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Alternatives to Microsoft Office 365

Alternatives to Microsoft Office 365

Published:

Updated:

February 14, 2021

February 14, 2021

Office 365 alternatives
Reading Time: 5 minutes

While Microsoft 365 remains a dominant force in business productivity, it is no longer the only viable option. A growing number of organisations are reevaluating their business workflows, and opting for alternatives that deliver similar functionality, often at lower cost, with greater control over data storage, and with flexible deployment to staff assets.

For Australian businesses concerned about subscription costs, long-term vendor lock-in, or cloud data sovereignty, these, less common office alternatives have become increasingly compelling.

Why Consider Alternatives in 2026?

  • Cost pressures & budget discipline – Subscription-based licensing (per user / per month) can add up quickly, especially across multiple teams.

  • Diverse OS environments – Many businesses today use a mix of Windows, macOS, Linux, or even mobile devices; cross-platform compatibility is more important than ever.

  • Cloud sovereignty and privacy concerns – Some businesses prefer self-hosting or non-US-based cloud providers to meet compliance and data-sovereignty needs.

  • Collaboration & remote work demands – The hybrid workplace continues, and modern suites often offer strong cloud collaboration, file sharing, and real-time editing, sometimes integrated with project or team tools.

Recommended Productivity Suites for 2026

LibreOffice

LibreOffice remains one of the strongest free and open-source productivity suites available. It offers a full suite of tools — word processing, spreadsheets, presentations, diagrams, database, formula editing — rivaling much of Microsoft Office’s core capability.

Why it still matters in 2026

  • Fully cross-platform (Windows, macOS, Linux) — ideal for mixed-OS environments.

  • Compatible with Microsoft Office formats, yet also supports a broader range of document types.

  • No licensing costs — valuable for lean budgets or organisations that prefer CAPEX over subscription OPEX.

Limitations

  • Lacks built-in cloud storage or real-time collaboration features, although that can be mitigated by combining with cloud storage or version control solutions.

  • UI and “feel” may feel dated to users accustomed to modern, cloud-first suites.

OnlyOffice (Desktop or Web / Self-Hosted or Cloud)

OnlyOffice has gained traction recently, particularly for businesses that want a balance between Microsoft-style document compatibility, modern collaboration tools, and control over their data storage. According to recent comparisons, OnlyOffice combines strong MS-format support with flexible deployment (desktop, web, self-hosted).

Highlights

  • Clean, modern interface, closer to contemporary expectations of users, rather than legacy suites.

  • Good for organisations needing a self-hosted or privacy-conscious platform (less reliance on big-tech cloud providers).

Things to consider

  • Collaboration tools may not be quite as seamless or mature as some cloud-first, big-tech suites. This may impair the productivity of power users.

  • Slightly heavier on system resources compared to lightweight suites.

WPS Office

WPS Office stands out as a polished, modern alternative that many businesses and individuals are using in 2025. It offers a good mix of user-friendly design, MS-format compatibility, and cross-platform functionality.

Advantages

  • Familiar UI for users migrating from Microsoft Office, easing adoption for users.

  • Supports Windows, Linux, mobile platforms — flexible for organisations with mixed hardware footprints.

  • Provides PDF support and cloud syncing (depending on tier), which can be useful for distributed and disparate teams.

Trade-offs

  • Advanced features, cloud storage, or collaboration may rely on premium versions; free tier has some limitations.

  • For teams working heavily with complex documents, macros, or heavy formatting, occasional compatibility quirks may arise. Sufficient testing is recommended to ensure compliance with existing internally developed end user computing platforms.

Zoho Workplace (Writer, Sheet, Show + Collaboration Suite)

For small to medium businesses prioritising collaboration, cloud access, and workflow integration over raw, advanced document features, Zoho Workplace has emerged as a well-rounded, business-friendly alternative.

Good fit if you need:

  • Cloud-based editing, file sharing, and real-time, multi user collaboration.

  • Integration with broader business tools (e.g. CRM, project management) under the same ecosystem – useful for growing teams and SMEs.

  • A flexible, subscription-adjustable model: easier to scale up or down as your team size changes.

Things to note

  • Offline features and complex document-formatting capabilities are more limited compared to other desktop suites.

