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Synology Drive vs SharePoint: Choosing the Right File Platform for Your Business

A balanced comparison of Synology Drive and Microsoft SharePoint for small business file storage. Learn where each platform excels and when a hybrid approach makes the most sense.

Nandor Katai
Founder & IT Consultant
8 min read
Synology Drive vs SharePoint: Choosing the Right File Platform for Your Business

Key Takeaway

SharePoint is a cloud-first collaboration platform optimized for real-time document editing. Synology Drive is a local-first file server optimized for large file performance. Many businesses benefit from using both together in a hybrid strategy.

The choice between Synology Drive and Microsoft SharePoint depends on your specific workflow needs. SharePoint excels at office document collaboration with Teams integration. Synology Drive excels at handling large creative assets with local network speed. This guide provides a balanced comparison to help you decide which platform fits your business—or whether a hybrid approach makes the most sense.

CriteriaSharePointSynology Drive
Best ForOffice documents, Excel collaboration, distributed teamsLarge files (CAD, video), local network performance
Pricing ModelPer-user subscription ($12.50-$22/month)One-time hardware cost + drives
Real-Time Co-AuthoringExcellent (Word, Excel, PowerPoint)Lock-based editing only
AI FeaturesMicrosoft 365 Copilot integrationNone (no native AI)
MaintenanceZero (Microsoft-managed)Requires in-house IT or MSP
Ransomware ProtectionPoint-in-time restoreImmutable snapshots

What is the main difference between SharePoint and Synology Drive?

SharePoint is a cloud-first platform optimized for real-time collaboration, while Synology Drive is a local-first server optimized for large file performance.

Microsoft's architecture streams files on demand, meaning data resides in the cloud until accessed. This enables seamless co-authoring in Office apps but introduces latency for heavy assets. Synology stores files on your local network (LAN), providing fast access for workflows like video editing or CAD, but requires additional setup for remote access.

What is SharePoint?

SharePoint: Collaboration Strengths

  • Real-time co-authoring in Word, Excel, and PowerPoint
  • Native Teams integration for document sharing
  • Microsoft Search indexing across all 365 services
  • Microsoft 365 Copilot AI assistance (2026)

Synology Drive: Performance Strengths

  • 10GbE LAN access for large file workflows
  • Complete data sovereignty on owned hardware
  • No recurring per-user licensing fees
  • Integrated backup via Active Backup for Business

Synology Drive Introduction


Which platform is better for CAD and video editing?

Synology Drive outperforms SharePoint for creative workflows by eliminating cloud latency during file operations.

In a typical architectural workflow, opening a 200MB Revit model from SharePoint requires downloading from Microsoft's servers, creating delays of 30-60 seconds depending on connection speed. A Synology NAS connected via 10GbE opens the same file in seconds. For industries relying on large binary files—such as architecture, engineering, and video production—local storage remains the technically superior choice.

Large File Performance: SharePoint vs Synology

ScenarioSharePointSynology Drive
Opening 200MB CAD file30-60 seconds (cloud download)2-5 seconds (LAN)
Saving large video projectUpload-dependent, risk of timeoutInstant local save
Multiple users, same librarySync conflicts possibleIndependent file access
Internet outageFiles inaccessibleFull local access

SharePoint's Practical Limits

SharePoint technically supports files up to 250GB. The modern OneDrive sync client handles files up to 10-20GB reasonably well with differential sync, though performance depends on your connection speed.

The 300,000 file sync limit is the most common technical reason businesses add Synology to their infrastructure. Once a SharePoint library exceeds this threshold, OneDrive sync becomes unreliable, requiring organizations to restructure their file organization or adopt local storage for overflow.

