Office 365 or on-premise Office 2016/2019 license?

Software licensing and version management in companies is often a real headache, especially for tools as essential and transversal as office suites. Microsoft, the undisputed leader in this segment, has established its office suite as a market standard and has evolved it over versions to adapt to new needs and uses. The latest technologically advanced versions offer an increasingly connected, collaborative, and smooth user experience, marked by the editor's strong commitment to cloud technologies with the on-demand Microsoft 365 license (new name for Office 365) and the continuation of perpetual versions with on-premise Office 2016 and 2019 licenses.

While the stated goal of the editor is to favor SaaS versions with subscription, the choice for IT managers using office suites must remain open to allow each to select solutions according to their functional needs. IT managers can thus build an optimized architecture in hybrid or perpetual mode, in line with IT objectives in terms of use, projects, and financial investment.

On-premise vs. on-demand, which version to choose?

Not long ago, the question of choosing between an on-premise version and a subscription with the Microsoft 365 version was not as pressing. In a commoditized sector like office suites, IT managers were accustomed to deploying software versions based on environment and hardware compatibility. Depending on the age of the equipment, it was common to see versions of Office 2013, 2016, 2019, and 365 coexist. The current urgency forces a redefinition of processes and a search for technological and economic balances to meet users' functional needs and investment control.

By implementing an asset management strategy, IT managers regain power over software publishers. They take advantage of opportunities offered by the second-hand on-premise license market with the Softcorner marketplace to pursue their own technological investment goals and not suffer from publishers' roadmaps. The range of solutions on the second-hand software license market allows IT managers to choose the versions suited to each service's use and provide each employee with the tools they need based on their profile. They can complement their on-premise software architecture with on-demand Microsoft 365 licenses for more specific profiles and configurations. Given the planned price increases on the cloud version in March 2022, IT managers have every interest in updating the management of their on-demand office software assets in light of these financial elements.   

From a functional standpoint, Office 365 or Office 2016/2019?

The choice for IT managers will first be conditioned by the functional coverage offered by the different on-premise Office 2016/2019 and on-demand Office 365 versions. The notable differences between perpetual license versions (on-premise) and subscription (on-demand) lie in the update frequency and addition of new features. According to the editor's announcements, Office 2019 is the last on-premise version, and the updates it will receive mainly consist of security updates and patches. From a functional standpoint, the on-demand Office 365 version offers the same essential functions and applications as the Office 2016 and 2019 solutions, with additional advanced collaborative features linked to their cloud environment.

Given the cost of on-demand licenses and the obligation to update computers (desktop, mobile) to meet the prerequisites of the on-demand Office 365 version, the possibility of buying on-premise Office 2016 or 2019 licenses on the Softcorner marketplace is a real boon for companies. Thanks to the secondary software license market, they can rationalize their IT investments while maintaining a quality software offer for the company's employees.