Slashdot Mirror


The Hidden Costs of Microsoft's Free Office Online

Michael_Curator writes "Despite what you've heard, the online version of Office 2010 announced by Microsoft earlier this week won't be free to corporate users. Business customers will either have to pay a subscription fee or purchase corporate access licenses (CALs) for Office in order to be given access to the online application suite (Microsoft already does this with email — the infamous Outlook Web Access). But wait — there's more! A Microsoft spokesperson told me that customers will need to buy a SharePoint server, which ranges from $4,400 plus CALs, or $41,000 with all CALs included, if they want to share documents created using the online version of Office 2010."

44 of 174 comments (clear)

  1. well duh by goombah99 · · Score: 5, Insightful

    you need the server to run the apps inhouse rather than out of your control. The same is true of things like google docs and other cloud apps. either you run it on their servers and gove third parties access to your data or you pay to run it on your servers. this is not a surprise or even unreasonable.

    --
    Some drink at the fountain of knowledge. Others just gargle.
    1. Re:well duh by markdavis · · Score: 5, Insightful

      Yeah, it sounds like the article is confusing free, online, other-party-hosted applications with non-free, online, self-hosted applications. Both have existed for a long time.

      Since Microsoft's main bread and butter is MS Office, why would they offer a "free" version- offline or online, other than trialware, crippleware, or sampleware?

    2. Re:well duh by Runaway1956 · · Score: 4, Insightful

      Sorry, it is certainly unreasonable if 3rd parties have access to my data. Suppose that all in one afternoon, I do Grandma's tax return, do a medicare application for Aunt Helga, make a resume for my son, etc, etc, etc, you're saying that ALL of that data should be accessible by unknown 3rd parties? Every application hosted in the web should supply my data to anyone, and everyone, around the globe?

      Totally unreasonable.

      This is why I am not entirely thrilled about the web. Notice, I'm not just picking on Microsoft here - the same applies to Google and any other company that might supply applications in the future.

      --
      "Windows is like the faint smell of piss in a subway: it's there, and there's nothing you can do about it." - Charlie Br
    3. Re:well duh by illumin8 · · Score: 5, Insightful

      you need the server to run the apps inhouse rather than out of your control.

      Some things should be mentioned here for those that aren't familiar with Sharepoint.

      I work for a Fortune 15 company and we are required to use Sharepoint, instead of a simple file server, to store all of our Office documents already. Sharepoint is a terribly, terribly flawed "workplace collaboration" software. It's basically a glorified WebDAV server that supports versioning, and also allows people to post little "widgets" like calendars that integrate with Outlook.

      Sharepoint is Microsoft's answer to Mediawiki and other real media sharing web services. In fact, for 99% of all companies, Mediawiki running on an internal server would be much better than Sharepoint, and provide much more functionality, without requiring a copy of MS Office to be installed on everyone's client PC. But, corporate america, in their infinite wisdom, only trusts Microsoft products, so we get stuck with Sharepoint.

      I hate the fact that I'm required to use a Microsoft browser to check out a Microsoft proprietary document, and edit it with a Microsoft proprietary office software package, then check it back in to a Microsoft proprietary server. This solution is the most difficult to use, from a usability standpoint, workflow point of view solution I have ever used before. Mediawiki would be a better solution for 99% of these purposes. I like the ability to just click "Edit" and start editing a page. Microsoft's solution is to keep all editing inside the Office suite, which requires checkout and checkin of each individual document. It's a terrible solution, rooted in an outdated "document centric" methodology.

      --
      "When the president does it, that means it's not illegal." - Richard M. Nixon
    4. Re:well duh by thethibs · · Score: 3, Insightful

      Let me understand this:

      • MediaWiki has a word processor that I can use to create large complex documents like Word does, send them to my clients, print them with layouts and typography that makes them a joy to read?
      • MediWiki has a world-class spreadsheet?
      • MediaWiki has a professional drawing package to compete with Visio?
      • MediaWiki has access control so that documents can be made accessible on a "need to know" basis?

      No one is forcing your "Fortune 15" company to use SharePoint and fully-loaded office applications. They could use a geek toy instead (and ride to work on bicycles instead of BMWs). Your Corporate Architecture group made that decision. If you check, you'll find that they are actually qualified to make those kinds of decisions.

