Office 365 is being used across a couple of small business that I maintain. One business, a law firm, uses Office 365 to not only use the various Office applications (Word, Excel, etc.) but as well as a domain host for e-mail. Office 365 can connect with a personal (or business) domain to provide e-mail services and other domain hosting services. Other businesses I manage are simply using Office 365 to access both the web and desktop based Office applications.