Office 365 is a selection of subscription plans that include access to Office applications, plus other productivity services that are enabled over the Internet (cloud services), such as Microsoft Teams and Exchange Online hosted email for business, and additional online storage with OneDrive.
Many Office 365 plans also include the desktop version of the latest Office applications, which you can install across multiple computers and devices.
The Office 365 plans that are online-only are a great choice for certain business needs, and they are compatible with desktop versions of the latest version of Office, Office 2010, Office 2007 (with slightly limited functionality), Office 2011 for Mac, and Office 2008 for Mac.
All Office 365 plans are paid for on a subscription basis, monthly or annually.