      The Dunning-Kruger Effect strikes again.

      --
      I'm a Programmer. That's one level above Software Engineer and one level below Engineer.
    5. Re:well duh by larry+bagina · · Score: 2, Informative

      Additionally you have government regulations (enforced with jailtime and fines) for HIPAA, Sarbanes-Oxley, and other shit.

      --
      Do you even lift?

      These aren't the 'roids you're looking for.

    6. Re:well duh by mick88 · · Score: 2, Insightful

      >This is why I am not entirely thrilled about the web.

      Not thrilled about the web, eh? Hmm. I'm not sure this is the web's fault, to be honest.

      If you pay attention to the comment you're replying to, you'll notice the post didn't suggest that all data be accessible by any and all unknown 3rd parties. But what he/she says is that when you do your tax return online with TurboTax, they have access to your data. That _is_ reasonable. Just like when you walk into a brick-and-mortar H&R block to do you tax return: H&R Block has access to your data too. There are privacy laws to prevent them from doing bad things with the data. But if you give info to any company, on the web or otherwise, they have access to your data.

      --
      I created this account just so I could comment on this story
    7. Re:well duh by jonbryce · · Score: 4, Informative

      Other than the access control functions, Sharepoint doesn't do any of these things either.

    8. Re:well duh by JoshuaDFranklin · · Score: 4, Informative

      You don't understand what Sharepoint is, do you? We rolled out MOSS Sharepoint and used it for a few months. Even Windows users preferred email because the interface made it so painful to find things. Sharepoint does not have any of the functionality you list, either. There is an add-on that includes access control, but guess what? Client machines much be logged into the same domain (or have a a trust set up). In other words, Sharepoint has no access control functionality that can be used any differently than a Windows Server fileshare! It also stores documents in a database, and as you get a lot of documents (say, 1000) performance degrades. Maybe Mediawiki is a bad comparison since it has a completely different feature set, but any business would be better served with an actual document management system like Alfresco. (People also seem obsessed with Sharepoint's "blogs" which have much less functionality than Wordpress.)

    9. Re:well duh by popeyethesailor · · Score: 4, Insightful

      Well SharePoint doesn't do any of those things, and the Office integration part sucks. Have you seen system requirements for SharePoint for a large organization? Have you administered a non-trivial sized Sharepoint instance? Have you managed a SharePoint version to version migration? It's a PITA, and completely overkill for most applications. The OP was right, most people don't need SharePoint.

      It's the new generation nightmare - almost like MS Access and Lotus Notes rolled into one - easy for some tasks, ridiculously painful for others. And don't get me started on the whole song & dance people go through to build custom applications on top of it...

      Dunning-Kruger indeed.

    10. Re:well duh by bschorr · · Score: 2, Funny

      I don't know what country you live in but in the USA the police DO need to tell you if they access your PC. And if you think Microsoft gives a toss about your My Documents folder I think you've overestimated the value of those documents.

      My $.02. Keep the change.

      --
      -B-
    11. Re:well duh by blincoln · · Score: 2

      I hate the fact that I'm required to use a Microsoft browser to check out a Microsoft proprietary document

      SharePoint 2007 works fine with FireFox, assuming you configure FireFox to pass your Windows credentials on and maybe a few other minor configuration changes. I imagine it will work with other modern browsers (in which category I do not include e.g. lynx).

      and edit it with a Microsoft proprietary office software package

      You can store any type of file you like in SharePoint, as long as the administrators don't have it on the blocked extension list.

      Mediawiki would be a better solution for 99% of these purposes.

      Most of the corporate users I work with love Excel and PowerPoint files in addition to their Word documents. How would you replicate that in MediaWiki?

      Microsoft's solution is to keep all editing inside the Office suite, which requires checkout and checkin of each individual document. It's a terrible solution, rooted in an outdated "document centric" methodology.

      That's how your organization is choosing to use SharePoint. It supports that model because it's supposed to be a replacement for (among other things) file shares and Exchange public folders. It also supports different usage models, including limited wiki-style pages.

