Difference between SharePoint Online & SharePoint On-Premise

SharePoint is a collaborative platform based on Windows server. It’s utilized to store, share access, and manage business data/information from different devices. It offers two different systems for this collaborative process; SharePoint On-premises and SharePoint online.

Microsoft  Sharepoint has helped simplify the way an organization or business operates by allowing their employees & staff to gain access to all the relevant programs at one place.

It’s may be difficult to decide the best collaborative platform that Microsoft SharePoint has to offers. Both SharePoint On-premises and SharePoint online have their own benefits and limitations. Therefore, we’ll discuss the pros and cons of both of these platforms individually in this blog. Read on for better knowledge about the differences among SharePoint On-premise versus SharePoint online.

Brief Description Of Sharepoint

Microsoft Share Point is a very useful tool for businesses which is used for data storage, collaboration and for document management. Sharepoint is one of the top business collaboration software today. SharePoint has gained significant recognition to build a sound collaborative system among most prominent organizations. its simplifies business processes, enhance productivity, accelerate growth & provides a secure internal information sharing platform.

Let’s evaluate both Sharepoint deployment models to understand which one would be beneficial for your organization depending upon your needs.

SharePoint On-premises –  Locally Stored On Your Server

  • The server setup of SharePoint on-premises would require more room and will be dependent on the internal IT team to be maintained. Consequently, more people and hardware would be required
  • It offers full ease of customization to each of the platforms feature on the SharePoint on-premises as the users own full access to the platform
  • The organization is expected to necessarily create a backup of their data themselves.
  • The patches and updates are to be handled periodically by the internal IT team of the organization. As its installed and managed by the organization only.
  • The speed of the platform depends upon the local infrastructure developed and maintained by the organization.
  • The security of the data is totally dependent on the internal capabilities of the IT team.

SharePoint Online – Stored on Microsoft Cloud Servers

  • Microsoft ensures a backup is properly created and managed or firms data on the platform.
  • The patches and updates are taken care by Microsoft as per the subscription plan purchased by the firm. Its installed and managed by Microsoft only.
  • High bandwidth and lower latency are rendered by the global network of data centers. Hence, higher speed is witnessed.
  • The security of data depends on industry-specific security standards.


Unlike the 2016 release, SharePoint Server 2019 has delivered a wide variety of new features to the on-premise platform. Many of these features have been rolled out to SharePoint Online customers already making both platforms fairly similar with the latest update.

Sharepoint platform has been utilized by many Fortune 500 companies for nearly decade now. There’s a reason why they trust this platform with their data.

Although both have their pro’s and con’s, there are additional capabilities of the platform that can be leveraged to fit in any kind of work environment. Choosing which one best fits your needs really depends on your resources. Both can help your organization with document management and team collaboration, although how this information is accessed is truly what separates the two systems apart.