Mobile Tech Today

CIO Today Network Sites:   Top Tech News  |   CIO Today   |   Mobile Tech Today   |   Data Storage Today
News & Product Reviews for Mobile Tech Users
Neustar, Inc.
Protect your website & network
using real-time information & analysis

www.neustar.biz
Wednesday, April 16th 
Real-time info services with Neustar
Trending Topics:   Security Heartbleed Big Data Cloud Computing Windows XP Data Centers OS X Mavericks
Home
Laptops & Tablets
Mobile Phones
Mobile Gadgets
Mobile Apps
BYOD & MDM
iPad
Mobile Industry News
Wireless Connectivity
Wireless Security
GPS & Maps
MTT Press Releases
 
Free Newsletters
Top CIO News
 
Mobile Tech Today
 

iPad

Is Microsoft Leaving Billions on Table with No Office for iPad?

Is Microsoft Leaving Billions on Table with No Office for iPad?
February 15, 2013 11:28AM

Bookmark and Share
"Consumers would pay a price for Office that's similar to what they pay for most apps," said analyst Michael Cherry. "The downside is it could slow the sale of more-expensive PCs with more-expensive versions of Office. It would probably cannibalize sales somewhat on other platforms. There's a case for and a case against doing it."

APC has an established a reputation for solid products that virtually pay for themselves upon installation. Who has time to spend worrying about system downtime? APC makes it easy for you to focus on business growth instead of business downtime with reliable data center systems and IT solutions. Learn more here.

Microsoft so far has declined to produce a version of its popular Office productivity suite for Apple's iOS. That makes it more difficult for millions of iPhone and iPad users to work on Microsoft Word, Powerpoint and other documents on their mobile devices. But it also means Microsoft could be leaving billions of dollars on the table.

Indeed, according to Adam Holt, an analyst at Morgan Stanley, Microsoft could be missing a $2.5 billion opportunity in choosing not to offer Office on the mobile platform. Although Microsoft makes its CRM software available for the iPad, Apple users are left in the cold when it comes to other Microsoft productivity apps.

"While MSFT has resisted offering a full version of Office for the iOS, the co. may ultimately decide there is more upside with Office on iPads, particularly if Win tablets fall short of expectations," Holt wrote in a research note. "The Surface RT likely sold only 900K-1M units in CQ4, while OEMs have pulled back on tablet builds and it may be difficult for MSFT to reach much more than 10% tablet share in CY13."

Money Money Money

So how does Holt get to the $2.5 billion? It's not much of a stretch, really. Holt figures attaching Office to new iPad units for the fiscal year 2014 could add $1.3 billion in revenue. And that's really the low side. That number supposes only 30 percent of iPad users would install Office on their iPad. If every iPad user opted to install Office, that number rises to $2.5 billion. Android sales could add even more to the total.

As Holt sees it, Office exclusivity on Windows tablets is important, but the iPad opportunity may be larger. He points out that Microsoft actually sees a three to four times higher paid Office installation rate on Macs (30 percent to 40 percent) than Windows machines (10 percent to 15 percent).

"Our conversations lead us to believe MSFT will price for value with Office on the iOS and net 30 percent to Apple (which can be negotiated), MSFT may get $50 to 70+//Office unit. If MSFT got 30% attach in one yr. at $60/unit on the ~200M base it is $2.5B in rev. -- more than the total amount of software rev. We forecast for MSFT (Office + Windows) from 11% tablet share in FY14," he wrote. "The math is compelling and may drive MSFT to move Office." (continued...)

1  |  2  |  Next Page >

 

Tell Us What You Think
Comment:

Name:



 iPad
1. iPad Hacker Conviction Overturned
2. Apple vs. Samsung: Latest News
3. Office for iPad Pretty, Functional
4. Office for iPads Talk Boosts Microsoft
5. Apple Drops iPad 2, Resurrects iPad 4


Have an informed opinion on this story?
Send a Letter to the Editor.
We want to know what you think.
Send us your Feedback.