SharePoint GuidelineThreshold
Max file size250GB
Sync item limit300,000 items
Library recommendationUnder 30,000 files
Path character limit400 characters

Synology Drive's Remote Access Limitations

Synology Drive performance over WAN is limited by your upload bandwidth. With typical business fiber connections (symmetric gigabit), remote users can expect reasonable sync speeds, but performance varies based on:

  • Your office's upload bandwidth capacity
  • Router configuration and port forwarding
  • Distance from the NAS location
  • File size and sync frequency

For distributed teams where most users work from different locations, SharePoint's always-online architecture often provides a more consistent experience.


How does pricing compare: Subscription vs Hardware?

SharePoint follows a recurring monthly operational expense (OpEx) model, whereas Synology represents a one-time capital expenditure (CapEx).

SharePoint: Monthly Subscription Costs

Microsoft 365 pricing includes email, Teams, Office apps, and SharePoint storage:

PlanPriceStorage
Business Basic$6/user/month1TB/user
Business Standard$12.50/user/month1TB/user
Business Premium$22/user/month1TB/user

Example: 10 users over 5 years (Business Standard)

  • 5-Year Total: $7,500
  • Includes: Email, Teams, Office apps, SharePoint storage

Many businesses already pay for Microsoft 365 for email and productivity apps, making SharePoint storage effectively included at no additional cost.

Synology Drive: Upfront Hardware Investment

ComponentCost
Synology DS925+$630
4x 8TB Seagate IronWolf HDDs~$480
Initial setup (if using MSP)~$500
Annual maintenance~$600/year
Drive replacement reserve~$200
5-Year Total~$4,810

Additional considerations:

  • Professional setup recommended for non-technical teams
  • Hardware requires physical space, power, and cooling
  • Drives will eventually fail and need replacement
  • Offsite backup (Synology C2 or second NAS) adds cost

Cost Context

Don't compare raw numbers without context. Microsoft 365 includes email, productivity apps, Teams, and storage. Synology provides only storage. Most businesses need both types of services—the question is whether Synology replaces SharePoint storage or supplements it.


What are the AI and security differences?

Microsoft 365 Copilot brings AI assistance to SharePoint documents, while Synology offers superior ransomware protection through immutable snapshots.

AI Integration: SharePoint vs Synology

AI FeatureSharePointSynology Drive
Document AIMicrosoft 365 Copilot (summarize, draft, analyze)None
Search AISemantic search across 365Basic keyword search
Photo AINoneSynology Photos (cloud-processed)

Microsoft 365 Copilot represents a significant advantage for SharePoint in 2026. Users can ask Copilot to summarize documents, draft content, and analyze data directly within SharePoint-stored files. Synology has no equivalent native AI for document workflows.

Ransomware Protection: SharePoint vs Synology

Protection FeatureSharePointSynology Drive
Version history500 versions, 93-day defaultConfigurable retention
Point-in-time restoreYes (easy for end users)Yes
Immutable snapshotsLimitedFull WORM support
Offsite backupBuilt-in (Microsoft cloud)Requires C2 or second NAS

Synology's immutable snapshots are a critical differentiator for ransomware defense. These write-once-read-many (WORM) snapshots cannot be modified or deleted, even by administrators or ransomware with elevated privileges. SharePoint offers point-in-time restore that is easier to use but lacks the same level of protection against sophisticated attacks that compromise admin credentials.


SharePoint vs Synology: Feature Comparison

SharePoint Pros and Cons

Pros:

  • Real-time co-authoring for Word, Excel, PowerPoint
  • Native Teams and Outlook integration
  • Microsoft 365 Copilot AI assistance
  • Zero infrastructure maintenance
  • Compliance tools (eDiscovery, retention policies, DLP)
  • Consistent experience for distributed teams

Cons:

  • Per-user recurring costs add up over time
  • 300,000 file sync limit causes issues for large libraries
  • Performance degrades with very large files
  • Permission management can become complex

Synology Drive Pros and Cons

Pros:

  • High-speed LAN access for large files
  • No per-user licensing fees
  • Complete data sovereignty
  • Immutable snapshots for ransomware protection
  • Integrated PC/server backup
  • Works offline without internet

Cons:

  • No real-time co-authoring
  • Requires IT expertise for setup and maintenance
  • Remote access limited by upload bandwidth
  • No native AI features
  • Hardware eventually needs replacement

Can you use SharePoint and Synology together?

