Keeping your data safe, making sure you’re able to access it from anywhere, and sharing it with others are key to modern work. Microsoft offers two tools for this: OneDrive and SharePoint. But how do they differ, and which one is best for you? Let’s look at what sets them apart.

1Different Target Audiences

Microsoft OneDrive is a cloud-based file-hosting service aimed at individuals or small teams. you’re able to use it as a personal storage space for the confidential data that you share with a small group of people. Its smooth integration with Office applications makes it a great pick if you’re a student, freelancer, or self-employed.

Microsoft SharePoint is a cloud-based content management system for streamlined team collaboration.You can create SharePoint sitesto store files and make them available to specific departments or an entire organization. Individuals on a SharePoint site can view and, depending on permissions, edit the work of others.

An employee in a suit sitting at their desk typing on a keyboard in front of a laptop and a computer monitor.

Microsoft advertises these products differently. It markets OneDrive as a cloud storage service for individuals and small businesses. In contrast, SharePoint targets enterprises and corporations, focusing on improving teamwork rather than serving solely as a storage solution.

2File Sharing and Collaboration

Collaboration and file sharing are much smoother with Microsoft SharePoint. In OneDrive, only thefile owner can control who sees, edits, and shares a file. SharePoint lets a central admin assign different levels of access permission to individual users or teams.

SharePoint has an intuitive interface and features like status updates, deadline alerts, and project tracking notifications. These simplify project management in ways that OneDrive does not offer. You can also integrate Yammer—a social networking service—into SharePoint. Doing so enables team members to communicate directly.

An illustration of two laptops side-by-side, with documents moving between them.

While both platforms let users create file libraries to organize content, it’s easier to manage and navigate them in SharePoint. This is a more important consideration as the volume of data scales up. So if you prioritize easy collaboration and file sharing, SharePoint is the way to go.

Both OneDrive and SharePoint let you access your data from any device, regardless of your location. They both support syncing with devices, enabling you totransfer your data for local use on any deviceif needed. As such, both platforms offer essentially the same features in this area.

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3Security and Privacy

Microsoft has taken solid measures to ensure the security of both services. With real-time data encryption, you can back up your data on SharePoint and OneDrive. Moreover, if you accidentally delete a file, you can recover it from the recycle bin on both platforms. However, in SharePoint, you can only recover files that you can edit.

Microsoft uses a virus detection engine to scan files uploaded to SharePoint and OneDrive. This helps protect your files and online storage space. If it detects an infected file, each service will notify users immediately. SharePoint administrators can block users' access to any infected files in the database.

cloud storage concept person’s hand holding tablet with cloud sign above

Despite these security measures, you should be aware of potential risks when sharing files on either platform. Avoid accidental file sharing with unauthorized members and carefully manage edit permissions to prevent data loss and theft. You should also refrain from oversharing to simplify data management and security.

4Pricing and Storage

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The standalone plan of OneDrive is called Microsoft 365 Basic. Keep this in mind to avoid any confusion.

In contrast, SharePoint does not offer a free plan. Its standalone package costs $5 per user per month, providing storage space of up to 1TB for each user. Alternatively, you’re able to buy SharePoint as part of a Microsoft 365 business plan. This offers administrators up to 25TB of site storage space.

Microsoft OneDrive on a laptop

SharePoint’s pricing and storage space make it preferable for team collaboration. OneDrive, especially with its free plan, is better suited to the needs of individuals.

5More Advanced Features

SharePoint offers several advanced features that OneDrive does not. Its web publishing feature lets you publish important documents directly on your company’s external website using the built-in content management system. This lets employees or consumers download such documents, whenever they need.

SharePoint also lets you add apps to internal or website pages, create employee portals, review forms, and more. It also lets you automate tasks based on user actions, like emailing new files to a specific team or project leader. OneDrive doesn’t offer this feature.

Check out a few morethings you’re able to do with Microsoft SharePointthat might not be possible with OneDrive.

6Which One Should You Use?

If you’re an individual without a team, or a small business owner who doesn’t need extensive collaboration and large storage space, OneDrive could meet your needs. However, SharePoint will be better if you manage a large team that requires frequent collaboration and more data storage.

You can also use both services since the SharePoint plan includes OneDrive. You can use OneDrive to store confidential company documents like business plans and financial records and restrict its access to a few members. Meanwhile, you can create a SharePoint site to collaborate on less-sensitive documents such as policies, schedules, and training data.

Additionally, you can sync OneDrive with SharePoint, making it convenient touse both tools and Microsoft Teams to improve your team’s collaboration.

In summary, OneDrive is best suited for personal use, while SharePoint is better for larger team collaborations.