Office 365 is hands-down the best way to buy Office, whether you're a consumer user wanting the Office desktop apps with all the latest features, or a business that needs email and collaboration tools without the hassle of running your own servers. Yes, you pay a monthly fee, but you keep getting new features as well as useful cloud services.

We liked

The new Office 365 admin centre is a real improvement, making it easy to find features that used to be tucked away inside specific services

Exchange Online is one of the best business email systems around, and no-one knows how to run it better than Microsoft. Skype for Business has gone from VoIP meetings in the cloud to something that can be a full unified communications service – if you're prepared to pay for all the conferencing and telephony services you need to make it work. And SharePoint is getting a much needed refresh, plus the formerly infuriating OneDrive for Business is now both usable and reliable, and Groups give teams a simple way of working together on projects.

We disliked

Overall, the Office 365 admin interface remains disparate and disjointed; Microsoft needs to do more work here. In part, that's due to the overlapping tools, from the formal systems that replicate the server options larger businesses want – especially if they're migrating to the cloud – to the simpler, ad hoc tools based on Groups that are more approachable but also sometimes lack features. Whatever you need, you can probably do it with Office 365 – if you can find out where and how.

If you want the latest features and improvements, you need to opt-in to try previews – but that can mean losing useful options as well, like the confusing changes that make the Save As dialog slow and unwieldy in Office 2016. If you don't get features in preview, it can still take a long time for them to reach all the Office 365 tenants once they're supposed to be available.

Final verdict

Office 365 is a reliable service that integrates email, document sharing and conferencing almost seamlessly with the latest desktop versions of the Office software – which now get regular updates and extra features – and is evolving new cloud tools and services like Sway and Planner.

It's simple enough for small businesses and also has powerful options for larger companies, who will find that the savings from putting commodity IT in the cloud, while still being able to integrate with on-premise servers through Active Directory and hybrid Exchange deployments, make the combined subscriptions for server and desktop products very attractive.

You do need to pick the right plan though – there's a confusing number of them, all with slightly different features. This means you don't have to pay for services you don't need, but it also makes it hard to point at Office 365 and know exactly what you'll get.