What’s the Difference Between Google Docs and Microsoft Office 365?

They’re the same in some ways and different in others.

Next to email and content consumption like YouTube or social media, word processors, spreadsheets, and other applications may be the most common ways we use our computers. We might call them “business” apps, but they serve a wide variety of roles, ranging from personal to corporate.

Microsoft Office (AKA Office 365, Microsoft 365, and Microsoft 365 CoPilot) has long been an industry standard, but Google Docs is an equally compelling and popular toolset.

Google Docs vs. Microsoft 365

Google Docs is free, simple, and works well online for everyday tasks and easy sharing. Microsoft 365 is more powerful, works offline, and is better for complex work, but costs money. The right choice depends on what you need and whether you’re working alone or with others.

But first, names

Technically, Google Docs refers to the Google word-processing application called “Docs”. This means Google Docs would compare to only Microsoft Word.

In practice, though, most people say “Google Docs” to refer to the full suite of applications available, which is what I’ll be doing. I’ll compare them to Microsoft 365 suite counterparts.

Speaking of Microsoft 365, it’s gone by several names over the years.

• Microsoft Office is the original name of the productivity suite that includes Word, Excel, and more.
• When the subscription model was introduced, the name changed to Office 365.
• The name changed again, for reasons unclear, to Microsoft 365.1
• The current official name is Microsoft 365 CoPilot. This reflects Microsoft’s drive to put its AI, CoPilot, into anything and everything they can.

Aside from typical version-to-version differences, they’re all the same and refer to the Microsoft suite of productivity applications that includes Word, Excel, and more.

What they are

Google Docs (docs.google.com) is the place to start exploring.

• It includes word processor, spreadsheet, presentation, and data collection apps (in addition to Gmail, Google Drive, etc.).
• It is cloud-based; files are stored in your Google Drive.
• It is free with a Google account.
• It runs completely within your browser; there’s nothing to install.

Find Microsoft 365 at office.com.

• It includes word processor, spreadsheet, presentation, data collection, note-taking, and more apps (in addition to Outlook.com email and OneDrive.com online storage).
• It is software you install on your PC, though free, online-only versions of some tools are available.
• It requires an annual paid subscription.
• It stores files on your PC, in OneDrive cloud storage, or both.

Key differences

Here are some of the most notable differences.

In general, Google Docs has fewer features. Even so, the feature set is rich enough that many users may not miss anything.

Microsoft 365 is, in some ways, the gold standard. It includes an extensive set of features and tools. It’s perfect for power users and business settings, and has become an industry standard across the corporate and educational world.

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Collaboration and sharing

When it comes to collaboration and sharing, differences become more apparent.

Since Google Docs is web-native, it’s well optimized for real-time collaboration and sharing. Multiple users can edit the same document at the same time. Users can see each other’s edits as they are made, and even see caret and selection movement being made by others. Since documents are stored in Google Drive online, sharing is also easily handled by creating links to the online document with view/edit permissions as desired.

Microsoft 365 also supports real-time collaboration and sharing, but only if the documents are stored in OneDrive online. The older default behavior of storing and working on documents stored only on a PC doesn’t allow for this.

Compatibility and file formats

Microsoft file formats, like Word’s “.docx”, Excel’s “.xlsx”, and others, have become the standard many businesses use. They are perhaps the most commonly exchanged file formats regardless of the tools being used.

Google Docs saves in its own format, but it can be exported to Microsoft 365 formats. It’s important to realize that Google documents are never saved on your computer, even in Google Drive (which saves only a shortcut to the online file). To save the document on your computer, it must be exported from Google Docs.

Like many Microsoft 365 alternatives, exporting in Microsoft file formats does not guarantee complete compatibility. The exchange is relatively easy, since both will read and write both Microsoft and Open Document formats. However, when exchanging a file between Microsoft 365 and Google Docs users, there are usually differences in layout and formatting. The severity of the differences varies depending on the complexity of the documents involved.

Mobile

Both platforms offer mobile apps for your phone or tablet.

Google Docs works best, of course, in the Google Android ecosystem, though it’s available on iOS as well. Microsoft apps are also available on both Android and iPhone. You’ll find the apps in the respective platform app stores. In both cases, it’s easier to start at the cloud storage app (Google Drive or OneDrive, respectively) and open the documents from there.

As always, features vary between free and paid accounts.

Platforms

Google Docs, being a web-only tool, works on almost any browser on any operating system. That means Google Docs is available on Windows, Mac, and Linux. All you need to do is fire up your web browser and visit the site.

The same is true for the free version of Microsoft 365 apps. Since they are also web-only, they should work well from any of those platforms. I say should because Microsoft, of course, prioritizes Windows and its Edge browser.

The downloadable and installable apps for Microsoft 365 are available for Windows and Mac OS. There are no Linux versions.

A note on backing up

As I mentioned above, Google documents exist only in the cloud, not on your PC. If you want to ensure your data is backed up beyond Google’s servers, make sure to export the documents periodically to your PC.

Microsoft Office files are on your PC as long as:

• They are not within your OneDrive folder or
• They are within your OneDrive folder and are marked as always on this PC.

Both cloud services have a Recycle Bin (Microsoft) or Trash (Google) folder from which recently deleted files can be recovered.

Microsoft’s OneDrive also has a “large number of files changed” detection feature intended to provide additional protection from large-scale accidental deletions or ransomware. This feature requires a paid subscription of some sort.

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Cost

Google Docs

• Free with your Google account.
• Paid Google Workspace accounts intended for businesses include additional Google Drive storage and other features.

Microsoft 365

• Requires a paid subscription to use traditional installable desktop applications. The subscription includes additional storage and other features.
• You can share your subscription with up to five other Microsoft accounts, which independently get the same benefits.
• Free versions of the primary Office applications are available online with your Microsoft account.

So which should you use?

First, if you’re working with others in an organization, I strongly suggest you use whatever that organization uses to avoid compatibility issues and prevent confusion.

That being said, use Google Docs if you:

• Want something simple and free
• Collaborate with others online a lot
• Don’t need advanced formatting
• Don’t mind that your files are only in the cloud (unless you explicitly download them)

Use Microsoft 365 if you:

• Need all the features in these apps
• Regularly exchange documents with others using Microsoft 365 apps
• Prefer offline access and desktop apps

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