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Ballmer Admits Google Apps Are Biting Into MS Office

twitter points out coverage of a discussion between Steve Ballmer and two Gartner analysts in which the Microsoft CEO admits that Google Apps is enjoying an advantage over Office by users who want to share their documents. He points to Office Live as their response to Google, and adds, "Google has the lead, but, if we're good at advertising, we'll compete with them in the consumer business." Whether or not they're good at advertising is still in question, if their recent attempts are any indication. Ballmer also made statements indicating some sort of arrangement with Yahoo! could still be in the works, but Microsoft was quick to step on that idea. Regarding Windows Vista, he said Microsoft was prepared for people to skip it altogether, and that Microsoft would be "ready" when it was time to deploy Windows 7.

27 of 293 comments (clear)

  1. Microsoft is evil an all . . . by Anonymous Coward · · Score: 3, Insightful

    . . . but trusting one's data to the "cloud" is just plain foolhardy. I'll keep local applications and local control, thankyouverymuch.

    1. Re:Microsoft is evil an all . . . by Darkness404 · · Score: 2, Insightful

      The thing about the cloud is, it has more uptime than the average user can ever hope to have. For example, the average user makes no backups except perhaps on a yearly basis, even if one of Google's servers literally caught on fire, most of the data could easily be recovered. The average person doesn't have a RAID, so when one disk crashes the entire system crashes, and they don't have backups. Yes, for us geeks and our 1 TB external HDs, local fileservers, 8 GB flash drives and rsync we might be able to have marginally better uptime than the cloud, but honestly, the normal user is going to have better reliability with the cloud.

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      Taxation is legalized theft, no more, no less.
    2. Re:Microsoft is evil an all . . . by rtb61 · · Score: 4, Insightful

      Unless of course the network goes down, then zero access. It happens all the time, a ship drops and anchor in the wrong spot, somebody somewhere in the routing path configures the hardware wrong, power brownouts anywhere in that route and of course it is only in beta and the warranties are completely and absolutely less than worthless. Cloud computing is really all about data being distributed everywhere and not being locked into a limited number of locations where you have to pay rent to access it. Let's just call a spade a spade, rented access to your own data, ain't cloud computing it is greed computing.

      The future in computer software is FOSS and service and support. So yes the typical end user can not really set and up maintain a stable, secure and reliable system and that is why they pay for service and support, when they do need high reliability and uptime and for the majority of businesses in certainly is cheap enough to achieve, they just need reliable access to people who can provide it for them.

      As for the end user, easy simple access to most of their stuff, whether they are connected to the net or not is the most important, computers are not their life, they are just a means by which they can share photos, send a letter, browse the net, play a few games and maybe do a bit of shopping and bill paying.

      The cloud computing that ballmer et all keep waffling on about only exists because it is the only model they can envisage where they can maintain inflated profit margins, the service and support and fully distributed computing is a much more competitive, high performance and low profit margin market. The performance aspect, is all about companies providing services must be seen to perform, must continually demonstrate high skill and reliability and any failures will soon be reported through their potential and existing client base. This is where M$ is most behind the eight ball, with a reputation for poor service and support, lying to customers, ignoring and denying customer feedback and, routinely distributing unreliable and faulty products.

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      Chaos - everything, everywhere, everywhen
    3. Re:Microsoft is evil an all . . . by multisync · · Score: 2, Insightful

      trusting one's data to the "cloud" is just plain foolhardy

      Not to troll, but is it more so than trusting your data to proprietary software?

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      I don't care why you're posting AC
  2. Re:Google Apps is pretty useful by Darkness404 · · Score: 2, Insightful

    Or, set up a Linux server and use OOo and configure it to do a few backups or set up a RAID.

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    Taxation is legalized theft, no more, no less.
  3. Re:Well, here we go by Darkness404 · · Score: 1, Insightful

    ...But the problems with the electric car are:

    A) They cost a lot more in the short term than buying a new or used gas powered car
    B) You can't go out to a dealership and buy one
    C) The reliability just isn't there yet (and that could be said for any emerging technology)

    The electric car would succeed if it was cheaper or just as cheap as a gas powered car (and no, in the current economic times, the fact that it might be cheaper 5-10 years from now, isn't going to persuade anyone to buy it). Or if you could walk into a dealership and most of the cars were electric and the stigma of it being unreliable were over.

