Microsoft To Enter Hosting Business 206
TM84 writes "InformationWeek reports on Microsoft's latest revenue plan. Within one year the company plans to offer hosting implementations of Sharepoint as well as CRM and ERP applications." From the article: "One thing is certain: Microsoft is exploring myriad ways to deploy and charge for software, ranging from subscription models a la MSN to easier ways for companies to buy incremental products not in their current Enterprise Agreements. Some industry observers liken the hosting move to the 'turn on a dime' shift that Microsoft executed years back when it discovered the Internet. When asked which other products and services Microsoft would host, another Microsoft insider said, 'Everything. Hosted Office. Everything hosted.'"
MS Reactionaries - the next big thing (Score:5, Insightful)
Re:MS Reactionaries - the next big thing (Score:2, Interesting)
What exactly is wrong with implementing a good idea, regardless of who came up with it?
Re:MS Reactionaries - the next big thing (Score:4, Insightful)
This shouldn't have to be explained, but when a person or entity can only steal ideas, that means they ran out of ideas. When a company runs out of ideas, the shark is jumped and the decline begins. Thus, we're witnessing the beginging of the end of Microsoft as a relevant force in the computer industry.
"What have OSS developers come up with on their own lately?"
A bullet-proof OS that NEVER gets viruses, spyware, etc. We could only dream that Microsoft would follow that lead!
Re:MS Reactionaries - the next big thing (Score:2, Insightful)
Linux is no more resistant to spyware than Windows, and viruses are only significantly different in a multiuser context (which isn't what most desktop installs are). Calling it bulletproof is entirely untrue.
the next big thing : MS Pro-Active Security Model (Score:3, Funny)
We are happy to announce that, in addition to providing hosting services for our customers, we decided to integrate a first class security model on the server to preclude any hacking worries.
The system, as the front line ms system on your network, will also manage all security related matters - anytime an attack will occur, this system will be the first to fold! Because we implemented it so well, we can garantee that the system will then resist all effort to bring it back online, even if you
Re:the next big thing : MS Pro-Active Security Mod (Score:2)
Hahahaha. Quite. This is part of the reason that people are trying to make program problems chargeable to the authors of a system — closed-source systems and the flexibility of computers give people endless opportunities that don't fit into the normal laws for suitability of a product.
Re:MS Reactionaries - the next big thing (Score:3, Insightful)
A bullet-proof OS that NEVER gets viruses, spyware, etc. We could only dream that Microsoft would follow that lead!
You're correct that calling Linux bulletproof is untrue - however Linux is far more resistant to spyware and viruses then Windows - as desktop PCs are multiuser (I guess you don't have kids
Re:MS Reactionaries - the next big thing (Score:2)
Agreed, using Windows multiuser in this way works too, however, but obviously the Administrator account either has to have limited access, or the person using it has to be a bit more careful.
As for corporate uses, I count that as a different area than "desktop" (correctly or not). By desktop I mean "home", if I was meaning corporate I'd say "workstation". But on the other hand in a corporate context it's not really any safer since there is (or should!) be controls put on user accounts, and there are framew
Re:MS Reactionaries - the next big thing (Score:3, Insightful)
However one of them gives you out of the box protection of a burlap sack and the other gives you at least a standard kevlar vest.
Sure, they can be both penetrated by a
Given the option I'll take the kevlar vest.
Re:MS Reactionaries - the next big thing (Score:3, Insightful)
Re:MS Reactionaries - the next big thing (Score:2)
Re:MS Reactionaries - the next big thing (Score:2)
I agree
I disagree. Well, not really, but there's no effective difference. People who can use UNIX or Windows will know where to look. People who can't will not.
Re:MS Reactionaries - the next big thing (Score:2)
To clarify I am not talking in terms of the user I am speaking about the tools. The "best" spyware removal tools are ~90% effective on windows, I think they can do better in a Unix environment.
Re:MS Reactionaries - the next big thing (Score:2)
I'm not sure — I mean, they'll need to install to the user's home dir somewhere probably, but you'll still end up using signatures and so on to detect specific pieces of software, which is where it all falls down, to some degree. The problem's more identification, as opposed to just finding the files.
Possibly, though.
Re:MS Reactionaries - the next big thing (Score:2)
Maybe that just means the target audience of Linux users are just less likley to click "Yes" on the dialog box "Is it ok to install 'this random application you have never seen before'?".
Re:MS Reactionaries - the next big thing (Score:2)
Re:MS Reactionaries - the next big thing (Score:2, Insightful)
You must've missed the linux mozilla site in korea infection the other day. Yes it's rare, but so is linux. People say the numbers of users correlation to infection idea is flawed, but they're proof is never convincing.
