Microsoft Testing a Free, Ad-Supported Version of Microsoft 365 Desktop Apps

Microsoft is offering Word, PowerPoint and Excel apps for free as a part of this limited testing.

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Written by Akash Dutta, Edited by Siddharth Suvarna | Updated: 25 February 2025 18:54 IST
Highlights
  • The free version of Microsoft Office comes with 5GB of cloud storage
  • Microsoft is offering limited features with the ad-supported Office
  • The company reportedly is not planning to launch this new tier

The free version of Microsoft Office reportedly features a permanent banner on the right side

Photo Credit: Microsoft

Microsoft is testing an ad-supported free tier for the Microsoft 365 Copilot or Office apps. Typically, these apps are only accessible to those who purchase the Microsoft 365 subscription. However, some users are now seeing an option to opt for a free version that offers limited features and ads. Currently, the Redmond-based tech giant is only offering three apps, Word, Excel, and PowerPoint in this tier. As per a report, the company is not looking to launch this new tier, and is only conducting a limited test in some regions.

Microsoft Offers Ad-Supported Free Version of Office Apps to Some Users

Gadgets 360 staff members spotted this free, ad-supported tier of Microsoft 365 on their PCs on Monday. The plan appears when a user clicks on the “Buy Microsoft 365” button placed on top of the Office apps. Usually, this opens a pop-up window that shows the different subscription plans. However, currently, a “Try Microsoft 365 for free” message appears, showing the free tier.

The ad-supported, free tier of Microsoft 365

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Normally, once the Office license expires, users can still use apps to view documents, but they cannot edit and create new documents unless they purchase a subscription. However, now, the free tier is offering three apps — Word, Excel, and PowerPoint — for free. The pop-up highlights that users can access limited features in these apps, will be shown ads, and will get 5G of cloud storage, which will be powered by OneDrive.

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First reported by Beebom, the ad-supported tier shows a persistent ad banner on the right side of the app interface, which cannot be removed. Additionally, Microsoft is reportedly also playing a muted 15-second video ad every few hours.

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The publication stated that the free tier does not allow users to save documents locally, and only cloud storage can be used. Some advanced features are also said to be greyed out in the free tier such as installing add-ins, adding watermarks, or analysing data.

“Microsoft has been conducting some limited testing. Currently, there are no plans to launch a free, ad-supported version of Microsoft Office desktop apps,” a Microsoft spokesperson told PCWorld in a statement. It appears that India might be part of this limited testing region. Other regions are currently not known.

 

Catch the latest from the Consumer Electronics Show on Gadgets 360, at our CES 2026 hub.

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