    Linux already is cheaper than any other OS out there, and is close to, or the most reliable OS (especially when compared to Vista). The problem is you can't walk into a store and get a computer with Linux on it, unless you want to go for a netbook. Once the last hurdle is crossed, you can say good bye to Windows.

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    Taxation is legalized theft, no more, no less.
  4. Re:Well, here we go by ColdWetDog · · Score: 4, Insightful

    Once the last hurdle is crossed, you can say good bye to Windows.

    Two concepts (not mutually exclusive):

    1. Enterprise space - along with whatever mission critical application you care to name that isn't available on Linux
    2. Photoshop - and no, we aren't talking about GIMP. It has to be the genuine locked down Adobe product (for all of those big commercial shops).

    Yes, you can run Photoshop on OS X but there are many (perhaps most) LARGE 'artistic' groups in advertising and publishing that run on Windows.

    So Linux may well make inroads in the individual user space, perhaps even in the SOHO space, but until application developers embrace Linux (or OS X or anybody else), it's gonna be Windows all the way down.

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    Faster! Faster! Faster would be better!
  5. Re:Google Apps is pretty useful by Anpheus · · Score: 4, Insightful

    Your solution is the most complicated to implement, even if it's the least expensive.

  6. Re:Well, here we go by Darkness404 · · Score: 4, Insightful

    Yes, tons of window managers, but the average user only has to pick one of 2 (or three if you count in XFCE) but if you stick with all the apps with a G as the first letter you can be assured a standard UI if you are using Gnome, likewise if K is the first letter you can be assured that it uses a standard UI for KDE, compare that with MS who has tons of different icons, etc. for different products which are all in the same time frame and first-party applications, see http://arstechnica.com/articles/culture/microsoft-learn-from-apple-II.media/vista.png for an example of what I'm talking about.

    --
    Taxation is legalized theft, no more, no less.
  7. "Good at advertising" by Anonymous Coward · · Score: 1, Insightful

    This, from the company that shouts "let us innovate!" The quality of their products has been surplanted by the quality of their advertising.

    In twenty years Econ 101 classes will use the history of Microsoft Corp. as an example of how to destroy a company, even one that had a legal monopoly.

  8. Re:Well, here we go by Darkness404 · · Score: 3, Insightful

    * Viruses - THis is not a OS problem, its a user problem.

    * Malware - Again not specific to Windows.

    Oh, right. I forgot, your browser is clearly supposed to install all kinds of random crap that messes with settings and toolbars without prompts. Oh wait, other browsers don't do that? Other browsers prompt you before they do things like that? Yes, MS managed to fix a lot of that with IE7, but its still not an excuse for them doing that for the ~2-3 years of IE6.

    * Applications - All the software in the world at a single spot. i.e. Google for applications. Who addresses commercial software? Who handles payments for this? Who will handle updates? Do users want to download Multi GB Games/Applications? Who pays for the massive bandwidth? What if you're not connected online,etc ,etc. Again. Doesnt scale, buddy.

    Lets see... On an average Windows install, the only software that isn't usually pirated, is made by Microsoft in the form of Office/Works/etc., An anti-virus/spyware application but the rest is all freeware/shareware/OSS. Most people's software is downloaded. You make a good point about games, but it honestly wouldn't be hard for a game maker to include a binary to run for Linux, same with commercial software. The thing is, boxed commercial software is a really, really, really small part of the average user's computer even on Windows. The "massive bandwidth" would be provided in the same way it always has, via mirrors and the official site. Today, most computers that are not in specialty use are connected online. If they aren't, it isn't that hard to go to a library or a friends house, or buy a CD with some .deb files in them, double click and type in your password.

    Linux also has the advantage of customization. For example, its a pain to create a customized XP/Vista install disk, its trivial for someone to create a modified Ubuntu or other distro with the applications you need.

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    Taxation is legalized theft, no more, no less.
  9. quick comparison by British · · Score: 2, Insightful

    Google Office-like apps: Netbook
    MS Office: bloated pig laptop that cost $3K.

    I'm just fine with the Google Apps. All the extra features that the latest revision of MS Office has that Google doesn't don't ever get any usage from me anyways.

  10. Re:Google Apps is pretty useful by stephanruby · · Score: 2, Insightful

    Or just install OpenGoo on a Linux server and have everyone work from there. This way you own the documents you upload.

    What do you mean by saying "you own the documents you upload"? Are you talking about legal ownership or physical ownership?

