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Dataverse · May 27, 2026

Dataverse or SharePoint: Where to Store Your App's Data

You're starting a Power Apps app, and very quickly the question comes up: where do I put my data? Two answers come back every time: SharePoint or Dataverse. Both work, but not for the same situations. Here's how to choose, plus one technical threshold to keep in mind.

SharePoint, the natural place to start

A simple app, a handful of users, lists that aren't too interconnected: SharePoint does the job nicely. It's included in Microsoft 365, quick to set up, and for many cases, it's more than enough.

The limit nobody mentions

A SharePoint list enforces a view threshold limit of 5,000 items. Below that, everything is fine. Above it, queries get temperamental and filters can break if the column isn't indexed. Many apps hit this wall after a year of accumulated data. If your table is going to exceed a few thousand rows, that's a strong signal pointing to Dataverse.

Dataverse, when things get serious

Dataverse is a real database built for business needs. You move to it when:

  • your data is interconnected (customers, orders, line items);
  • you need fine-grained security, per row or per field;
  • the volume is going to grow and performance matters;
  • the data is critical and has to last.

Bonus: Dataverse is the common foundation for Power Apps, Power Automate, Power BI, and Copilot. Your data at the center, your tools around it.

Pro tip. The real trade-off isn't technical, it's financial. SharePoint is included; Dataverse requires premium licenses (roughly 18 to 20 dollars per user per month). Ask this question right at the scoping stage, never midway through the project. Migrating from SharePoint to Dataverse partway through is expensive and blows up the schedule.

Key takeaways

  • SharePoint for the simple and the lightweight, and it's included.
  • Watch out for the 5,000-item threshold on SharePoint lists.
  • Dataverse the moment data is interconnected, critical, secured, or large.
  • The choice carries a license cost: decide it during scoping.

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