"This shouldn't have to be explained, but when a person or entity can only steal ideas, that means they ran out of ideas. When a company runs out of ideas, the shark is jumped
Re:MS Reactionaries - the next big thing (Score:2)
I'm sure plenty of people will give you examples, but the correct answer is that OSS developers don't need to.
Computer users have given Microsoft more than sixty billion dollars for their operating system software over the past ten years. The cost of production of Windows is close to zero, the same cost as OSS software which you can get for free. What we've been paying Microsoft for is their development costs, and if development and innovation fr
Re:MS Reactionaries - the next big thing (Score:5, Insightful)
Re:MS Reactionaries - the next big thing (Score:4, Informative)
Of course, with billions in the bank and their core businesses still sucessful - they can afford to do this. But for how long? I doubt with this (lack of) leadership, they'll innovate anything in the next 10-15 years. Though the one big sucess with this tactic was that they had was the Xbox, though I argue that this was a natural outgrowth of the PC/OS business, but at least they have a decent games division for it.
The reason they do this is mentioned previously: cash in the bank - it wants to flow places and be put to use. However, I think Google has the better idea with employees playing around in their spare time and from that new business ideas get implemented.
I'm sure enough people at MS are just as smart but the management is stifling them because they are too scared and want to protect the core businesses. Thus any 'new' business ideas are reactionary - the managers are reacting. Not acting on their own initiative.
The follower not catching up anymore (Score:2, Interesting)
MS has always been a follower. Their lack of vision is nothing new, but I suppose that's why the PR team has been out prasing Chairman Bill's as a visionary. How much of a visionary can you be when your company/political movement is based on the fast follower strategy?
More interesting question for me is why the sudden need for more
Re:MS Reactionaries - the next big thing (Score:3, Insightful)
Every product I've ever worked on has taken months if not years of business cases, planning, design and management before it is even mentioned to the public.
I find it highly doubtful (although possible) that a company like Microsoft, hell any big company, would just announce they too are doing something
Re:MS Reactionaries - the next big thing (Score:5, Interesting)
Nothing new here.
+555555555 Insightful (Score:5, Insightful)
Re:MS Reactionaries - the next big thing (Score:3, Insightful)
Someone announced it first, and MS are making an attempt at keeping up. Seems sensible from a business context, although yes, it's "reactionary", however this:
Any idiot could tell you
Re:MS Reactionaries - the next big thing (Score:2)
Spot on. THis is totally true of ClearType: there were some font-improvement and sub-pixel hinting idea kicking around out there, and MS brought them together and built a nice usable engine for them. Kudos. .NET is an interesting amalgam. It definitely borrows very heavily from Java (C# is so Java-esque it'
Re:MS Reactionaries - the next big thing (Score:2)
Monad apparently has registry support. I think that the registry deserves a chance though, it is distributed and recoverable these days, although I'm not sure if how that is done is immediately obvious. And if the registry is a "performance bottleneck", I'd think it was being used improperly. I like the idea of the registry, and I don't think that there's a fundamental problem with the idea that is a problem, although its implementation has been and is shoddy in many ways, although it is improving.
Other th
Re:MS Reactionaries - the next big thing (Score:2)
But there's
Re:MS Reactionaries - the next big thing (Score:2)
Possible, yes, but the problem is that to have a semantically-powerful enough syntax, you'd end up with something (as a minimum) that's not easily manually fixed when it dies anyway, like XML. Everything's a tradeoff though.
Re:MS Reactionaries - the next big thing (Score:2)
Re:MS Reactionaries - the next big thing (Score:2)
Indeed, that system is getting a bit complicated in itself, though. You might end up better with a centralised system that is internally and silently decentralised, rather than a decentralised system which is centralised externally anyway. But yes. Wildly off-topic. :)
hosting maybe (Score:2)
I guess it is slashdot, for every valid argument that are a million others that just dont make any sens
Re:MS Reactionaries - the next big thing (Score:2)
Uhhh... yeah. You must be new here...
Re:MS Reactionaries - the next big thing (Score:2)
Hmmm. A "reactionary" is somebody who opposes progress... I think you mean "reactive"
In any case, Microsoft is simply a company that understands competition, and has its own style that's worked well for it over the years. I coach a little martial arts. Once people get over the cringing stage, there are three characters of fighther: aggressors, runners, and counter-punchers. Microsoft is a counter puncher, whihc means they are reactive and opportunistic. Counter punchers don't like to attac
Way to shaft your partners, Microsoft! (Score:5, Interesting)
But then, we partners cant say "Hey, if we host you, we'll knock off 30% on that Open Licence Agreement". Thank you, Microsoft. If for anything, just for tossing a big FUD ball into the pool.