    There is nothing in the ToS of Google Apps that implies you don't own your own documents. And also, if you want physical local ownership, all of you have to do is enable Google Gears, and that will maintain local copies of your documents on your desktop/laptop -- so that you can keep on working completely disconnected from the internet -- should you ever need to.

  11. Ugh by jav1231 · · Score: 5, Insightful

    As much as I am loath to say this, I seriously doubt Microsoft has to worry about Google-apps. Corp-America is not going to go Google-apps. But mind you, they WILL worry. Because Microsoft is so fucking egotistical as a company they can't envision anyone having something successful besides them. It pisses them off, esp. Balmer. They just can't accept that they should stick to what they're good at (were good?). If they put as much effort into making Windows better it WOULD be. They chased the search market in vain and the mp3 player in vain. They're a spoiled company that thinks they should have it because they want it. Microsoft never innovates. They copy or buy. They usually fail at copying. The XBox is a noted example of something they copied and succeeded at gaining market. Keep at it, MS! Pursue! The more money you waste on shit like online apps the more that won't go into Windows! Which is fine. The world would be better off if more people would move on to another OS.

    1. Re:Ugh by im_thatoneguy · · Score: 2, Insightful

      Microsoft copycat with the Xbox?

      That's why they were the first to put in a Hard Drive.
      The first to offer streaming downloads for movies.
      The first to offer downloadable games.
      The first to include a network adapter.
      The first to have a social gaming network for matchmaking and messaging built into the service.
      The first to implement a system wide achievement/trophy system.

      Yeah it's likea direct clone of... nothing... and that's why it's succeeding. It's not just ripping off anyone else. Everyone else is trying to rip them off.

      ---

      Back to the topic at hand. We use both Microsoft Office and GoogleDocs. We like Office because it has really really great spreadsheet tools and formatting for sophisticated data tracking. But we can't share it with other companies. (We work in advertising). We use Google Docs too because we can create a document with a shotlist or schedule and the agency can access it from anywhere and make changes to it and everybody always has the latest version.

      If we could have an online Office. We would prefer it because Google Docs is like a gimped wordpad. But for many applications we've found it to be the best solution to our needs.

  12. Comment removed by account_deleted · · Score: 2, Insightful

    Comment removed based on user account deletion

  13. Re:Well, here we go by lysergic.acid · · Score: 5, Insightful

    easier for the average user to do what?

    someone who's used KDE or Gnome since 1995 would find it easier to use KDE/Gnome than !KDE or !Gnome. what does that prove? unless you're trying to argue that people should stick with the same operating system that they've used in the past because users are too stupid to deal with change, i don't really see your point. that has nothing to do with UI uniformity or the usability of a particular OS.

    there's more to software user-friendliness/usability than just resistance to change.

  14. Re:Well, here we go by gallwapa · · Score: 4, Insightful

    Most people's software is downloaded?

    Not to quote Sarah Palin, but "Joe Sixpack" and Grandma have a lot of legit software. I think it is a stretch to say most software is pirated. Do you know how many people are STILL buying WinZip? Or those little "Reg cleaners"? Games?

    C'mon...

  15. Re:Well, here we go by node+3 · · Score: 4, Insightful

    If you ask me, Windows 7 looks a lot like a response to Linux on the desktop.

    Windows 7 is a response to Linux the same way Coke Zero is a response to Tab.

    Windows 7 is a response to Vista. People turned down the bloated system that is Vista, so Microsoft has made promises to fix all the issues and release a new system in two years' time. But as is always the case, the promises will be forgotten and the release date will slip again and again. But Windows 8, now that's going to really rock...

  16. Re:Google Apps is pretty useful by Frosty+Piss · · Score: 2, Insightful

    Your solution is the most complicated to implement, even if it's the least expensive.

    Maybe so, but honestly, Google Apps are not a particularly satisfying solution. Open Office is much much more suitable. Gmail maybe, but spreadsheets, word processing, and presentations? Google Apps just don't cut it.

    In my opinion...

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    If you want news from today, you have to come back tomorrow.
  17. Re:Google Apps is pretty useful by SL+Baur · · Score: 2, Insightful

    Your solution is the most complicated to implement, even if it's the least expensive.

    Perhaps, but how much are your company's documents worth to you?

    I also would argue that Darkness404's idea would be the safest, regardless of cost.

  18. Stop complaining and do something by Twillerror · · Score: 1, Insightful

    Sharepoint is a decent at storing word documents and making them searchable. Many companies are using it.

