Tuesday, July 31, 2007

Cannibalizing Office sales??Inevitable...

News about ad supported online version of MS Works has been making rounds on net today,though no official confirmation from Microsoft yet.Why MS Works??Why not Office itself??If it is ad supported,then MS should plan to roll out Word,Excel,Powerpoint online versions with basic functionalities.MS Works basically about home productivity that supports Word,Excel and first released for Mac as desktop application software back in 1985.I use Zoho,Google Docs actively.I use Ubuntu Linux and some times i depend on these online applications,though i use open office on desktop.

Microsoft's Office live service for SMBs doesn't provide online MS office service and the name is very much misleading.Recently MS management reaffirmed their support to Software plus service during company's annual financial analyst day.Ballmer promised click to run server based windows applications.Don't forget, MS earns $250M per week on MS office.So,i don't expect them to cannibalize it with online office suit soonly.

But the time has come now, 'coz Google docs adding 3500 SMB customers per day and the threat is growing for desktop based office.Zoho also adding customers left and right.I am sure that MS will jump into this online productivity market before its too late and recent initiative of online CRM to host business apps is a clear indication.If they roll out, it will be probably included as a part in live services pack.Its 250M windows live hot mail users can use those applications.MS also getting pressure from mainstream corporates to bring a click to run office service,which can be cost saving for corporates.I guess it takes at least one good year for MS before it settles down with its web strategy.Till then tweaks and betas.May be some acquisitions too.

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