Can Microsoft count on inertia to spur Office 2010 upgrades

15.04.2009

Eyeing the MacBook Pro laptop a reporter was typing on, Capossela asked: What about iLife? How many Mac owners actually use GarageBand, iLife's DJ app, and how many just enjoy the glory of association?

Meanwhile, "Office may not be cool," Capossela said, "but man, everyone uses it."

But habits can die. Lifelong two-packs-a-day smokers do quit. And even longtime Office users to free or low-cost office suites, which are as plentiful today as a foreclosed home in Florida.

With everyone focused on netbooks' erosion of Windows revenue, few noticed that profits at the Microsoft Business Division in the most recent quarter were down 6% sequentially. Defections to OpenOffice.org, Google Docs, Zoho Docs and others have happened mostly among consumers and small businesses. With fewer users, it is easier for them to break free of Office's orbit

To keep them, Microsoft is offering for just $60, or one-tenth its list price. Microsoft is also offering Office 2007 to military retirees and their dependents