Microsoft is betting that consumers will pay
$10 a month for the new cloud-friendly version of Office. If brisk
business adoption is any indication, Microsoft has reason to hope.
"Home Premium" editions didn't die with Windows 7. Microsoft today
revived the consumer-grade appellation by launching Office 365 Home
Premium, the personal edition of its cloud-enabled productivity suite.
An Office 365 Home Premium
subscription grants users access to the complete Office application
suite across five Windows PCs (Windows 7 and higher) and Macs (OS X
10.5.8 or higher). Skype and 27GB of SkyDrive storage (7GB free, 20GB
additional) are bundled into the package. Microsoft's
software-as-a-service (SaaS) productivity offering is price at $99.99
per year or $9.99 on a per-month basis.
Office 365 Home Premium
includes Word, Excel, PowerPoint, OneNote, Outlook, Publisher and
Access. The software's cloud-aware capabilities allow for roaming
profile settings and file sync and sharing functionality via SkyDrive.
With Office on Demand, subscribers can stream full versions of Office
applications to PCs that don't have Office installed.
In
addition, free Office WebApps sync with your SkyDrive account, so you
can access, view, edit and share your documents, photos and other files
from any Internet-connected device running a supported browser.
Sticking to tradition, the company also floated a lower-cost version
for students called Office 365 University. Aimed at college students and
faculty, it costs $79.99 for a four-year subscription.
The
Office brand is undergoing a transformation as Microsoft continues to
transition from a provider of mainly on-premise and desktop software to a
cloud service provider.
"Transforming from a software maker to
a devices and services company requires us to make big, bold bets and
push our business in new directions, Microsoft CEO Steve Ballmer wrote
in a blog post. "We are incredibly well and uniquely positioned to
delight our customers with stunning new Windows PCs, tablets and phones
that light up with world-class entertainment, communications and
productivity services," Ballmer wrote.
The company is betting
that like a growing number of businesses, consumers will warm to the
SaaS version for one of its most popular and enduring application
suites. Ballmer has reason to be hopeful. Office 365 has gained
significant traction among business users, according to the chief
executive.
He revealed that "since we launched Office 365 for
businesses only 18 months ago, one in five of our enterprise customers
now has the service, up from one in seven a year ago. Smaller businesses
are also choosing Office 365 at a rapid pace, with a 150 percent
increase in the number of small and medium-size businesses using the
service over the past 12 months."
To achieve the same momentum among consumers, Microsoft is hoping to reset the concept of release schedules.
"Microsoft also announced it will now deliver many new features and
services to the cloud first, transforming the company's traditional
three-year release cycle," blogged Ballmer. "Now, new features and
services stream to subscribers as soon as they are ready, keeping
subscribers always up to date while eliminating the hassles of
upgrading."
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