      If you think your organization has progressed into the documentless future of tomorrow, maybe you should try convincing other people there to work in that way using the tools they already have, and if it provides significant benefit you can steer them towards a product geared specifically toward that model.

      --
      "...always new atoms but always doing the same dance, remembering what the dance was yesterday." -Richard Feynman
    12. Re:well duh by dkf · · Score: 2, Insightful

      It would make more sense for them to send a couple of cops out to my house with warrants to confiscate my machines. If that happened, THEN it would become a game of "who is more clever". Is my stuff really hidden, or can they get to it? You can damn sure bet that I'm not going to just GIVE it all to them. ;-)

      Do you really think that's going to save you and your data? They can take images of the whole disks quite easily (there are hardware tools for doing this) and they most certainly can get someone who will tell them that if it's a truecrypt partition, they should make sure to check for multiple stacked encrypted partitions, especially if the dates of the innocuous files don't match up with recent use of the system.

      The only thing that is saving you right now is the fact that you're not breaking any law they actually care about. (OK, I can't tell whether you're breaking any law at all, given the stupidity of some jurisdictions' legislatures, but I prefer to assume you're not going about committing felonies and bragging about it on slashdot. That would be jaw-droppingly dumb...)

      By contrast, my defense is simple. If the cops want to know what I'm doing, they can just ask and I'll tell them in great detail. I've even got several presentations that will make my explanation easier, though the use of that much powerpoint might count as Assaulting A Police Officer...

      --
      "Little does he know, but there is no 'I' in 'Idiot'!"
    13. Re:well duh by jbeale53 · · Score: 5, Informative

      FYI, Sharepoint 2007 SP2 now supports Firefox with no config changes.

    14. Re:well duh by enigma48 · · Score: 2

      I'm no expert, but I have to call bullshit on this.

      We've deployed an internet-facing Sharepoint (not MOSS, v3) server that can be used on any random PC. You do need domain credentials for access though, if you've restricted access. It does take more work to set it up this way.

      And the search feature in v3 is currently the quickest search we have. With a few hundred documents, we get search results in around a second - it takes longer to render the page - Google / Windows Desktop Search are a bit slower on searches.

      I'm not a Sharepoint pro, but I support a few v2 sites and use a couple v3 ones.

    15. Re:well duh by Bigjeff5 · · Score: 2

      Plus the fact that it intigrates with outlook, which has communicator (a secure internal version of Live Messenger), and Live Meeting intigrates with all three.

      Done properly, the Microsoft intigrations greatly improve workflows for many many people. Done poorly, of course, they suck monkey balls, but anything can be that way.

      --
      Security is mostly a superstition... Avoiding danger is no safer in the long run than outright exposure. - Helen Keller
    16. Re:well duh by Dustie · · Score: 2

      Dude, you've either been reading way too much or not nearly enough. That's not some special, secret technology they have. Hell, it isn't even hardware based. There are probably 40 million IT professionals who could do what you think is so secret and dastardly, and do so on a regular basis. That includes me, by the way.

      It also doesn't work the way you think it does. It's true that they can make an exact, sector by sector copy of your hard drive. However, it's not some outlandish expensive hardware that does this, it's actually software and there are even a number of free programs that will do it, though the gold standard of sector based drive imaging is Norton's Ghost.

      It sounds more like you are talking about taking a backup of a drive then collecting data in a forensically sound way. The police does use hardware to block writing to the drive holding the evidence. If they don't it doesn't hold in court as the data could have been modified. Also I have never heard of anything Norton being used for collecting evidence. It would more likely be dd, FTK or EnCase.

    17. Re:well duh by Scarletdown · · Score: 2

      What makes you think your data is safe on your computer? Microsoft can access anything on your PC if they so choose.

      If Microsoft could do that, I would be sending some emails to debian-user asking the maintainers why they are allowing such a travesty to go unchecked in their repositories.

      And then I would probably post a whistle-blowing story right here on Slashdot.

      --
      This space unintentionally left blank.
  2. A Bad Idea by Techmeology · · Score: 2, Informative

    Cloud computing is a bad idea. It gives software companies an unprecedented level of control over our data. If they decided to up the price of their service, or withdraw it entirely, there is little we can do. Microsoft is famous for manipulative behavior. I would not endow them with this level of trust; nor would any other sane person. If you are looking for an alternative, might I suggest http://www.openoffice.org/ (many people I know also use it for its superior equation editor, in addition to the fact that it is free and open source).

