The question is whether you are buying mail or buying a suite
Workspace Business Starter is $7 per user per month on an annual term — $420 a year for five people. That number is not a mail price. It is mail, calendar, video, documents, spreadsheets, shared storage and an admin console, sold as one seat, and if a team uses that seat it is good value.
Fastmail does not try to be that. It is a mail service with a calendar and contacts attached, made by people who have been running mail for over twenty years, and the product it competes with is not Workspace as a whole — it is Gmail, on its own, unbundled from the rest of the invoice.
That makes the comparison less about features than about what you replaced. Teams who moved their documents to Notion, their calls to Slack or Zoom and their files to Dropbox, Figma and GitHub are still paying office-suite prices for the one part they kept.