Microsoft Loop vs Obsidian: pricing, features and which to choose

Plans, prices, deployment options, strengths and limits for Microsoft Loop vs Obsidian, taken from each company's pricing page, docs and changelog. Updated October 2026.

Microsoft LoopObsidian
Microsoft Loop logo

Microsoft Loop

Productivity AI Tools

Microsoft Loop is a collaborative workspace and page app for teams using Microsoft 365, with pages, live components, and real-time editing across supported applications. Personal web access is free during public preview, while work access comes through eligible subscriptions. The lowest listed work entry is Microsoft 365 Business Basic at $7/user/month paid yearly from July 2026, although Loop workspace creation depends on storage and administrator policy.

Obsidian logo

Obsidian

Productivity AI Tools

Obsidian is a note-taking app that stores everything as plain Markdown files on your own device, linked into a personal knowledge base. It suits researchers, writers and developers who want ownership of their notes. The app is free for personal and work use; Sync costs $4 a month and Publish $8 a month, billed annually.

Quick comparison

FeatureMicrosoft LoopObsidian
CategoryProductivity AI ToolsProductivity AI Tools
Main useShared workspacesLocal Markdown notes
Pricing modelFree plan + paid tiersFree plan + paid tiers
Free plan Yes Yes
Entry paid plan$7/user/month (Microsoft 365 Business Basic)$4/user/month (Sync)
PlatformsMicrosoft 365Desktop & mobile
Open source No No
Self-hosted No Yes
Public API No No
Profile updatedOctober 2026October 2026

Pricing plans

Every public plan, as listed on each company's pricing page.

Microsoft Loop

  • PersonalFree

    Personal users can create up to 250 workspaces, create 50 workspaces per day, and add 1,000 members per workspace.

  • Microsoft 365 Business Basic$7/user/month

    Listed from July 2026 for annual payment. Loop access depends on storage requirements, account eligibility, and administrator policy.

  • Microsoft 365 Business Standard$14/user/month

    Listed from July 2026 for annual payment. The suite includes Microsoft Loop, with storage and tenant controls applying.

  • Microsoft 365 Business Premium$22/user/month

    Listed from July 2026 for annual payment. The suite includes Microsoft Loop, with storage and tenant controls applying.

  • Microsoft 365 E3$39/user/month

    Listed from July 2026 for annual payment. Loop access and workspace creation remain subject to storage and tenant policy.

  • Microsoft 365 E5$60/user/month

    Listed from July 2026 for annual payment. Loop access and workspace creation remain subject to storage and tenant policy.

  • Copilot in LoopSeparate Microsoft Copilot license

    Microsoft publishes suite and Copilot prices rather than a Loop-specific price or per-prompt quota.

Obsidian

  • Free$0

    Full app on every platform for personal and commercial use, no account, no feature limits.

  • Sync$4/user/month

    Billed annually. End-to-end encrypted sync across devices, version history and shared vaults.

  • Publish$8/site/month

    Billed annually. Publishes chosen notes as a website with custom themes, graph view and full-text search.

  • Catalyst$25 one-time

    Optional supporter license with early access to beta versions and community badges.

  • Commercial$50/user/year

    Optional organization license that supports development; 25 or more seats earns a listing on Obsidian's enterprise page.

Strengths and limits

Microsoft Loop

  • Components stay synchronized across supported Microsoft 365 applications.
  • Real-time pages combine notes, tasks, lists, dates, and mentions.
  • Microsoft 365 permissions and administration apply to stored content.
  • Personal access is available at no cost during public preview.
  • Loop has fewer database views, formulas, templates, and embeds than Notion.
  • Copilot requires a separate Microsoft license and has changing integrations.
  • Cloud storage, tenant policy, and Microsoft 365 licensing shape access.

Obsidian

  • Notes are plain Markdown files you own and can open in any editor.
  • Free for personal and work use with no feature limits.
  • Bases adds database-style tables and cards without leaving local files.
  • Thousands of plugins, including AI tools that run local models.
  • No native AI, so assistants depend on third-party plugins.
  • Live collaboration trails Notion and Google Docs.
  • Building a workable system takes time and plugin research.

Which should you choose?

Choose Microsoft Loop if

  • Microsoft 365 teams sharing live notes across Teams and Outlook.
  • Meeting groups needing synchronized pages, tasks, and components.
  • Organizations applying Microsoft 365 permissions and administration.
  • Individuals wanting free personal collaborative pages during preview.

Look elsewhere if

  • Teams needing mature relational databases, formulas, and many views.
  • Organizations seeking self-hosted collaboration software.
  • Project groups requiring advanced reporting, automation, and dependencies.

Choose Obsidian if

  • Researchers and writers building a linked personal knowledge base.
  • Developers who want notes as Markdown files that coding agents can edit.
  • People in regulated jobs who need notes stored only on their own devices.
  • Users who want to choose their own AI model through community plugins.

Look elsewhere if

  • Teams that need real-time co-editing and shared databases.
  • Users who want an AI assistant built in without setup.
  • Anyone who wants a structured system out of the box.

Microsoft Loop logo Microsoft Loop in brief

Microsoft Loop is a collaborative canvas from Microsoft, announced in public preview on March 22, 2023, and made generally available for commercial work accounts on November 15, 2023. It combines pages, workspaces, and synchronized components that can appear across Microsoft 365 applications. Users can create content in Loop and share components into supported Teams, Outlook, OneNote, Word, and Whiteboard contexts. Files and workspace content use Microsoft storage services, including OneDrive, SharePoint, or SharePoint Embedded, depending on the feature. Loop is better understood as a Microsoft 365 collaboration layer than as a standalone database or project-management suite. Its central distinction is portable content governed by surrounding Microsoft 365 permissions and tenant controls.

