Microsoft vs. Google Apps?

Mary Jo Foley of ZDNet's All About Microsoft has a fascinating post up that says that a Microsoft executive told her that the company has already released an ad-supported version of its low-end Microsoft Works suite. But when Foley contacted Microsoft PR for confirmation, it not only wouldn't confirm that such a product exists--it wouldn't comment at all.

If an ad-supported version of Works is already on the market, it's the best-kept secret in software--I can't find mention of it anywhere. The Microsoft exec in question may have jumped the gun on discussing something that's in, er, the works; the company has talked about the possibility of Works going free in the past, so it would be no shocker if it were to happen.

In fact, it would be a shocker if it, or something sorta like it, didn't happen pretty soon. The monopolistic cash cow known as Microsoft Office is under attack from Google Apps, and while Apps is a long, long way from being able to match Office feature for feature, it's flexible, fun, and free. And from what I can tell, it's not going to just go away--Google seems to be serious about improving it steadily and marketing it aggressively.

I don't know any more about an impending free version of Works than Foley does, but if it's basically the same Windows application that Works has always been, except with ads and without a pricetag, it'll only be answering half of the challenge presented by Google Apps. And long term, Google Apps' price is less interesting than the fact that it's a Web-based service that puts its tools and your documents in any browser, with better and more innovative collaborative features than Office has ever had.

Microsoft isn't going to be able to extinguish the Google Apps threat with any traditional piece of client software. I'm convinced it has to build a productivity service of its own; I wouldn't be the least bit surprised if it's working on one right now. Or if it were marketed under the Works name, since nobody thinks of Works as a product that's powerful enough to put Office out of business.

A free Works that wasn't Web-based would be, at best, a stopgap. But that doesn't mean it's not about to happen...

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