Re:Way to shaft your partners, Microsoft! (Score:3, Insightful)
"Partners", from Microsoft's perspective, has always just meant "learn from them so that you can do what they do better."
This is true since the mid-80s: witness Apple. They partnered until they learned enough to do it their own way, and then dominated the market. They've done it dozens of times since.
That you didn't see this coming really is your own fault. Do you think that Microsoft thinks it has "peers" in anything? No. They see themselves as the big fish in a big pond, and if you haven't been eate
Cant agree completely (Score:2)
Re:Cant agree completely (Score:2)
That's essentially Microsoft's modus operandi. It provides technology that can be used to build cool things, and it then waits for someone else to actually have the ideas and do the work. Once Microsoft's "partners" have determined, through trial and error generally, what businesses are the most profitable Microsoft swoops in and takes the business. Microsoft's partners are essentially doing market research for Microsoft. If the partners become successful enough to catch Microsoft's attention they are d
Re:Way to shaft your partners, Microsoft! (Score:2)
Microsoft is a commercial enterprise, ofcourse they will try to earn as much money as they can, and if hosting is one of the ways to go, why not? It makes sense.
People here are so blinded by hate they forget it's a company, not just a NGO or research institute.
Reality check (Score:2)
Re:Reality check (Score:2)
Well, they already are in the hosting business... (Score:3, Funny)
"Everything hosted" (Score:4, Funny)
FINALLY
Do hosting companies have a survival instinct ? (Score:5, Insightful)
The situation should be comparable to when pepsi decided to get into the restaurant business and handed coke a great marketing tool. And it now seems, that the only fast food places that serve pepsi are owned by pepsico.
Re:Do hosting companies have a survival instinct ? (Score:5, Insightful)
Just a matter of numbers (Score:2, Insightful)
The question for many of the hosting companies is whether or not Microsoft will enter their specific niche by introducing their own
Re:Just a matter of numbers (Score:2)
Yes, Microsoft's hosting partners are paying a bundle in licensing fees. But, they-the hosting companies-are making it back plus a substantial profit. This is just a classic cut out the middleman move. Microsoft will charge a bit less than the current hosting companies can and will will still make the licensing fees plus the profit that the hosting companies previously enjoyed.
Granted, but it's not obvious that destroying fruitful business partnerships by entering into direct competition is necessarily m
Saturated Market (Score:5, Insightful)
Anyway, to sum up, this looks like another example of MS entering a market too late to make much impact. Just my 2cents.
Re:Saturated Market (Score:2)
Once upon a time it was "embrace and extend", now it's "saturate, diffuse, and confuse".
Re:Saturated Market (Score:2)
The answer is there is almost no advantage for customers. The only thee advantages I can see in hosting things like office on the web:
- if you move around a lot, and you are not taking an office suite enabled computer, laptop, PDA or cellphone, with you, then you would have access to your documents and office suite as you move.
- you get regular updates though its open to debate if you actually want regular updates since most people want office
Re:Saturated Market (Score:2)
Market share != income. The market is pretty much saturated for those products (office/os) unless MS can edge their way into some 3rd world countries (China etc...), areas that are familiar with MS but not familiar with paying for MS products.
True, the hosted application market is completely saturated. Plus, going up against all those established big boys like....
Let me finish that sentence for you
Hosted Office? (Score:3, Interesting)
"Microsoft's hosting push is expected to target the gamut of users--including small companies with five to 10 PCs and no dedicated IT staff--who may want to do things like share calendar items but not worry about how that is accomplished."
Couldn't an undergrad CS student develop an app that could do this for said small IT company.
Re:Hosted Office? (Score:2)
Re:Hosted Office? (Score:2, Informative)
Re:Hosted Office? (Score:2)
After thinking about it a bit... what advantage does a shared electronic calendar offer an office with only 5-10 computers? Couldnt a whiteboard handle all the calendaring they would need?
Bah... whiteboards! A pen and paper is all they need. No, scratch that, a piece of flint and a big rock to carve on. An replace e-mail with pidgeons.