    --
    Excuse for why is your room always messy?
    1. Re:A Bad Idea by MightyYar · · Score: 4, Insightful

      Cloud computing is a bad idea.

      Isn't that kind of a sweeping statement? Might it not be a good idea for some people?

      It gives software companies an unprecedented level of control over our data.

      It rather depends what you put on there and what kind of business you are, doesn't it? It also depends on your backup strategy. If they up the price of their service, you can migrate away. If they shut it off completely with no warning... well, you were keeping backups, right?

      I would not endow them with this level of trust

      Who's talking about trust? You use their service and you keep backups. You don't "trust" anyone.

      If you are looking for an alternative, might I suggest http://www.openoffice.org/ [openoffice.org]

      Please tell me that your whole post wasn't just a plug for a free office suite that everyone on Slashdot is already aware of?

      Anyway, other than saving a few hundred bucks per seat, OpenOffice isn't a "solution". It still requires more support compared to letting Google/MS be your IT department.

      --
      W..w..W - Willy Waterloo washes Warren Wiggins who is washing Waldo Woo.
    2. Re:A Bad Idea by Techmeology · · Score: 3, Insightful

      It still requires more support compared to letting Google/MS be your IT department.

      I believe you just made my point for me. Letting Google or Microsoft be your IT department is dangerous because they have a vested interest in the decisions your IT department makes.

      --
      Excuse for why is your room always messy?
    3. Re:A Bad Idea by mR.bRiGhTsId3 · · Score: 2, Informative

      But at least Google/Microsoft have solutions in place for collaboration and other fun things. Some are even self-hosted if you want to fork over cash. What has OO.o got going for it? A free price tag is about it.

  3. Re:Microsoft copying Apple? by fuzzyfuzzyfungus · · Score: 3, Informative

    No MS hardware involved. "A sharepoint server" is just your basic x86 server from anybody running a particular set of MS software.

  4. Software licensing is cheap by hattig · · Score: 3, Interesting

    It's nothing compared to the cost of hiring a team of people to get sharepoint to do what you want it to do, and plenty of companies are happy to pay for them. It's also cheap on a per-user basis - remember how many tens of thousands you are paying them each year - not that this logic extends to buying them a decent computer.

    Some software just works. Other software unnecessarily requires over the top maintenance and setup costs. I've never read anything good about sharepoint apart from the people who got wooed by the salesman over golf/dinner/piss up to buy it. Sadly these people are who controls decision making.

    What's a good free sharepoint alternative, in a single package?

    1. Re:Software licensing is cheap by Shados · · Score: 2, Informative

      SharePoint works fine. And you don't exactly need to pay a bundle for it if you just want document sharing and collabortion (since Sharepoint Services is a component of Windows Server. Only the souped up "enhanced" version costs, and has a million pieces to support).

      I run Sharepoint on a one server virtual machine, and probably have an higher than average load on it, and its fine, and I definately don't need to maintain it much at all. And at work we're running one of the largest non-Microsoft sharepoint farm in the world, in a unix based environment (no active directory, lots of *nix clients, box linux box than windows box, etc) and while it sure has the hiccups than any webfarm of the size ends up having, it does work pretty good.

      In any case, as of the latest version, Alfresco is a very respectable open source alternative that will run on Linux boxes and uses mainstream open source components, and is seen as "Sharepoint" from Office 2003/2007's point of view, and it integrates quite seemlessly with it. Give it a shot, its pretty damn good.

  5. Re:Move along... by sam0737 · · Score: 4, Informative

    SharePoint (not 2010, i mean the current version) actually works well with Firefox. I have yet to noticed any different when browsing it with Firefox/IE7.

  6. Storing your documents OFFLINE by syousef · · Score: 3, Insightful

    ...priceless.

    For everything else, there's Microsoft.

    I can't ever see myself storing my personal documents, especially financial ones, on some remote server or "cloud". Fuck that. Take your orafice online and stick it.

