Microsoft's Battle For Software Mindshare
chemicaloli writes to mention a BBC article about Microsoft's battle to convince users they need to buy new software. The article explores the changes to the UI in Microsoft Office 2007. Along with the changes prompted by the adoption of the 'Ribbon', the article also looks at some of the software's new features. From the article: "'One of the biggest challenges... is to fight that perception that old versions of software are good enough,' said Microsoft's Chris Capossela. Office 2007 goes on sale to business on 30 November, the same date new operating system Vista is launched. 'Our business model of course allows you to keep using Office 2003 — the software doesn't really expire,' said Mr Capossela, corporate vice president of the Microsoft Business Division. Many large businesses will have Office 2007 delivered as part of existing IT contracts but small business and individual consumers will need persuading to make the change."
Washing detergent that's "new and improved" is not meant to necessarily to "sell" the consumer on the product. Though it's an added bonus.
Companies that produce the staples, soap, razors, etc... Have to play games with their products to keep their prices reasonable (profitable.) For example, Walmart expect that you will lower the price of your product by x percentage every six months to a year. And with Walmart, you will, or they will drop your product and go with a company that will reduce their prices. Which is one of the ways Walmart destroy's companies, but that's a different topic.
So to skirt the Walmart price lowing policy, you simply come out with a new product. Just look at razors and razor blades they are the great example.
Upgrading Office isn't about getting new features. It's about being able to read the new .doc and .ppt files that you get from other companies in your e-mail.
Microsoft has gone out of its way to provide file format compatibility from Office 2000 through 2007: http://support.microsoft.com/kb/924074 .
People who complain about Microsoft's constant backwards-incompatible file format changes tend to be people who haven't used office seriously in a decade. Look around this thread. You'll find many people who have been using Office 2000 for 6 years with few compatibility problems. I know that I frequently pass files between Office 2000 at home and Office XP at work with no problems.
In the last decade, Microsoft has incremented its file format at roughly the same rate as OpenOffice/StarOffice. They've provided plugins to allow older versions to work. When they've incremented, the new file formats are better than the old ones in almost every conceivable way. The 2007 file formats are more reliable, more open and more feature rich.
I'm in NO SENSE a Microsoft advocate, and in fact am switching my computers to Mac. But that doesn't mean that I'm going to let BS go unchallenged. Truth is truth.