Re:Hosted Office? (Score:2)
Re:Hosted Office? (Score:3, Interesting)
I think what it means is that, if you don't want to buy Office outright (for example), you can pay a small monthly or yearly fee and use it online. For home users, not a big deal, but for a business it could be really handy. No need for local installs, just a web browser. Built-in easy document sharing. The license costs would be split into monthly payments, so it's more affordable for smaller companies who live
Re:Hosted Office? (Score:2)
I agree that there will be a monthly or annual fee. Although a pay-as-you-go plan at, say, $0.03.minute might also be interesting. (Of course, it's bad enough when I forget to hang up my cell phone; just imagine keeping a web browser window accidently open
The REAL question (Score:2)
No
Cool (Score:4, Insightful)
Isn't this what a lot of other companies like IBM are doing anyway? "Heres your software. What you don't want to run it yourself? Thats fine, we've got this nice shiny datacenter here, we'll take care of it for you!"
Re:Cool (Score:2, Insightful)
Re:Cool (Score:2)
Sure, but IBM's been doing hosted computing services since before Bill Gates dropped out of college. They have generations of expertise. I see no reason to trust that Microsoft's attempts to enter the market will be business-ready out of the gate, or possibly ever. Not with their product history.
Re:Cool (Score:5, Funny)
How can you say that? They've got certifications and everything ;-)
Everything hosted? (Score:4, Funny)
From the article (Score:4, Interesting)
"Ozzie, the former chairman of Groove Networks, has been charged with leading Microsoft in this area." If only that was a criminal charge.
Elsewhere: "How much competitive advantage does e-mail give any company? Wouldn't those internal IT resources be better deployed elsewhere?" said one Microsoft source, who asked not to be named.
You mean, you won't need to buy email server software and support from MS?
Re:From the article (Score:2)
ask yourself this one simple question... As a business, do you really trust Microsoft not to peek at your confidential emails etc.??? If your data is hosted on their servers, then it isn't your data anymore.
Which insider ? (Score:5, Funny)
But isn't that insider a newly hired, "lower-level business person" who did not understand the company's obligations ?
Microsoft Hosting (Score:2, Funny)
Just another step (Score:5, Interesting)
From the MS POV, it is very difficult to pirate a hosted app and makes it easier to enforce EULA clauses along the lines of You may not use the Software in connection with any site that disparages Microsoft, MSN, MSNBC, Expedia, or their products or services (FrontPage 2002).
Personally, I don't think that the company that allows "low level" employees to announce company-wide projects that violate anti-trust agreements without review by upper management can be trusted with confidential and sensitive documents that I create. But that's just me.
How about "Hosted Windows" (Score:5, Insightful)
Of course if MS can provide Hosted Windows then Google could provide hosted whatever (GLinux?) and things would get interesting.
This has sort of been an on/off thing with MS (Score:5, Insightful)
The reason? Some new exec ( I'm guessing ) dreams up a way of sustainable yearly revenue, only to find that people's network connections aren't good enough yet. Sure, in the redmond area I'm guessing their inet connections are as solid as t1s, but the rest of the country is severely lacking in even enough bandwidth to pull this off, nevermind the reliability of the line.
This is an idea before it's time, and quite frankly, the implementation would appear to leave much to be desired. Not only that, but are still a ton of security considerations to take into account.
Re:This has sort of been an on/off thing with MS (Score:2)
South Korea gets trotted out as being "advanced" because they have lots of apartment complexes with 10 meg fiber to every apartment.
The US isn't ready for this stuff yet I think. Especially since most of the protocols for MS networking (file shares and such) are dirt slow once you get below the 10 megs of available traffic space. Ever try running a share across a T1 line? It doesn't work to
Re:This has sort of been an on/off thing with MS (Score:2)
That must be nice for you. Most of us, however, don't live in an area where fiber is available for anything less than 2grand a month. And the t1 I have out here is flaky, for a t1. Typically, about 1 outage a month.
I thank you for your reply however, as it shows the mentality of an MS exec I was referring to.
Yes, of course... (Score:2, Funny)
Could be a big mistake by Microsoft (Score:4, Insightful)
Microsoft or some 3rd party? (Score:4, Interesting)
Outsourcing seems the way to go. Let a knowledgeable company or group of companies run and maintain your apps for you. However, who would you trust to do that? For general programs like Office, probably Microsoft or Google would be a good choice as any. For specialised/customized programs, like CRM and ERP, I would go for a 'local' guy that is approachable. I would most definitely not opt for a company that is as huge as Microsoft to run my customized programs, because I'll end up in Helpdesk HELL.
In my ideal world I would go to a company that offered me a subscription like model to a whole range of desktop apps (photoshop, acrobat, office, visio etc etc) and a company that runs my serverside apps and specialized apps) It could save alot of money on IT-people and specialized rooms etc. (And probably get me into trouble some other way)
Hosted EULA... (Score:4, Insightful)
Hmm. (Score:3, Funny)
Sounds like someone needs to lay off the amphetamines for a while...