    --
    These posts express my own personal views, not those of my employer
  7. Re:Move along... by Anonymous Coward · · Score: 2, Interesting

    We run a mix of PCs and Macs, and I actually run Ubuntu with a VB version of 7RC. Our SharePoint site works well on PCs with IE7/IE8/Firefox, on the Macs with Firefox (Safari has permission issues and is generally unpleasant), and it even works decently on my Ubuntu with Firefox.

  8. Re:Move along... by illumin8 · · Score: 2, Informative

    SharePoint (not 2010, i mean the current version) actually works well with Firefox. I have yet to noticed any different when browsing it with Firefox/IE7.

    Actually, Sharepoint works terrible with Firefox. All of the advanced directory and file browsing features are disabled, since Firefox doesn't support the "Internet Explorer is your file browser" functionality that IE does. Sharepoint is basically just a glorified WebDAV server, but trust Microsoft to use proprietary IE only protocols instead of standard WebDAV, which would have worked with any standards compliant browser.

    --
    "When the president does it, that means it's not illegal." - Richard M. Nixon
  9. Hidden? by UnderLoK · · Score: 2, Insightful

    You need SharePoint to do that now... This guy obviously is out of the loop. Also the last time I checked while a business CAN use Google Docs, that isn't the business solution. Sounds like a troll report, nothing else.

  10. Source? by jamesl · · Score: 4, Insightful

    And the source of this important information on pricing of an unreleased product?
    A Microsoft spokesperson told me ...

    Microsoft spokespersons with the knowledge and authority to speak about such things have a name and title.

    1. Re:Source? by TDyl · · Score: 2, Funny

      Yes, but this is a family forum isn't it?

      --
      Todd: I hope it proves as delicious as the farmers that grew them
  11. Re:Ranges from $4,400 plus CALs, or $41,000? by UnderLoK · · Score: 3, Interesting

    "People" don't pay it, businesses do. It just shows how clueless you are about software costs in the Enterprise. I guess you just assume that since you can download a copy of XP or Vista Enterprise off of a torrent it must be "cheap". Check into pricing for ANY of the major Enterprise apps, 41,000 for all of the CALs isn't shit.

  12. Google charges too, for corporate Docs accounts by themeparkphoto · · Score: 5, Informative

    Google has paid services too with similar pricing models. While there is a free "Google for domains" that gives you docs, etc, on your domain, there are additional paid tiers of support.

    1. Re:Google charges too, for corporate Docs accounts by UnderLoK · · Score: 2, Insightful

      Exactly, the OP is a clueless kid.

  13. Same with academia by witch-doktor · · Score: 2, Interesting

    People still use Matlab, even though the combination on Python and matplotlib does just fine. People could use LyX, but they use MS word. It can't be usability, its not the number of bugs. I think its just inertia. Also, in academia, the lab pays for a copy and then it gets shared onto individual machines (even though the licensing may not allow that). So most academics are technically violating terms of use. But if you don't pay for it, you don't worry about it. But really, its coming out of our taxes, right?

    1. Re:Same with academia by maxume · · Score: 3, Insightful

      Of course much of it is inertia, but the license fees for Windows and Office in even a semi-professional setting are not 'high'. Say that the average license refresh cycle is 3 years (this is not absurd, in either direction). In that time period, the other salary and overhead for a cheap individual is going to exceed $150,000, so the (perhaps as much as but probably less than) $1,500 for software licensing is not a huge increase.

      $500 a year of savings is still $500 of savings, but it sets a pretty low bar for how disruptive something can be and still be worth it.

      --
      Nerd rage is the funniest rage.
  14. Re:Move along... by YrWrstNtmr · · Score: 4, Informative

    SP works with Firefox at a basic level. Any of the higher level functionality (editing in place, slide libraries, checkout/in, etc.) needs IE, ActiveX, and Office.

    The real name for SharePoint is Microsoft Office SharePoint Server. It's an online extension of the Office suite.

  15. Re:Ranges from $4,400 plus CALs, or $41,000? by Runaway1956 · · Score: 2, Insightful

    Grandparent is clueless? I don't think so. PEOPLE pay for Enterprise. All those costs are passed on to consumers. ALL of them. Those corporations that don't market to consumers pass THEIR costs on to other businesses and/or governments, who in turn, pass those very same costs on to consumers/taxpayers.

