Running out of local storage? We compare the top cloud storage solutions for businesses to help you free up space and improve collaboration.
Local device storage fills up faster than most people expect, and the cost of high-capacity SSDs keeps device prices high. Cloud storage solves the problem — but choosing the right solution for your business depends on your existing software stack, collaboration requirements, compliance obligations, and budget.
This comparison covers the six most relevant cloud storage options for Australian SMBs.
1. Microsoft OneDrive and SharePoint (Microsoft 365)
Best for: Businesses already using Microsoft 365
OneDrive and SharePoint are the storage backbone of Microsoft 365 and the default recommendation for any business already on that platform. They are not two separate tools — OneDrive handles individual file storage and sync, while SharePoint handles team and project file libraries.
Storage allocation:
- OneDrive: 1TB per user (included in all M365 Business plans)
- SharePoint: 1TB base + 10GB per licenced user pooled across the organisation
Strengths:
- Deep integration with Microsoft 365 apps (Word, Excel, Teams)
- Files On-Demand — access files without downloading them (saves local storage)
- Version history and 93-day recycle bin
- Granular sharing controls and DLP (Data Loss Prevention) policies
- Australian data residency available
- Co-authoring (multiple users editing simultaneously)
Weaknesses:
- Sync client can be unreliable on some Windows configurations
- SharePoint permissions can be complex to manage without IT support
- Not ideal for non-Microsoft environments
Pricing: Included in Microsoft 365 Business Basic ($9/user/month), Standard, and Premium
2. Google Workspace Drive
Best for: Businesses using Google Workspace (Gmail, Docs, Sheets)
Google Drive is the storage component of Google Workspace — Google’s answer to Microsoft 365. For businesses in the Google ecosystem, Drive is the natural choice.
Storage allocation: Pooled storage across the organisation (starting from 30GB per user on Business Starter, up to 5TB per user on Business Plus)
Strengths:
- Excellent real-time collaboration on Google Docs, Sheets, Slides
- Simple, reliable sync client
- Strong search (Google’s core competency)
- Good mobile app
- Shared Drives for team file libraries
Weaknesses:
- Limited integration with Microsoft Office file formats (some formatting issues)
- Australian data residency: Google does not offer specific country data residency for Workspace (data may be stored globally)
- Less suited to businesses with heavy Microsoft Office usage
Pricing: Google Workspace Business Starter from $8.40/user/month AUD
3. Dropbox Business
Best for: Teams needing reliable sync across mixed environments
Dropbox pioneered cloud file sync and remains excellent at its core function. It is particularly strong for teams using a mix of Windows, Mac, and Linux, or who work extensively with design files and large assets.
Storage allocation: Dropbox Business Plus: 15TB pooled; Business: unlimited
Strengths:
- Reliable sync across platforms (including Linux)
- Smart Sync — access files on demand without occupying local storage
- Strong third-party integrations
- Excellent large file handling
- Paper (collaborative docs)
Weaknesses:
- Higher cost than Microsoft or Google options for businesses not getting additional value from the integrations
- No built-in productivity suite (you still need Office or Google Workspace)
- Australian data residency: not specifically guaranteed
Pricing: Dropbox Business from approximately $25/user/month AUD
4. Box for Business
Best for: Industries with strict compliance requirements
Box targets regulated industries — legal, healthcare, financial services — with strong compliance credentials: HIPAA, FedRAMP, SOC 2 Type II, and granular access controls.
Strengths:
- Strong compliance and governance features
- Excellent external collaboration controls
- Box Sign (e-signatures)
- Deep integrations with Salesforce, Microsoft 365, and Google Workspace
Weaknesses:
- Higher cost than general-purpose alternatives
- Overkill for businesses without specific compliance requirements
- Less polished consumer-facing experience
Pricing: Box Business from approximately $20/user/month AUD
5. Backblaze B2 + rclone (Technical Option)
Best for: Cost-sensitive businesses with IT capability
Backblaze B2 is object storage at very low cost ($0.006/GB/month) — significantly cheaper than any of the above. It is not a user-facing file sync tool; it is raw cloud storage. Combined with rclone (a free, open-source command-line tool), it can be configured for automated backup, offsite backup, and file archival.
This is not appropriate for most SMBs without technical IT capability — it requires configuration and maintenance. But for businesses needing large-volume storage (design agencies, video production, backup archival) at the lowest possible cost, B2 is worth understanding.
6. Synology NAS with Cloud Sync (Hybrid Option)
Best for: Businesses wanting control and local speed with cloud backup
A Synology NAS (Network Attached Storage) device provides high-capacity local storage with cloud sync for offsite backup and remote access. It is a hybrid approach: local storage for performance, cloud sync for resilience.
Strengths:
- Excellent local performance for large files
- One-time hardware cost rather than ongoing per-user subscription
- Flexible cloud sync to any provider (OneDrive, Google Drive, AWS S3, Backblaze)
- Full data control
Weaknesses:
- Upfront hardware cost ($500-3,000+ depending on capacity)
- Requires setup and ongoing maintenance
- Remote access is slower than native cloud
- Local device means local disaster risk (fire, theft) if not backed up offsite
The Recommendation for Most Melbourne SMBs
If your business uses Microsoft 365 (most do), OneDrive and SharePoint are already included in your subscription and should be your primary storage. Deploying Files On-Demand and migrating from local storage to OneDrive/SharePoint immediately reclaims local storage, improves backup coverage, and enables collaboration without additional cost.
The question of whether to supplement with additional storage solutions depends on specific use cases (large file volumes, external collaboration requirements, compliance needs).
CX IT Services helps Melbourne businesses optimise their Microsoft 365 storage configuration — including OneDrive deployment, SharePoint structure design, and Files On-Demand setup. Contact us to discuss.