MS wanting to host is nothing new (Score:2, Informative)
The following is cut n pasted from http://www.microsoft.com/billgates/speeches/11-14c omdex.asp [microsoft.com]
MR. GATES: Now I'd like to show another great new thing
Hosted Reliability (Score:3, Interesting)
They have touted their system as being capable of "five nines" [microsoft.com] (99.999% uptime per year, or, only 315 seconds of downtime per year). As being cheaper to operate and less vulnerable than Linux [microsoft.com].
If they run BSD/Apache as another poster suggested, they admit FOSS makes a better platform. If they run their own software they risk major loss of face if^H^Hwhen servers BSOD, hang, get infected.
It will a lot harder to blame admins for security issues when MicroSoft is the administrator.
Or maybe their customers will simply turn a blind eye to it all. Much as they have reliability and security problems in the past.
Which color? (Score:3, Funny)
Oracle (Score:3, Insightful)
Face it, Sun has proven that they don't have what it takes to beat MS. And getting Google to sponsor their office suite isn't enough either.
Turn on a Dime (Score:2)
By "discovered" they mean, "Ignored it until it smacked them over the head, forcing them to spin around in a circle (looking like they were turning on a dime), until they came to their senses and said, 'Hey, free dime!'"
One Big Fat Target (Score:2)
Reminds me of Simpsons (Score:2)
Housing != Hosting (Score:2)
Sorry for misreading the article.
It reminded me of an old cartoon in the early days of the AOL MSN wars where Joe Consumer's latest computer indicated that it "works best with Microsoft House":)
Hotmail? (Score:3, Insightful)
Oh yeah, Hotmail. That's that big system they host on UNIX machines, isn't it?
Re:2nd place again (Score:2, Interesting)
Re:2nd place again (Score:2)
Re:2nd place again (Score:2, Informative)
Re:2nd place again (Score:2, Flamebait)
The problem is, they want too much control and lock in. It's not enough for them to just sell a service, they need to sell a service that is addictive like crack, and latches on to your business model like something from Alien which can't be removed without killing the host.
Many businesses are understandably concerned about this.
Re:2nd place again (Score:2)
Good point, although their technology was a little more proprietary than AJAX, it certainly did the same things. Was before computers were powerful enough to really take advantage, though.
Re:2nd place again (Score:2)
How so?
Parsing xml isn't anything special, and AJAX xml messages tend to be small anyways to overcome bandwith restrictions. And since xml needs to be well formed, the code using it doesn't need to be as forgiving as say, code to display random html.
The only reason (and good one, IMHO)that AJAX is gaining popularity recently is that the XMLHttpRequest javascript object is available in browsers other than IE and no longer
Re:2nd place again (Score:2)
I'd love to believe that, but at the time that the MS solution was first made, MS had even more of a control over the browser market than they do now, really. Many of their proprietary nonsense things ended up on webpages, and there's little reason to believe this wouldn't either. I'm not sure if it had XML
Re:2nd place again (Score:3, Insightful)
Microsoft released Interent Explorer 5.0 in september 1998. This was the first version to have the XMLHttpRequest object.
AJAX was possible over seven years ago.
That said, until
Re:2nd place again (Score:2)
To the best of my knowledge, it was Google messing around with it that really kicked off the whole "fad" thing of it right now, but I'm not sure if they were more innovative or just high-profile. Certainly when they started using it, it looked very new to me.
Re:This is good, and MS-bashing is for children. (Score:2)
Re:And Now For Your Host... (Score:2)
"Hello there! Looks like you're trying to build a website!"
GAHHH!
Yikes.... (Score:2)
GoDaddy may not be the best option for servers but for 500 Gb of bandwidth for $34.95/month and 10 Gb of space on their Virtual Server options, it sure beats the hell out of Microshaft, and I'm willing to overlook that they shut off the Apache service when the server load gets too high (I know someones literally watching the CPU load values because sometimes I can spike it to 10.000 and nothing happens and sometimes the apache service stops w
Microsoft is already doing this (Score:2)
Microsoft is already doing this. They have every single application that you can run on a PC hosted remotely so that people can use it. And it is even on a distributed grid network. Some customers even have thousands of machines clustered together, and remotely manage them with gui-based client administration tools. The capability to add new clients to your existing cluster is already built in to all versions of Windows by default when they ship. I just wasn't aware that it was a feature...