    So why don't we write something simliar for Open Office that does the same thing as google apps. Yah it sucks to have to setup a server, but if it's open and runs on linux then it won't be.

    I think this represents a major issue with open source...it's for developers. We need developers to stop caring about themselves and think about avergage business uers...a hard boring thing to do I know.

  19. Re:Well, here we go by BrokenHalo · · Score: 5, Insightful

    Viruses - THis is not a OS problem, its a user problem.

    If Windows can be infected with viruses or malware within hours of installation, with almost no user input, that is an OS problem. Lame excuses not accepted.

    Crashes - Yeah, comeback with real proof.

    Having just spent the last few hours rescuing a friend's computer when Microsoft had advised her to re-format and reinstall (which would have blown away her PhD thesis in the process) after a crash from which it wouldn't reboot, I think I'm in a good position to answer that. This lady was only running MS Word at the time, and last time I looked, that was MS code.

    I have been using Linux on all of my desktop machines since 1995, and I have never had a kernel crash. No, NOT EVEN ONCE. Sure, I have had the occasional panic on bootup when I've done something stupid like forgetting to build in support for my root filesystem type, but I don't think that counts.

  20. Re:Well, here we go by remmelt · · Score: 4, Insightful

    From my experience, you don't have to access the "command" any more, or at least a lot less then before.

    Debian/Ubuntu has apt, and has loads of stuff in their repositories. Ubuntu even enables multiverse by default, as far as I know. If not, it's a click away. If it's not in the repositories, it can be packaged as a .deb by the package maintainer, and yes you can double click those, fill in your password and it installs, without any need for the "command."
    Software developers for Windows now make elaborate installers, making a deb and an rpm won't cost them any more time.

    I understand why people get directed to the command line a lot though. Linux is still a power user OS, and power users often use the command line, because it gets things done faster and more efficiently in a lot of cases. So, this is what they know. They know how to set up X by editing xorg.conf. They'd rather use apt-get than synaptic. So, if you have a problem with your Linux install and ask the average user, you're likely to get a power user answer and it involves opening up the command prompt.
    I do feel that Ubuntu is a step in the right direction. A lot of the howtos on their wiki and forum are focused on the GUI.

  21. Re:Well, here we go by rhsanborn · · Score: 3, Insightful

    Yes that is a perfect analogy. If the standard user hopped into an F1 car as opposed to their normal sedan, they'd have a hell of a time even figuring out how to put on their steering wheel, much less learning how to shift and how to drive around without killing himself.

    Linux has made really huge strides with regards to a cleaner easier to navigate UI that is consistent (as long as you stick with just one). And driver support has been getting better all the time. But there are two issues that I've seen personally that will hold this up.

    1) Driver support for new hardware. This isn't eally the fault of the people working on Linux drivers, people are still getting hardware from manufacturers for which there aren't, or aren't yet Linux drivers that just work. We're talking about average users here, so buying open hardware isn't an issue. They don't care. They want the really good deal that was advertised last month, and they're going to buy that one.

    2) People are still trying to downplay software support and point to Linux alternatives. Again, people don't care. They have their favorite copy of game/finance/whatever software sitting around and they want to be able to install that.

    I think we can hope that people in this community are a little more open to buying hardware that is OSS friendly, and likewise figure out how to use alternative software or get things working under Wine, etc. But there really is nothing wrong with people expecting to use their computer as an appliance. Right now, aside from people who want to use it simply as a web/email machine, or even have someone set it up with several apps and then never change anything, I don't think it's there yet. And it's definitely a catch 22 of whether user adoption brings more manufacturers/developers in line or manufacturers/devs bring users in line.

  22. Re:Well, here we go by rhsanborn · · Score: 2, Insightful

    But that's it. People are resistant to change. Not because change is scary. But because change is difficult. They don't want to put effort into relearning how to use their computer. Much the same way that they don't want to put effort into using their TV or their toaster. The computer is an appliance and they want it to just work, and they don't want to think about it. Really, there isn't anything wrong with that either.

  23. Re:Well, here we go by Tisha_AH · · Score: 3, Insightful

    Again, the point is completely missed. Using Google Apps, users can collaborate on works irrespective of the platform in use. (Windowz, OSX, Linux, phone or gaming platform)

    Microsoft is going to roll an exclusively Windows solution for the Windows OS. If it bears any semblance to their previous efforts in collaborative groupware it will be irrelevant.

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    Tisha Hayes