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Google has been steadily advancing Google Workspace over the years, but its development appears to be accelerating. While Microsoft 365 remains the dominant player in the market, Google Workspace is gaining significant traction.
For many businesses, it provides solutions comparable to Microsoft 365 at a competitive price. However, the question remains: can Google Workspace expand beyond its historic customer base of small to medium businesses to meet the evolving needs of enterprise digital workplaces?
Google Picks Up the Pace Post-Microsoft Copilot Launch
Microsoft had a significant head start on Google Workspace, so its Office apps tend to offer more features. Microsoft released Word in 1983, while Google Docs did not debut until 2006, giving Microsoft 23 years to enhance and expand its functionality before Google entered the workplace productivity scene.
Google rebranded G Suite in October 2020 as Workspace. The rebranding reflected Google's efforts to integrate the various productivity and collaboration tools in its portfolio — Gmail, Google Docs, Sheets, Meet and others — into a more unified, streamlined experience.
The upheaval caused by the introduction of Microsoft Copilot appears to have spurred Google on to increase the cadence of Workplace releases to maintain its place in the market.
Just last week, for example, it expanded the capabilities of its AI-powered note-taking app, NotebookLM, with the introduction of a new "Audio Overview" feature. The feature offers an alternative way to absorb and understand content uploaded to the system. NotebookLM had previously focused on generating text-based summaries to help explain source materials. With the addition of Audio Overview, users can now listen to them, catering to those who learn better through auditory means.
The audio summaries are delivered by AI-generated virtual hosts who use conversational speech patterns to present key facts and engaging topics from the material. These hosts also employ metaphors and other techniques to simplify complex ideas. According to Google, listening to these audio summaries can inspire new insights, helping users draw connections between their documents and spark ideas for future projects.
The announcement warned that the audio overview was not a complete view. "It’s important to remember that these generated discussions are not a comprehensive or objective view," the blog announcing the release reads.
NotebookLM now works across most of Workspace, making this seemingly minor release a very helpful tool (of course keeping in mind Google's caveat that the audio summaries do not provide a comprehensive or objective view of a given document).
The integration of Gemini into Workspace in February introduced generative AI tools like text summarization and image generation to apps such as Gmail, Meet, Docs, Sheets and Slides. Google's advanced Gemini large language model powers these capabilities, which itself is a rebranding of Duet AI for Workspace.
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A Bumpy, But Beneficial, Switch
Google Workspace, with its competitive advantages and price/quality ratio, is gradually positioning itself as an advantageous decision for middle and large companies, Glance CEO Simon Lee told Reworked.
Unlike Microsoft 365, Lee said Google Workspace’s native support for Gmail, Google Meet, Google Docs and Google Drive enables easier work processes and can help boost productivity. Its collaboration features makes it stand out, he continued. Google real-time editing and cloud-based storage enable the different members of the team to work on the same document without the possibility of version conflicts.
“There is one crucial aspect that is usually not discussed,” he added. “The platform has powerful AI and machine learning capabilities. Some of the features available in Google Workspace include the use of artificial intelligence to sort and manage emails and generate intelligent replies. These features not only reduce the time that would have been taken to perform specific tasks but also complement the performance by minimizing the amount of work done manually.”
In spite of these advantages, Lee warned that a move from another platform like Microsoft 365 would still cause some discomfort. People well-versed in the Microsoft environment may not take to Google Workspace, especially when they discover certain Microsoft 365 features unavailable or less refined in Google Workspace, he added.
Lee recommends any company contemplating a shift to Google Workspace to have their managers highlight the collaboration features and cost efficiency to minimize resistance and maximize benefits as part of their change management efforts. “The above unique aspects, if well harnessed, can lead to improved workplace performance,” he said.
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Stick to the Small and Medium Businesses
In fact, for StudyX.AI founder Alex Muz, Google Workspace's real-time collaboration performs well and is an effective choice for remote work or teams that work in flexible or hybrid environments. In addition, its price is relatively low. He sees these features as potential Google Workspace selling points for enterprises that emphasize collaborative efficiency and agility.
That said, Muz still believes Google Workspace is more suitable for smaller and newer enterprises than for well-established large enterprises. Security and compliance factors could be a sticking point here. Microsoft 365's long history of enterprise-level security and compliance may make it more competitive in regulated industries, such as government, medical care and finance.
Ecosystem and compatibility factors should also be considered, given the number of large enterprises that are already deeply embedded in the Microsoft ecosystem. “Although Google Workspace performs well in collaboration and lightweight applications, it may still have gaps in some complex workflows and compatibility with other Microsoft products,” Muz said.
The cost of migration from Microsoft 365 to Google may outweigh any advantages the latter offers, he concluded, particularly in the case of organizations that have used Microsoft products for a long time.
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What Do You Need to Collaborate?
The question really comes down to what your team needs most, said Bartosz Wróbel, CEO at Gorrion Software House. Google Docs or Sheets removes the worries around version control or people stepping on each other’s edits. Everything updates in real-time, which makes collaboration feels easy and natural.
When asked if Google Workspace could fully replace Microsoft 365, Wróbel said it depends. Microsoft has the edge in certain areas. For businesses that rely on complex Excel functionalities or prefer desktop integration, Microsoft 365 is tough to beat. He also notes the specific challenge for legacy companies and the substantial leap a move to Google Workspace would involve.
“So, it’s not a simple either-or. If your team values seamless online collaboration and you’re looking for flexibility, Google Workspace might be the better fit," Wróbel said. "However, if you need advanced features, especially on the desktop side, Microsoft 365 still holds its own. It really comes down to what tools your business leans on most day-to-day.”