Microsoft’s Office apps have been the industry standard for decades. Many businesses and organizations rely on Word, Excel, PowerPoint, and other Office apps.
But now, Microsoft is recommending businesses shift away from Office, or at least Office perpetual licenses.
“You may have started noticing limitations,” said Microsoft recently in a post about upgrading from Office. “Your apps are stuck on your desktop, limiting productivity anytime you’re away from your office. You can’t easily access your files or collaborate when working remotely or traveling, creating unnecessary friction for your team. Perhaps you’ve seen your company’s IT expenses creep upwards as you’ve added separate solutions for email, file storage, and virtual meetings.”
Microsoft’s proposed solution to these challenges is to upgrade to Microsoft 365.
The Office apps are included with Microsoft 365, but that subscription also grants access to security features, AI tools, and cloud storage. The tech giant shared a video breaking down the benefits of Microsoft 365 when compared to perpetual licenses of the Office apps.
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The counterargument would be that perpetual licenses of the Office apps only require a single payment and do not require a paid subscription. Microsoft argues that despite the rolling cost of Microsoft 365, the subscription saves money in the long run.
The tech giant points to a study conducted by Forrester Consulting (and commissioned by Microsoft) that measures the economic impact of Microsoft 365 for business:
“The study highlights a substantial 223% ROI over three years, with a payback period of less than six months, proving that the initial investment is quickly recovered. Even more compelling, the study quantified over $500,000 in benefits over three years.”
Microsoft 365 is a useful productivity suite, and I believe many organizations see that value. But business leaders still have to weigh operational costs of upgrading to Microsoft 365.
Migrating to Microsoft 365 is not just about collaboration or streamlining workflows. Support for Office 2016 and Office 2019 ends on October 14, 2025.
That gives businesses and organizations roughly six months to consider alternatives to relying on versions of Office that will no longer receive security updates or technical support.
If you need Microsoft 365 for yourself, I’ve highlighted the best deal below. If you run a business or organization and need to upgrade to Microsoft 365, make sure to check out our collection of the best Microsoft 365 deals.
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