Loop begins with a workspace or page, then builds content from blocks such as text, lists, tables, tasks, dates, and mentions. People co-edit in real time and share individual components into supported Microsoft 365 locations. A typical meeting workflow starts with a shared page, adds an agenda, notes, decisions, and assigned tasks, then posts a synchronized component in Teams or Outlook. Copilot can draft, brainstorm, summarize, and generate or recap meeting notes, but it requires a separate license. Administrators manage creation and integrations through Cloud Policy and SharePoint PowerShell. This workflow suits teams that already use Microsoft 365 and want the same live content to appear in several applications without maintaining separate copies.

Loop has fewer mature database views, formulas, relations, templates, embeds, and automation tools than Notion, while Coda offers deeper document databases and cross-application workflows. Google Docs and Drive provide mature document collaboration, and Confluence is stronger for structured knowledge management and Atlassian administration. Asana, Trello, and ClickUp offer deeper project controls, reporting, custom fields, dependencies, and automation. Loop also depends on Microsoft's cloud, tenant licensing, storage quotas, and administrator policies. Its integration story is narrower after the Word web retirement in 2025 and the OneNote web change in 2026. AI output requires review, especially when shared content crosses permission boundaries. Pick Loop if your team already uses Microsoft 365 and values synchronized collaboration over advanced databases or project management.

Read the full Microsoft Loop review

Obsidian logo Obsidian in brief

Obsidian is a desktop and mobile note-taking app made by Dynalist Inc., a small independent company founded by Shida Li and Erica Xu, and first released in 2020. It runs on Windows, macOS, Linux, iOS and Android. Notes live in a vault, which is a folder of plain Markdown files on your device, so they open in any text editor and outlast the app. Obsidian takes no venture capital and calls itself 100 percent user-supported. In February 2025 it made the commercial license optional, and the company says people at more than 10,000 organizations, including Amazon and Google, use it for work. Version 1.15 shipped in October 2026.

Writing happens in a Markdown editor with live preview. Typing double brackets links one note to another, and every note shows its backlinks, so ideas connect without a fixed folder hierarchy. The graph view draws those links as a network. Canvas gives an infinite board for arranging notes, images and web pages, and Bases, a core plugin added in 2025, turns notes with properties into sortable tables, cards or maps that work like a lightweight database. Daily notes, templates and tags cover journaling and task capture. The 1.15 mobile release added voice Quick Capture with live transcription on iOS 26, and PDF export on mobile.

Obsidian's flexibility is also its main drawback. A new vault is a blank editor, and building a useful system takes time and plugin choices. Real-time collaboration is limited compared with Notion, Microsoft Loop or Google Docs, and community plugins vary in quality and security. Notion suits teams that want shared databases and built-in AI. Logseq, which is open source, offers an outliner model with similar local files. Anytype offers local-first, encrypted notes with object-based structure. Pick Obsidian if you want notes that remain usable files in 20 years and are willing to add AI yourself; pick Notion for team wikis.

Read the full Obsidian review

Frequently asked questions

How do Microsoft Loop vs Obsidian compare on price?

Microsoft Loop has a free option, and its first paid plan (Microsoft 365 Business Basic) is listed at $7/user/month. Obsidian has a free option, and its first paid plan (Sync) is listed at $4/user/month. Prices are from each company's pricing page and can change, so check before you buy.

Which has a free plan, Microsoft Loop vs Obsidian?

All of them. Microsoft Loop: Personal users can create up to 250 workspaces, create 50 workspaces per day, and add 1,000 members per workspace. Obsidian: Full app on every platform for personal and commercial use, no account, no feature limits.

Can I self-host or integrate Microsoft Loop vs Obsidian?

None of them is open source. Obsidian can run on your own servers. None offers a public API.

How much does Microsoft Loop cost?

Microsoft Loop has no separately published Loop-only annual or monthly price. Personal web access is free while it remains in public preview. Work access comes through eligible Microsoft 365 subscriptions, including Business Basic at $7/user/month paid yearly from July 2026. Copilot in Loop requires a separate Microsoft Copilot license. Subscription pricing can vary by commitment, market, and renewal date.

Is Microsoft Loop free?

Personal Loop access is free while personal web access remains in public preview. Personal limits include 250 workspaces per user, 50 workspace creations per day, and 1,000 members per workspace. Work and school users need an eligible Microsoft 365 subscription, and administrators can control workspace creation. Personal Microsoft 365 subscriptions do not provide Copilot in Loop.

Is Obsidian free?

Yes. Obsidian is free for personal, commercial, nonprofit, education and government use, with no account and no feature limits. Since February 2025 the Commercial license has been optional. You pay only for add-ons: Sync at $4 a user a month and Publish at $8 a site a month, both billed annually, or an optional $25 Catalyst license.

Does Obsidian have AI?

Obsidian has no built-in AI assistant. AI comes from community plugins such as Copilot for Obsidian, which runs Claude Code, Codex or OpenCode agents in your vault, and Smart Connections, which finds related notes using a local embedding model. Because notes are plain Markdown, coding agents can also edit the vault folder directly.

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