 Related Topics  Latest News & Special Reports

  Amazon 3D Smartphone Pics Leaked
  Zebra Buys Motorola Enterprise Biz
  Google's Modular Phone Set for January
  CTIA Caves, Offers Kill Switch Plan
  Motorola Sells Enterprise Biz to Zebra

 Technology Marketplace

Business Intelligence
Get real-time, cloud-based information services with Neustar.
 
Cloud Computing
BMC's I.T. solutions unleash the power of your business
Next Generation Data Center Is Here! Vblock™ Systems from VCE
 
Contact Centers
HP delivers the future of the contact center with HP Qfiniti 10.
 
Data Storage
Next Generation Data Center Is Here! Vblock™ Systems from VCE
2.5" Enterprise-class SATA & SAS SSDs for server & storage applications
Barium Ferrite (BaFe) is the future of tape.
 
Enterprise Hardware
2.5" Enterprise-class SATA & SAS SSDs for server & storage applications
Barium Ferrite (BaFe) is the future of tape.
 
Enterprise I.T.
BMC's I.T. solutions unleash the power of your business
 
Hardware
Protect your network with APC Smart-UPS battery backup
 
Network Security
Protect your network with APC Smart-UPS battery backup
 

Network Security Spotlight
IBM Offers Security, Disaster Recovery as SoftLayer Service
New disaster recovery and security services for SoftLayer clients are being added by IBM. Big Blue said the new capabilities will speed cloud adoption by alleviating concern over business continuity.
 
How To Beat the Heartbleed Bug
Heartbleed headlines continue as IT admins scramble for answers no one has. Early reports of stolen personal data, including 900 social insurance numbers in Canada, are starting to trickle in.
 
After Heartbleed, OpenSSL Calls for More Support
The president of the OpenSSL Foundation says more support is needed from companies and governments that use its software so that it can better spot and fix flawed pieces of code such as Heartbleed.
 

Enterprise Hardware Spotlight
Vaio Fit 11A Battery Danger Forces Recall by Sony
Using a Sony Vaio Fit 11A laptop? It's time to send it back to Sony. In fact, Sony is encouraging people to stop using the laptop after several reports of its Panasonic battery overheating.
 
Continued Drop in Global PC Shipments Slows
Worldwide shipments of PCs fell during the first three months of the year, but the global slump in PC demand may be easing, with a considerable slowdown from last year's drops.
 
Google Glass Finds a Home in Medical Education, Practice
Google Glass may find its first markets in verticals in which hands-free access to data is a boon. Medicine is among the most prominent of those, as seen in a number of Glass experiments under way.
 

Mobile Technology Spotlight
Amazon 3D Smartphone Pics Leaked
E-commerce giant Amazon is reportedly set to launch a smartphone after years of development. Photos of the phone, which may feature a unique 3D interface, were leaked by tech pub BGR.
 
Zebra Tech Buys Motorola Enterprise for $3.45B
Weeks after Lenovo bought Motorola Mobility’s assets from Google for $2.91 million, Zebra Technologies is throwing down $3.45 billion for Motorola’s Enterprise business in an all-cash deal.
 
CTIA Caves, Volunteers Kill Switch Plan
After bucking against the concept of a smartphone kill switch, the CTIA just announced the “Smartphone Anti-Theft Voluntary Commitment” to thwart smartphone thefts in the U.S.
 

Navigation
Mobile Tech Today
Home/Top News | Laptops & Tablets | Mobile Phones | Mobile Gadgets | Mobile Apps | BYOD & MDM | iPad
Mobile Industry News | Wireless Connectivity | Wireless Security | GPS & Maps | MTT Press Releases
Also visit these Enterprise Technology Sites
Top Tech News | CIO Today | Mobile Tech Today | Data Storage Today

Services:
FreeNewsFeed | Free Newsletters | XML/RSS Feed

About CIO Today Network | How To Contact Us | Article Reprints | Services for PR Pros (In partnership with NewsFactor) | Top Tech Wire | How To Advertise

Privacy Policy | Terms of Service
© Copyright 2000-2014 Mobile Tech Today. All rights reserved. Article rating technology by Blogowogo. Member of Accuserve Ad Network.