Google Challenging to Microsoft in Business of application

                                   Google Challenging to Microsoft in Business of application


SAN FRANCISCO - It took years, but Google seems to cut into Microsoft's stronghold - companies.

 Google's software for businesses, Google Apps, consists of applications for document writing, cooperation and text and video communications - all cloud-based, so no software on the computer of an office worker. Google is promoting the idea for more than six years, and it seemed that it would especially appeal to small businesses and tech start-ups.

But the idea is catching on to the bigger companies. In the past year, Google has scored an impressive number of victories, including the Swiss drugmaker Hoffmann-La Roche, where more than 80,000 employees make use of the package, and the Interior Ministry, which uses 90,000.

 Many companies that sell software on the cloud add features without increasing prices, but also the traditional practice in the industry to break through rare offer discounts list.

Microsoft's Office suite of software, there is no e-mail that has been installed on a desktop or laptop. In 2013, the list price for the company to be $ 400 per computer, but many companies pay half after negotiating a deal volume.

 Microsoft has also jumped on the office-in-the-cloud trend. In June 2011 released Office 365, and now offers its software in both a cloud version and a hybrid version, as cloud computing and conventional servers. Office 365 starts at a list price of $ 72 per year per person, and can annually cost as much as $ 240 per person in versions that many more functions and software development capabilities. Microsoft says it has more than Google for money, but the product is not won many converts from Google.

In a recent report, called Gartner, the information technology research firm, Google "the only strong competitor" of Microsoft in cloud-based business productivity software, but it warned that "it may not be of the utmost importance for the search giant."

 Google's revenue from apps, according to a former director, who asked not to be named, to have a good relationship with Google, amounting to perhaps $ 1 billion of $ 37.9 billion Google acquired in 2011.

Shaw Industries, a carpet maker in Dalton, Georgia, with approximately 30,000 employees, the transition to Google Apps this year for communication such as e-mail and video conferencing. Jim Nielsen, the company's director of enterprise technology, calculated using Google instead of similar products from Microsoft would cost more than seven years, the price is one of the thirteenth of Microsoft.

Shaw is a subsidiary of Berkshire Hathaway, run by Warren E. Buffett, but the close friendship of Mr. Buffett and Microsoft founder Bill Gates, not waving Mr. Nielsen. "If you add up the numbers are pretty convincing," he said.

Besides the lower price, Google simplicity in pricing. Mr. Nielsen said he had to sort through 11 pricing models to find out what he would have to pay Microsoft.

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