    So - who is clueless here? It costs ME, and it costs YOU when the idiot managers around the globe to decide that one stupid workstation is worth tens of thousands of dollars.

    --
    "Windows is like the faint smell of piss in a subway: it's there, and there's nothing you can do about it." - Charlie Br
  16. Re:Move along... by tonycheese · · Score: 2, Informative
    I'm confused; when did Microsoft claim the suite was going to be free to corporate users? From the PC Pro article,

    Microsoft says the online applications will be free to consumers and small businesses, via Windows Live. Larger businesses can choose to host their own versions of the web applications via their SharePoint server or buy them as a hosted service from Microsoft.

    I found this article from the previous Slashdot summary about Office 2010.

  17. Details at Eleven by thethibs · · Score: 4, Funny

    Wow! Microsoft is selling its software! Be still my heart!

    --
    I'm a Programmer. That's one level above Software Engineer and one level below Engineer.
  18. Glad to be off that treadmill by HangingChad · · Score: 4, Interesting

    A Microsoft spokesperson told me that customers will need to buy a SharePoint server, which ranges from $4,400 plus CALs, or $41,000 with all CALs included, if they want to share documents created using the online version of Office 2010."

    I am so happy to be working in an office free of the MS strangle hold. CALs always struck me as the most insidious of their macabre licensing circus. First you pay for the software, then you pay again so people can use it. What a racket. For the $41,000 you're paying in CALs I can cover an employee salary for 8 months (that would be one of the lower level people).

    We don't have any problems getting our work done at the office without Microsoft. We have corporate Gmail and use GoogleDocs, so far with zero problems. If we have super sekret corporate information we can't trust to Google, we can store them in the truecrypt file container. We can send out pdf's to clients and customers, everyone can read them and they format just fine.

    Plus I really like that we don't have to fit either our business processes or development processes to MSFT models. It's a lot more open and a lot more productive. You don't realize how much time you spend dancing on Microsoft's string until you get away from them. And, as an extra bonus, I can blow your ROI and TCO numbers out of the water. Just about any metric you want to use. And I never have to make the painful choice between layoffs and new servers. We can upgrade on our schedule, patch on our schedule, work the way we want to. If we need more capacity, we just stand it up. If we don't need it we can turn it off and it's not wasted money sitting there doing nothing.

    And it's not just a small office. If you set it up right, you could do the same thing with almost any size organization. The only consistent pain in the rear problem we have regularly are those damn webinar programs. GoToMeeting and crap like that. Many of those are Windows only. That's kind of annoying.

    --
    That's our life, the big wheel of shit. - The Fat Man, Blue Tango Salvage
  19. Re:Ranges from $4,400 plus CALs, or $41,000? by Runaway1956 · · Score: 2, Interesting

    "people only pay for MS licensing if it makes business sense"

    *cough* And, investors only invest where their money will grow - it only makes business sense. *cough*

    Perhaps you have noticed something they are calling an "economic meltdown"? All those kids we sent to college to learn how to run things aren't all that smart after all, are they?

    Allow me to assert quite plainly here - IT MAKES NO SENSE AT ALL. If all of my neighbors agree that the earth is flat, the earth doesn't become flat because of their belief. Paying tens of thousands of dollars for licenses to use some software in accordance with MS (or anyone else's) wishes makes no cents at all. Idiocy, no matter how many degrees on holds.

    --
    "Windows is like the faint smell of piss in a subway: it's there, and there's nothing you can do about it." - Charlie Br
  20. OH NO! by Philip+K+Dickhead · · Score: 2, Interesting

    A for-profit, closed-source and highly-profitable company is going to charge real dollars for corporations and businesses that use their software!

    How dare they! What gives Microsoft the right to adapt their successful business model to Application as a Service?

    When will this outrage stop!

    Really now, people. If you want free beer, let Google steal your companies IP and private communications.

    If you want a free puppy, go to town on OOo and whatnot. :-)

    Personally, I LIKE the puppy option, but not everyone is Caesar, the dog-whisperer.

    --
    "Speaking the Truth in times of universal deceit is a revolutionary act." -- George Orwell