Yes, a hybrid approach allows businesses to use SharePoint for administrative documents and Synology for production files.

This strategy segments data by type. Administrative teams (HR, Finance) utilize SharePoint for real-time co-authoring in Excel and Word. Creative or engineering teams map a Synology NAS as a local network drive for fast access to design assets. This prevents large media files from consuming SharePoint sync bandwidth.

Hybrid Implementation Strategy

In SharePoint:

  • HR documents, policies, handbooks
  • Finance spreadsheets and reports
  • Sales proposals and contracts
  • Documents requiring real-time collaboration

On Synology:

  • Video production files and project assets
  • CAD files and engineering drawings
  • Photography archives and RAW files
  • Database backups and system images

Making It Transparent to Users

  1. Mount Synology as a network drive (Z:\Projects or similar)
  2. Keep SharePoint synced via OneDrive (Documents folder)
  3. Simple rule: "Large project files → Z: drive. Documents → normal save."

Who should choose SharePoint?

SharePoint is the right choice for businesses that prioritize real-time collaboration and use Microsoft 365.

Best fit:

  • Work primarily involves office documents (Word, Excel, PowerPoint)
  • Distributed teams working from multiple locations
  • Real-time collaboration is essential
  • Already paying for Microsoft 365 for email
  • Zero infrastructure maintenance preferred
  • Compliance features required (legal, financial, healthcare)

Industries: Law firms, financial services, consulting, sales organizations.

Who should choose Synology Drive?

Synology Drive is the right choice for businesses with large file workflows and centralized offices.

Best fit:

  • Work involves large files (video, CAD, design assets)
  • Most team members work from one or two locations
  • Eliminating recurring storage fees is a priority
  • Data sovereignty and local control matter
  • IT resources available for on-prem hardware
  • Integrated local backup needed for workstations

Industries: Architecture firms, video production, engineering, creative agencies.

Who should choose both?

A hybrid approach is optimal for businesses with mixed workflows across multiple departments.

Best fit:

  • Mixed workflows (admin documents + creative assets)
  • Different departments with different needs
  • Safety net of local + cloud storage desired
  • Budget allows NAS investment while keeping Microsoft 365

Final Verdict

The Right Choice for You

SharePoint wins for: Office document collaboration, distributed teams, Microsoft 365 integration, and AI-powered productivity with Copilot.

Synology Drive wins for: Large file workflows, local network performance, data sovereignty, and ransomware protection with immutable snapshots.

Hybrid approach: Many effective IT environments use SharePoint for admin/finance documents and Synology for production/creative assets. This matches each platform to its strengths.

Neither platform is universally superior. SharePoint excels at cloud collaboration and AI integration. Synology Drive excels at local performance and data control. The right choice depends on matching your workflow needs to each platform's strengths.



This comparison reflects current product offerings and pricing as of January 2026. SharePoint features reference Microsoft 365 Business plans. Synology Drive features reference DSM 7.3 on Plus series models. Pricing and features may change.

Affiliate Disclosure: This article contains affiliate links. If you make a purchase through these links, we may earn a small commission at no extra cost to you.

Topics

synology drivesharepointfile storagecloud vs localbusiness collaborationmicrosoft 365private cloudnas

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Nandor Katai

Founder & IT Consultant | iFeeltech · 20+ years in IT and cybersecurity

LinkedIn

Nandor founded iFeeltech in 2003 and has spent over two decades implementing network infrastructure, cybersecurity, and managed IT solutions for Miami businesses. He writes from direct field experience — every recommendation on this site reflects configurations and tools he has tested in real client environments. He is also the creator of Valydex, a free NIST CSF 2.0 cybersecurity assessment platform.