Interesting. However Microsoft had Azure Information Protection in Outlook for ages... It is good that there is competition finally. Microsoft is slacking at implementing S/MIME in new Outlook which is a blocker for an IT dept. of company I work for to switch from old Outlook to new Outlook. Maybe after this they will finally implement it.
May not come soon enough for some people https://www.theregister.com/2025/04/02/waltz_gmail_security/
This "The Register" article is very misleading. Google is not offering an E2EE (end-to-end encryption), but a CSE (client-side encryption). They are completely different. In E2EE, nobody in-between can read the message, but in CSE the IT admin has access to the encryption keys and can intercept, read and revoke the email. Here is Google's description of the difference between E2EE and CSE. Here is a more balanced article from Verge on this topic.