, channels, meetings, file collaboration and, with Teams Phone, a full business phone system. You can route your existing phone numbers into Teams, retire traditional handsets and get call analytics in the same admin tools. Our unified communications and cloud telephony services cover exactly this.
Google Meet is excellent for straightforward video meetings, tightly integrated with Google Calendar and Gmail, and Google Chat covers messaging and spaces. Businesses on Google that need a proper phone system usually pair it with a separate telephony provider.
One licensing note: depending on the Microsoft 365 plan you choose, Teams may be included or sold separately. Check which version you're buying.
AI: Copilot vs Gemini
This is the biggest change since 2023. Google now includes Gemini features across its Business and Enterprise plans, helping draft emails, summarise documents and take meeting notes. Microsoft offers Copilot Chat to business users, with a Microsoft 365 Copilot licence adding an assistant inside Word, Excel, PowerPoint, Outlook and Teams that works across your organisation's data.
Both are capable and improving quickly. The better question is where your data lives and which apps your team uses all day, because the AI works best on the platform that holds your content.
Choosing your suite
Microsoft 365 is usually the better fit if
- You rely on Excel, complex Word documents or Office-based industry software.
- You run Windows devices and want them centrally managed and secured.
- You need to meet Essential Eight, insurance or client security requirements.
- You want your phone system, chat and meetings in one place.
Google Workspace is usually the better fit if
- Your team works mainly in the browser or on Chromebooks and Macs.
- You value simple administration over deep configuration.
- Your documents are mostly internal and collaboration-heavy.
- You want a straightforward, lower-overhead setup with your own domain.
Can you switch later?
Yes. Moving from Google to Microsoft (or the reverse) is well-trodden. Annual commitments may tie you in for a period, but your data remains portable. The work is in the planning: mailboxes, Drive content, permissions, groups and the integrations that quietly depend on your accounts. Our guide to migrating from Google Workspace to Microsoft 365 walks through what's involved, and our project strategy & roadmapping service can fold the decision into a broader technology plan.
There's no universally "best" suite. For scale, security depth and a full feature set, Microsoft 365 leads. For simplicity and browser-first collaboration, Google Workspace holds its own. Choose based on how your team actually works, then configure and secure it properly.