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As long as you pay your subscription fee, you get to use that software in accordance with the license terms. The cloud or subscription version of a product refers to software as a service (SaaS), which is essentially software licenses that you purchase and use on a subscription basis. Traditional Microsoft Office products, like Office 2021, fall under the on-premises umbrella. You install the software according to the license terms - in the case of Office, you have to purchase a license for each computer you want to install the software on. It's the traditional approach to software: You buy a license and you get a disc to install the software (or, more likely, you get directed to a place to download the software). In general, "on-premises" refers to software purchased on a per-license basis and installed on individual computers. What Do the Terms "On-Premises" and "Cloud" Mean, Anyway? In this article, we'll provide an overview of these two offerings to help you determine which is the right option for your organisation. Microsoft offers two flavours of its Office productivity suite: the subscription-based Office 365 and the on-premises editions of Office 2021. This article first appeared on the TechSoup Global website - thanks to them for sharing!