Microsoft's Office 365 Could Validate Cloud Strategy
For quite some time now, Microsoft CEO Steve Ballmer and his executives have been touting an “all in” strategy regarding the cloud.
That strategy predicts a gradual transition from desktop-based software to online subscription services, with businesses eventually paying a set amount per month to store their data and launch applications from Microsoft’s servers. In theory, this benefits businesses by reducing the need for on-premises servers and other IT infrastructure (and spares them the sometimes onerous process of updating their own software, since those updates are ported over the cloud). It also benefits Microsoft by turning customers into monthly subscribers, ensuring a steady revenue stream.
Office 365, released in its final version near the end of June, represents Microsoft’s boldest attempt yet at enacting this “all in” strategy. A rebranding of the company’s BPOS (Business Productivity Online Suite), Office 365 links Microsoft Office, SharePoint Online, Exchange Online and Lync Online into a platform that costs between $2 and $27 per month, depending on options. It comes with an Office 365 Marketplace loaded with productivity apps and professional services.