Office 365 vs Microsoft 365: Key Differences

  Rollins Duke
Rollins Duke   
Published: August 18th, 2025 • 10 Min Read
Office 365 vs Microsoft 365 is a mostly asked quesry that confuses users, since their names are very similar, but their plans have very different features and benefits. Office 365 provides access to basic apps such as Word, Excel, PowerPoint, and Outlook, while Microsoft 365 includes the same apps with added security, device management and Windows integration.

If you are trying to decide between the two, the first thing to do is understand the difference between Office 365 vs Microsoft 365. In this guide, we will not only compare Office 365 and Microsoft 365 including their features, plans, benefits, and licensing. Along with that, we will also include an Office 365 vs Microsoft 365 comparison chart so you can easily identify which plan is best for you—whether you have a personal, small business, or enterprise use case.

Understanding Office 365 and Microsoft 365

First of all, before we compare Office 365 and Microsoft 365, it’s important to know exactly what each service includes.

Office 365 is a subscription service that gives users access to Microsoft’s key productivity apps like Word, Excel, PowerPoint, Outlook, and OneNote. Office 365 also includes OneDrive cloud storage as well as collaboration tools like Microsoft Teams, which is useful for individuals or organizations that need basic productivity apps, especially when cloud integrations are key.

Microsoft 365 has everything Office 365 has, but with certain warnings. On top of Office 365 with its entire subscription, Microsoft 365 also has parts of Windows updates, advanced security functions, and device management as a virtual delivery. So, Microsoft 365 is more holistic and valuable for businesses and enterprises who need apps, but also security and IT management.

The main-level difference between Office 365 vs Microsoft 365 is the scope of action: Office 365 is limited to apps; Microsoft 365 covers apps and security and system management.

Is Microsoft 365 Different from Office 365?

Microsoft changed Office 365 to Microsoft 365 and it was much more than a name change. Many people search for the Office 365 vs Microsoft 365 differences, thinking they are the same. Office 365 primarily offered apps like Word, Excel, PowerPoint, and Outlook, while Microsoft 365 offered these apps, but can also include OneDrive storage, Microsoft Teams, stronger security, and device management features. The O365 and M365 difference is simple – Microsoft 365 is the upgrade and your more complete solution!

Office 365 vs Microsoft 365 – Key Differences

There are many questions people ask about cloud productivity suites, like compare Office 365 and Microsoft 365. Both include Microsoft’s popular Office applications, allowing users to Word, Excel, and PowerPoint in a notebook-like manner, but one does not equal the other. Understanding the difference between Office 365 vs Microsoft 365 is important to ensure your organization selects the correct plan. In this article, we will explain the M365 and O365 comparison in many of the key areas that would impact your purchasing decision including features, pricing, security, device management, and end users. We will also include a simple O365 and M365 comparison chart to help in your understanding.

1. Scope of Services

A key difference between Office 365 and Microsoft 365 is how much they cover. Office 365 typically consists of Office apps and cloud-based collaboration tools like OneDrive and Teams, while Microsoft 365 offers a range of services that also includes licensing for the Windows OS, built-in enterprise-level security tools, device management, and advanced collaboration tools. A thorough M365 and O365 comparison certainly shows Microsoft 365 as an all-in-one solution for organizations that need something beyond just Office apps.

2. User and Access Management

Microsoft 365 and Office 365 are different in a very important way with respect to security and administration. Microsoft 365 has many more user and access management functionality, and administrators can allow and manage permissions, manage devices, and enforce policies with Microsoft 365, which is an important function of the product at an enterprise level, which Office 365 does not have. Therefore, Microsoft 365 is commercially the best choice for medium to large enterprises that are seeking centralized control and management.

3. Device Management

Device management is another major distinction between an Office 365 vs Microsoft 365 license. Microsoft 365 license allows administrators to configure, update, and secure devices remotely, ensuring compliance and security across their endpoints. Office 365 does not have built-in device management, which is a limiting factor when dealing with larger or expanded IT environments.

4. Security and Protection

One big O365 and M365 difference is security. Microsoft 365 includes Enterprise Mobility + Security (EMS), Windows Defender, and several information protection features that keep sensitive data protected and stops unauthorized access. In contrast, O365 includes basic security measures. If your organization handles sensitive information, this Office 365 vs Microsoft 365 difference could be important for you!

5. Operating System (Windows OS)

One big O365 and M365 difference is security. Microsoft 365 includes enterprise Mobility + Security (EMS), Windows Defender, and several information protection features that keep sensitive data protected and stops unauthorized access. In contrast, O365 includes basic security measures. If your organization handles sensitive information, this difference between Office 365 vs Microsoft 365 could be important for you!

6. Target Audience

Microsoft 365 is appropriate for larger organizations with enterprise needs, while Office 365 is more appropriate for small businesses and personal use cases with basic productivity needs. This clarification emphasizes a practically important distinction between Office 365 vs Microsoft 365 and will help users choose a suite most appropriate to their needs.

