Microsoft Office apps for mobile devices are offered for free. The Microsoft Corporation is responding to the demand of consumers which is shifting from desktop devices to mobile ones.
Analysts think the decision to make Excel, PowerPoint and Word for mobile devices is because limiting the functionality in these apps was not a good enough reason for people to buy a subscription for Office 365.
With so many other alternatives that let users edit and view their documents, like Google Docs, Sheets and Slides and Apple’s own iWork apps there is no reason for people to pay $70 and up to $100 a year on Office apps that do the same thing as their counterparts.
Even though Microsoft gained during quarter three about 1.5 million more subscribers the revenue for a customer from their Office 365 subscriptions in fact fell 18 percent. This indicates that subscriptions were made for the Personal versions that are a lot cheaper.
As consumers prove they are not willing to pay money for the premium apps, Microsoft is making a smart move on making the most of a bad situation.
Pat Moorhead from Moor Insights & Strategy thinks that Microsoft’s move on making Office apps free of charge will encourage the people who were using Office for a long time to stay on the platform instead of moving to apps made by competitors. Microsoft’s decision to make Office free could very well translate on the apps being very profitable for the company. Moorhead explains that:
“The BYOD (bring your own device) play is critical, and because Microsoft has the ability to leverage on other platforms what people access at work, it can force enterprises to pony up for access [to Office] on employees’ devices,”
He continues to say that this is Microsoft’s real income.
Microsoft Office apps are free on iOS devices, both iPhones and iPads. The software is still in development for Android devices but it will also be available on them.
You can preview the apps if you wish to see what PowerPoint, Excel and Word will offer Android users. The official launch of the apps is expected in the early 2015.
