Office is very much not a problem. LibreOffice has UI plugins that arrange everything in a standard Office pre-365 layout. I've been using it for years and I can't recall a single time I've ran into any issues. I think Excel macros are where the start of dealbreakers begin, which is a niche issue. 90+% of Office users won't hit that wall.
Second, the EU has been pouring money into an OpenOffice fork for official use and replacement of Office 365 for a while. https://office.eu/
This is a great replacement for Office Online and Onedrive, but will it work as a standalone desktop application that stores files to by home directory?
The 10% excel sheets are exactly the problem. You can replace 90% or even 99% with either some online simpler office suite or none at all. But it will turn out there are business critical things running in 2003 format excel sheets with macros and if anything stops working then the organization stops working. The person who made these sheets and macros has retired 20 years ago and "updating it" would require making a dozen little applications to replace them which would be a huge task.
The simple/cheap answer I think is to just keep the power users and legacy systems on the tools they need/want. Because that's where the pain point is that cause these projects to fail. If you aim for 100% you'll end up with 0% eventually. If you aim for 90%, you can do it.
But Microsoft know this, and would make sure that a 90% migration saves you much less than a 100% migration. Which is why this is so rare still.
(I think the number is probably 99% not 90%, but the point is the same)