Google Workspace vs Microsoft 365 – Which is Better for Small Teams?

When it comes to choosing the right productivity suite for your small team, Google Workspace and Microsoft 365 are the top two contenders. Both offer robust tools for communication, collaboration, and document creation — but which one is the best fit for your needs?

In this article, we’ll compare Google Workspace vs Microsoft 365 across features, pricing, market share, and usability — with a specific focus on small businesses, teams, and even individual users.

Google Workspace vs Microsoft 365: Feature Comparison Chart

Feature	Google Workspace	Microsoft 365
Email Hosting	Gmail-based	Outlook-based
Cloud Storage	30 GB to unlimited (depending on plan)	1 TB (OneDrive)
Collaboration Tools	Google Docs, Sheets, Slides	Word, Excel, PowerPoint
Video Conferencing	Google Meet	Microsoft Teams
Project Management	Google Tasks, Keep	Microsoft Planner, To Do
Offline Access	Limited without Chrome extensions	Strong native offline capabilities
Third-Party Integrations	Extensive with Google Marketplace	Extensive with Microsoft AppSource
Security & Admin Controls	Enterprise-level	Enterprise-level
AI Features (2025 Update)	Gemini AI built-in	Microsoft Copilot integrated

Pricing Comparison (2025)

Plan	Google Workspace (Monthly/User)	Microsoft 365 (Monthly/User)
Basic/Business Starter	$6	$6
Business Standard/Business Premium	$12	$12.50
Enterprise	Custom pricing	Custom pricing

👉 Note: Google Workspace offers slightly more affordable entry-level plans, but Microsoft 365 often includes more native desktop apps.

Market Share in 2025

According to the latest industry reports:

• Microsoft 365 holds ~47% of the market share for business productivity suites.

• Google Workspace trails slightly with ~41%, especially popular among startups, creative teams, and education sectors.

Which is Better for Small Businesses?

Google Workspace for Small Business:

• Super easy to set up and manage.

• Perfect for fully remote teams.

• Seamless collaboration with Google Docs & Meet.

• Best for businesses already using Android or Chrome OS.

Microsoft 365 for Small Business:

• Offers robust offline capabilities.

• Great for companies already using Microsoft Office desktop apps.

• Strong integration with Windows OS and legacy systems.

• Ideal for teams dealing with complex spreadsheets, large files, or traditional workflows.

What About Personal Use?

If you're comparing Microsoft 365 vs Google Workspace for personal use, consider the following:

• Google Workspace isn’t officially meant for personal use, but many people still use Gmail, Docs, and Drive personally for free.

• Microsoft 365 Personal plan offers 1 TB storage, desktop versions of Office apps, and Teams — making it a strong option for freelancers and students.

Reddit & Community Feedback

On platforms like Reddit, users debating Google Workspace vs Microsoft 365 for small business highlight:

• Google is praised for simplicity and real-time collaboration.

• Microsoft wins in flexibility and Excel’s superior power.

• Reddit threads are full of team leaders switching between the two depending on growth stage and employee preference.

Final Verdict

Google Workspace is best for:

• Startups

• Creative teams

• Those who prefer browser-based tools

Microsoft 365 is better for:

• More traditional businesses

• Finance teams

• Teams that require offline access and powerful spreadsheets

📌 TL;DR – Which One Should You Choose?

• Choose Google Workspace if your team thrives in a cloud-first, minimalist, and collaborative environment.

• Choose Microsoft 365 if your team needs advanced document formatting, desktop apps, or robust IT support.