Google will give away the opponent Office software – Strategy & Business

El Financiero (Mexico)

In an attempt to beat his rival, Google tightened its attacks on the lucrative package of Microsoft Office programs. The target companies and government agencies are paid to work with word processing, e-mail, calendar, spreadsheet and other Office programs.

If you leave Microsoft, Google let them use without his own parcel cost, which usually costs five to ten dollars per user per month.

The software “Google for Work” will be free for as long as customers have a contract with Microsoft or any other supplier. The offer will be open the next six months in the United States and at some point be extended to other countries. Google is limiting free access to three thousand people a deserter client. Even with this restriction, the company provides US $ 180,000 to US $ 360,000 in annual revenue if a company with three thousand people accepted the offer.

As an added incentive, the company offers a payout of up to US $ 75,000 to each company to change its software to cover the cost of making the change.

Google, which is now owned by a newly formed company called Alphabet Inc., would not say how much is budgeted for this recent attack against Microsoft Corp. Google estimates that more than 600 companies have at least 10,000 employees using Work.

The deal puts the confidence that Google in the quality of its evidence software and is determined to hit one of the most profitable franchises Microsoft said Jim Lundy, an analyst at Aragon Research. The expert estimated that Microsoft customers currently pay $ 12 to $ 20 per user under contracts lasting several years.

Office generated US $ 23,500 million to Microsoft, nearly a third of company revenue software, in the fiscal year that ended in June.

The digital advertising continues to represent virtually all of Google’s revenue, which totaled 66 billion dollars last year. The company based in Mountain View, California, has used part of the money to be subtracted from the domain that has Microsoft in the office software since it introduced a series of rival programs for almost a decade.