7. Plans and Pricing

Pricing reflects those differences; generally, Microsoft 365 plans are higher at a higher price because they include security tools, device management and, of course, the Windows OS. So, for example, a small business with a Microsoft 365 plan will pay more than an Office 365 plan, but there are going to be added features with that plan. Office 365 plans are also very competitive and affordable if a small business is only looking for Office applications. This Office 365 vs Microsoft 365 pricing comparison will help you make your decision.

8. Software Updates

Microsoft 365 offers users constant updates on every app, security, and management tools. Office 365 only provides updates and upgrades for the Office applications. This goes to describe this compare Office 365 and Microsoft 365 area, Microsoft 365 users are always up to date and current with all the latest features and safeguards.

The differences between Office 365 vs. Microsoft 365 is in the scope of, security of implementation, device management, device OS integration, and pricing. Office 365 is great for basic productivity. Microsoft 365, however, is the complete ecosystem for businesses and enterprises. Use the O365 and M365 comparison chart to quickly reference the key distinctions and make a decision for your organization. Understanding the Office 365 vs Microsoft 365 differences will allow you to select the suite that fits your productivity, security, and collaboration requirements.

Also Read: Office 365 tenant to tenant migration Step by Step

Office 365 vs Microsoft 365 Comparison Chart

Here is the Office 365 vs Microsoft 365 comparison chart to help you easily understand the difference between Office 365 and Microsoft 365:

Functions

Office 365

Microsoft 365

When it is Launched In the year 2011 Microsoft introduced the brand Microsoft 365 in 2017. But rebranded in 2020.
Main Applications It provides the core apps of Microsoft (Word, Excel, PowerPoint, Outlook, etc.) It also provides the same core apps of Microsoft.
Additional Services The program provides you with Exchange Online, OneDrive, SharePoint and Teams. Here, you get all the Office 365 services in addition to advanced security, compliance, device management, and the Windows OS in some plans.
Security Measures You will get basic security and productivity tools. In this, you will get advanced security features, conditional access, Intune Defender and many more.
Targeted to The program is created for businesses and educational institutions. Anyone can purchase this suite whether they are individuals, SMBs, enterprises, and workers.
Does it Integrated with Operating System No, it does not include the OS. There are certain plans that contain Windows 10 or 11 licensing.
Availability in 2025 It mostly phased out. Today, it is actively used by many users.

So, Microsoft 365 subscription is the same as Office 365. Many products change their name. Below we have provided the old and renamed name of the Microsoft Office suite.

Renaming Office 365 Products in Microsoft 365

Office 365 vs Microsoft 365 product renaming:

OLD NAME

NEW NAME

Office 365 Business Essentials Microsoft 365 Business Basic
Office 365 Business Premium Microsoft 365 Business Standard
Microsoft 365 Business Microsoft 365 Business Premium
Office 365 Business Microsoft 365 Apps for Business
Office 365 ProPlus Microsoft 365 Apps for Enterprise
Difference Between Office 365 and Microsoft 365 Licenses and Pricing

Understand the Office 365 vs Microsoft 365 pricing:

Office 365 vs Microsoft 365

Important Note: None of the Office 365 plans are changing at all. Microsoft has just altered the names of their plans.

So, Office 365 is now Microsoft 365. Many users are transferring their Office 365 data to a new Microsoft 365 account. So we have a method that you can use.

How to Move Data from Office 365 Account?

If you have decided to pack up your entire data from your Office 365 account, then a do-it-yourself approach is the best bet! For this, we have a solution that can easily backup your complete Office 365 data items to another account Office 365 Backup Software. A specialized tool that can help you to easily move your data from one account to another while keeping your original data secure. The program is available in both Windows as well as Mac OS without any issues. So, there should be no issue in installing the account.

Benefits of Having this All-in-One Solution

Office 365 users having this smart solution, avail several benefits:

difference between Office 365 vs Microsoft 365

FAQs: Office 365 vs Microsoft 365

Q. What is the difference between Office 365 and Microsoft 365?
Ans. The main difference between these two is- Office 365 provides you with core applications like Word, Excel, PowerPoint, etc. to improve productivity. However, Microsoft 365 has broader programs, which include Office 365 and other advanced features to improve productivity, collaboration and communication.

Q. Does Microsoft 365 replace Office 365?
Ans. Yes, in 2020, Office 365 rebranded into Microsoft 365 with more features and functions.

Q. Why is Office 365 changing to Microsoft 365?
Ans. The purpose of renaming Office 365 to Microsoft 365 is to provide features beyond the Office applications. Such as advanced security, robust cloud services and AI tools.

Q. When did Office 365 become Microsoft 365?
Ans. On April 21, 2020 Microsoft changed to rebranded Microsoft 365.

Q. What is the new name for Office 365?
Ans. Microsoft 365 is the new name of the previous suite Office 365.

Q. Is Office 365 Obsolete?
Ans. No, it is not obsolete. But rebranded as Microsoft 365.

Time to Conclude

If you are confused between Microsoft 365 and Office 365. This article explains Office 365 vs Microsoft 365. Here, we explain the story behind rebranding the Microsoft Office suite. Then, discuss the key differences between these two suites. We also mentioned the plans that are renamed in Microsoft 365. If you have old data in your Office 365 and want to move it to the new suite. We have provided a method that will help you.


Live Chat