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Outlook.com vs Microsoft 365 Business

On privacy it's Microsoft 365 Business. On price it's Outlook.com. On features it's Microsoft 365 Business. Here's everything side by side, last checked 22 October 2026.

Outlook.com or Microsoft 365 Business: which should you choose?

  • Outlook.com suits you best if you want email without paying for it; a free plan before you pay anything; and a company with a longer track record (since 1996).
  • Go for Microsoft 365 Business if you'd like your email to stay in the UK data centres for UK tenants (London, Cardiff, Durham); to use your own domain, like you@yourname.co.uk; and more room (50 GB, against 15 GB).
FeatureOutlook.comMicrosoft 365 Business
Overall2.52.5
Privacy0.01.0
Price5.02.5
Features4.05.0
Cheapest planFree (Microsoft 365 Basic for more space)
Free
Business Basic
£5.40 per user a month, yearly, ex VAT
Free planYes, 15 GBNo
Storage15 GB50 GB
Your own domainNo✓ Yes
End-to-end encryptionNoNo
Company based in United States United States
Your data is kept in United States and worldwide UK data centres for UK tenants (London, Cardiff, Durham)
Founded19962011
Free trialFreeOne month free on some plans
Funded by advertisingYes, or its parent company isYes, or its parent company is
Works in any mail app✓ IMAP and SMTP✓ IMAP and SMTP
Calendar and contacts✓ Yes✓ Yes
AliasesYesYes
Open-source appsNoNo
Sign up without IDNoNo
White labelNoNo
Reader offerNoneNone
Last checked22 October 202622 October 2026

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Where they differ

  • Cheapest plans: Outlook.com Free (Microsoft 365 Basic for more space), Free. Microsoft 365 Business Business Basic, £5.40 per user a month, yearly, ex VAT.
  • Outlook.com has a free plan (15 GB); Microsoft 365 Business has no free plan.
  • Space: Outlook.com gives 15 GB of storage, Microsoft 365 Business 50 GB of storage.
  • Your mail is stored in the United States and worldwide with Outlook.com, and in the UK data centres for UK tenants (London, Cardiff, Durham) with Microsoft 365 Business.
  • You can use your own domain with Microsoft 365 Business, but not with Outlook.com.

Outlook.com and Microsoft 365 Business: your questions

Is Outlook.com more private than Microsoft 365 Business?

Microsoft 365 Business scores 1 out of 5 for privacy and Outlook.com 0. Microsoft 365 Business gives you your email to stay in the UK data centres for UK tenants (London, Cardiff, Durham).

Is Outlook.com cheaper than Microsoft 365 Business?

Outlook.com costs nothing to start (Free). Microsoft 365 Business's cheapest plan, Business Basic, is £5.40 per user a month, yearly, ex VAT.

Can I use my own domain with Outlook.com or Microsoft 365 Business?

Only Microsoft 365 Business does (Yes). With Outlook.com your address stays on its own domain.

Where is my email stored with Outlook.com and Microsoft 365 Business?

Outlook.com keeps it in the United States and worldwide. Microsoft 365 Business keeps it in the UK data centres for UK tenants (London, Cardiff, Durham).

Prices and the latest news

  • 27 July 2026 Microsoft 365 Business: £5.40 (UK price change from 1 July 2026)
  • 1 June 2026 Microsoft 365 Business: £4.90

The latest headlines: Outlook.com news · Microsoft 365 Business news.

Not sold on either? Try these

Outlook.com vs mailbox.org · Microsoft 365 Business vs mailbox.org · Outlook.com vs Posteo · Microsoft 365 Business vs Posteo · Outlook.com vs Proton Mail · Microsoft 365 Business vs Proton Mail

Moving your email

Switching takes an evening to set up. Follow the steps for your direction: Outlook.com to Microsoft 365 Business · Microsoft 365 Business to Outlook.com.

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