The primary contrast between Office 2016 and Office 365 lies in their licensing models. Office 2016 is a suite of office software where users pay a one-time fee, which can be quite high, for permanent access. Once paid, you can install Office 2016 on any computer indefinitely.
In contrast, Office 365 operates on a subscription basis. Instead of paying an upfront cost for the software, users pay a monthly or yearly fee and gain access to the latest Office services on both PC and mobile platforms. Additionally, cloud-based services are included with Office 365 subscriptions. Subscribers also have the option to install Office on up to 5 different computers for use.
Office 2016: Traditional Software Product
Office 2016 is a traditional office software product akin to its predecessors like Office 2007, 2010, 2013... Office 2016 encompasses various editions such as Home & Student for individual users and schools, alongside other editions tailored with numerous features suitable for organizational and enterprise scale.
After paying the initial fee, users will receive Office 2016 license in the form of a key card containing a download code instead of using physical installation discs as before. Additionally, some users may receive installation links via email.
The Office installation package only includes Word, Excel, PowerPoint, and OneNote, excluding Outlook, Publisher, and Access services. You can download and install Office 2016 at your leisure without incurring any additional costs. However, if Microsoft releases a newer version of Office thereafter, you will need to continue paying to use the new version or stick with the old Office 2016.
Office 2016 operates differently on Windows and MAC systems; you cannot use the license for both platforms simultaneously. If you need to install it on another computer, you must deactivate the license or purchase a new license key for the additional device.
Office 365 Personal: Office Software for Individuals
Office 365 introduces a new way of distributing Office products. It provides an Office solution tailored for individual use on a single computer. Upon subscription, you can download and install Office 2016 for use. However, unlike Office 2016, with Office 365, users will receive and use new Office versions without incurring any additional costs when they are released.
For Office 365, you will register an account and pay through a credit card. You can choose to pay for Office 365 annually or monthly for the Personal edition. Additionally, you can enjoy a 1-month free trial before deciding whether to continue with Office 365 subscription.
Office 365 package includes all office services such as Word, Excel, Powerpoint, and One Note. Additionally, the service also includes Outlook, Publisher, and Access along with 1TB of One Drive online storage and 60 minutes of Skype calls per month.
Unlike Office 2016, you can use Office on both Windows or MAC as you like without any additional costs. You just need to log out of this device and log in to another device regardless of the platform.
Office 365 Home: Office software subscription for a group of 5 people
Office 365 Home is designed for groups of people who need to use Office simultaneously on multiple computers. Office 365 Home includes all the services of Office 365 Personal, however, there will be higher costs, but this cost is still very reasonable compared to 5 individual users. Therefore, this is an optimal choice if you work in a team and within a family.
Which Version Should You Use?
In the long run, Microsoft aims to eliminate one-time purchase versions of Office and transition to a subscription-based model similar to what Adobe is doing with Photoshop, allowing subscription via Creative Cloud.
With equivalent costs, undoubtedly Office 365 will gradually become the optimal choice and be prioritized when you want continuous support from Microsoft for updating new versions without additional costs.
Office Online - Microsoft Office's free web version
Apart from focusing on developing desktop versions of Office, Microsoft also simultaneously provides the free web version Office Online. This is a simplified web-based office suite that has been stripped down of many features compared to the desktop version. Additionally, you cannot use it without an Internet connection. This version is suitable for users who only need basic Office features, along with the free web-based One Note service.
Guide to Saving Costs When Purchasing Office
Microsoft not only offers Office on the Microsoft Store but also through various other channels. These retail channels typically offer better prices than the official ones.
For example, on the online marketplace Amazon, you can also search for and purchase Office licenses at discounted prices. Additionally, you can search for other sales channels to reduce the cost of buying Office. Please note that these prices may change constantly depending on the manufacturer and are not fixed.
With this article, we hope you can distinguish between Office 2016 and Office 365, thus making an informed decision on product selection and cost alignment with your usage needs. Before usage, you can also subscribe to Office 365, the Office 365 suite, and try it out for 1 month before deciding on the product that suits you.
