This is a question that has been answered many times by many experts but one that I still get on a recurring basis. So let’s revisit the differences between the two and decide when we should use which.
Deciding between Dataverse and SharePoint Lists for your project boils down to four key factors: complexity, security, scalability, and cost. While Microsoft 365 makes it easy for users to create apps with SharePoint, Dataverse offers a more robust solution for complex needs.
Here’s a quick guide to help you decide.

Key Differences at a Glance
feature | dataverse | sharepoint Lists |
best for | Complex, enterprise-wide applications | Simple, internal team-level apps & forms |
cost | Premium. Requires specific licenses & storage costs extra. | Included with most Microsoft 365 plans. |
data Structure | True relational database. Easily link tables together. | Simple lists. Cannot create relationships between lists. |
security | Granular & robust. Role-based security controls access down to the field level. | Broad. Permissions are managed at the site or list level, making item-level security difficult. |
scalability | High. Built to handle large datasets and complex operations efficiently. | Limited. Subject to view threshold limits (around 5,000 items), which can impact app performance. |
ease of Use | Requires more technical knowledge to set up and manage. | Very user-friendly, great for “citizen developers.” |

When to Use SharePoint Lists
SharePoint is the perfect choice for straightforward, internal processes. It empowers users to build their own solutions quickly without needing extra licenses or deep technical skills.
choose sharepoint when:
- You are building a simple app for a single team or department.
- Budget is a primary concern, and you want to leverage your existing M365 license.
- Your data is simple and does not require complex relationships.
- The app is for a limited number of users and won’t handle massive amounts of data.

When to Use Dataverse
Dataverse is the foundation for the Power Platform and is designed for building scalable, secure, and complex business applications.
Choose Dataverse when:
- You are developing a mission-critical, enterprise-wide application.
- You need strict, granular security to control who can see and edit specific data.
- Your solution requires a relational database to manage complex data relationships.
- The application needs to scale to support many users and large volumes of data without performance issues.
- All users of the application will have the necessary premium licenses.
What do you think? Which one would you choose and why?
Stay ahead with the latest insights and articles —follow ollo on LinkedIn for expert tips on SharePoint, Dataverse, and the Power Platform.
Leave a Reply