Thursday, August 31, 2006

Microsoft won't let Google in without fight

If Google Inc. and Microsoft Corp. weren’t already at each other’s throats, Google’s move into the lucrative office market this week has put the two high-tech giants at war.


After much speculation, Google introduced Google Apps – a package that includes its e-mail, calendar, instant-messaging and Web site creation services. Later this year, Google plans to offer word processing, spreadsheet and collaboration tools.


Although pricing has yet to be announced, Google Apps will be sold to corporate users while being free for individuals.


For Google, the launch of a Microsoft Office-like suite is an aggressive strategic move that is part of the company’s efforts to diversify its revenue and profit growth from the ultra-successful AdSense program.


The Office market is enormous so it represents a huge opportunity for anyone willing to take a crack at breaking Microsoft’s stranglehold on the business.

source

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