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VCU INFO 658 - Microsoft and Adobe

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Microsoft puts Office on the Web, Adobe FollowsIn line with its software and services strategy, Microsoft has announced Office Live Workspace, a new Web-based feature of Microsoft Office.John Ribeiro, IDG News ServiceStoring Files on the Internet, Microsoft StyleMicrosoft puts Office on the Web, Adobe FollowsIn line with its software and services strategy, Microsoft has announced Office Live Workspace, a new Web-based feature of Microsoft Office.John Ribeiro, IDG News ServiceSunday, September 30, 2007 11:00 PM PDTIn line with its software and services strategy, Microsoft on Monday announced new services such as Microsoft Office Live Workspace, a new Web-based feature of Microsoft Office that lets people access their documents online and share their work with others. The new strategy departs from the company's current model of selling licenses for software that runs locally on computers, and takes it a little closer to competitor Google which offers online versions of its productivity applications suite Docs, which includes spreadsheet, word processor and presentation software.Another competitor, Adobe Systems announced Monday that it has signed a definitive agreement to acquire Virtual Ubiquity in Waltham, Massachusetts and its online word processor, Buzzword. Adobe also added a new file sharing service to its current online document services. Codenamed Share, the beta service will make it easier for people to share, publish and organize documents online, the company said. Buzzword was built with Adobe Flex software and runs in the Adobe Flash Player.The announcements by Adobe and Microsoft signal the online office productivity market is heating up. IBM Corp. announced last month its Lotus Symphony productivity software, which boasted 100,000 downloads in its first week of availability. The software is based on open-source office productivity software from OpenOffice.org, and is available as software running on the desktop only.Microsoft's Office Live Workspace is currently in a beta phase, and open to any user to register. Available free, Office Live Workspace is among the first in a new wave of online services from the company. Users can save more than 1,000 Office documents to one place online and access them through the Web, and share the documents with others in a password-protected, invitation-only online workspace. Other users who don't have a desktop version of Office software can still view and comment on the document in a browser, Microsoft said. If users want to edit the text, they must open the document using an installed copy of Office.Microsoft also announced Monday it will sell its Exchange, SharePoint and Communications server software as online services over the Internet to enterprises with 5,000 or more users. The company also opened Monday Exchange Labs, a research and development program for testing next-generation messaging and unified communications capabilities in high-scale environments. The Exchange Labs program will initially include select universities and school districts.October 1, 2007Storing Files on the Internet, Microsoft Style By STEVE LOHRMicrosoft is moving to deliver more software technology over the Internet as a service, forced to follow an industry trend led by Google, its newest archrival. But its strategy is a careful balancing act, adding Internet services without offering online versions of its most lucrative desktop products like Word, Excel and PowerPoint.Microsoft is making announcements today that it plans to offer a free service, called Office Live Workspace, that will allow people to store, access and share documents online. A user will be able store up to 1,000 documents on a workspace on the Web. But a Word or Excel document in the online workspace can be edited only if the user has bought Microsoft’s Word or Excel software. “The ideal case is where a person has Office,” said Rajesh Jha, a vice president for Microsoft Office Live products.In an offering for larger companies, Microsoft will host the data center software for e-mail, workgroup collaborationand instant messaging and provide those as online services to corporate customers with 5,000 or more users of Microsoft Office desktop software, a product second only to Windows as a profit maker for the software giant.Microsoft has long had online services for consumers, including its Web-based e-mail, Hotmail, and instant messaging service known as Windows Live Messenger. Last year, the company introduced an online service for small businesses, providing them with their own Web sites and e-mail accounts. It also has a customer relationship management service, Microsoft Dynamics CRM, which competes with Salesforce.com, another leader in the software-as-services trend.The moves by Microsoft, analysts say, represent an effort to quicken the company’s pace in Internet services. “Microsoft is recognizing that it needs to be seen as a fast follower in this space, and now it is seen as a slow follower,” said David M. Smith, an analyst at Gartner, a market research firm.Microsoft describes its strategy as “software plus services.” Increasingly, industry analysts say, software will be a blend of online and offline abilities. Google, for example, introduced programming tools called Google Gears in May to help people use its Web-based applications like e-mail and word processing when a user is, say, on an airplane. Yet Microsoft champions a vision of Web-based services that is firmly moored in the company’s mainstay products. Office Live Workspace, for example, can be used by anyone with a browser for tasks, ranging from a business team jointly drafting a sales proposal to a family sharing and updating a household calendar. (Individuals can sign up for aworkspace at www.officelive.com, though the service will not begin until later this year.)Microsoft has so far resisted the advice of some industry analysts and company insiders who say Microsoft should offer simple, online versions of its most popular desktop applications like Word and Excel. It would be better for Microsoft, they say, to offer those alternatives itself than to allow rivals to seize this emerging market.Indeed, Google began offering its Google Apps to business customers this year. Today, hundreds of thousands of small businesses use the Google bundle of online applications that include a word processor, spreadsheet, e-mail, calendar and instant messaging, and dozens of large global corporations are


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