  • For businesses that rely heavily on advanced Excel macros or PowerPoint-level presentation features, Zoho might feel light.

Emerging Trends Worth Watching in 2026

  • Self-hosted / data-sovereignty office suites: More organisations, especially those with privacy or compliance concerns are opting for solutions that let them retain control over data. Suites like OnlyOffice (self-hosted) or combinations with private cloud storage are gaining momentum.

  • Hybrid use models: Some businesses adopt a “mix-and-match” approach: core staff or complex-document users stay on Microsoft 365 (or licensed Office), while operational or support staff use a lighter, cheaper/ free suite (e.g. LibreOffice, WPS, or OnlyOffice).

  • Cloud-first collaboration: For remote or hybrid teams, cloud-based suites (e.g. Zoho, OnlyOffice online, WPS cloud variants) are increasingly attractive because of real-time editing, device-agnostic access, and minimal setup overhead.

  • Decline of “one-suite fits all”: Rather than expecting a single suite to do everything, businesses are combining tools: e.g. document editing + cloud storage + team chat + project management, optimising cost and flexibility.

What to Consider When Choosing an Alternative

When evaluating productivity suites today, consider:

  • Your team’s OS and device mix — cross-platform support matters if you have a mix of Windows, macOS, Linux, or mobile devices.

  • Document usage patterns — do you need heavy spreadsheet macros? Complex layout? Collaboration and cloud sync? Or only basic word processing and light spreadsheets?

  • Cloud vs. on-premise / self-hosted vs. vendor-hosted — for compliance, privacy, or data-sovereignty reasons.

  • Total cost of ownership — including subscription fees, licensing, training, and migration costs.

  • Collaboration needs — real-time editing, version history, sharing, co-authoring, device access.

There Is No “One-Size-Fits-All” Suite

In 2025, businesses have more choices than ever before. For many organisations, especially small to medium enterprises, remote teams, or those with cross-platform environments, a carefully chosen alternative to Microsoft 365 can provide substantial cost savings, flexibility, and control.

Suites such as LibreOffice, OnlyOffice, WPS Office, and Zoho Workplace each bring different strengths to the table, and selecting the right match depends on your business needs, operational realities, and long-term goals.

At a time when agility, cost-efficiency and data governance matter more than ever, it’s worth re-evaluating your business’ office-suite strategy.

Comparison Chart:

Pro & Con Matrix

LibreOffice

Pros:

  • Free and open source

  • Strong offline capability

  • Great for mixed OS environments

  • No vendor lock-in

Cons:

  • No native cloud collaboration

  • UI feels more traditional

  • Occasional formatting differences on MS Office files

OnlyOffice

Pros:

  • Very strong compatibility with Microsoft formats

  • Can be fully self-hosted — excellent for data sovereignty or compliance

  • Modern UI

  • Supports web and desktop deployments

Cons:

  • Collaboration tools are good but not as smooth as Microsoft or Zoho

  • More technical setup for self-hosted deployments

WPS Office

Pros:

  • Sleek, modern design that feels familiar to Microsoft users

  • Very lightweight and fast

  • Great for teams needing mobile + desktop harmony

Cons:

  • Advanced features often require paid tiers

  • Cloud storage relies on a proprietary platform

  • Some businesses may prefer a non-China-based provider

Zoho Workplace

Pros:

  • Excellent real-time collaboration

  • Integrates with CRM, email, and business apps

  • Good for remote or hybrid teams

  • Predictable subscription model

Cons:

  • Weaker offline functionality

  • Complex spreadsheets or macros may not translate well

  • Requires stable internet for full functionality

Microsoft 365 (for comparison)

Pros:

  • Most mature suite with enterprise-grade features

  • Best-in-class compatibility and collaboration

  • Deep integrations across Microsoft ecosystem (Teams, SharePoint, Entra, Power Platform)

Cons:

  • Subscription costs add up quickly for SMEs

  • Less flexibility for data sovereignty (AU regions available, but still Microsoft-controlled)

  • Some businesses do not need the full feature load

Related articles:

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Gerardo Altman

Gerardo Altman, Director of Problem Solving

With over 25 years’ experience in the IT industry, Gerardo Altman is a key solutions architect and MD of Velocity Host, with a love for Tetris and complex puzzles of every nature you'll find me hard at work doing what I do best – finding solutions.