I did not use iWork, but… Office 365 only useful feature is OneDrive 1 TB storage, which I use to backup stuff with Arq. And it works properly not always, giving wide range of errors, which Arq developer say is on Microsoft end.
With addition of Copilot, Word/Excel became barely usable, with copilot squeezing from every hole, which is annoying. Some shortcuts are not Mac-like and confusing a bit.
I’d stay away from it, perhaps. And price increase to 130/year for Family plan is not worth it.
Like @mcdoma and @Christian, I have an M365 subscription for the family. Only yesterday I switched to have Excel as the default app for .csv files after wasting several minutes trying to add a full row set of filters to a file (a 1-click process in Excel). As several people noted, the base apps are not heavy duty for a power user. Are the MS apps overkill with features for some things, sure. But as a long time user (since Word and Excel 1.0 on the Mac), I get almost everything done way faster. The one exception where Pages beats Word or even PowerPoint hands down is for layout - Pages has great lightweight, easy to use layout documents that are a total pain to do in Word.
So, to the original question, no, not crazy. And I’m not a subscription fan either.
Well, what did you decide to do?
No decision. There is no hurry, the work is getting done. 