Wednesday, October 16, 2013

why Office 365 being offered Free For Students Is A Big Deal

"Around half of Microsoft's operating income comes from its Office product family. (10-K, p. 6-7; Earnings Release) In other words, Office is a must-win battle for Microsoft.

The problem has been that Google (GOOG) Apps are free for consumers. Similarly, Apple (AAPL) recently made its productivity suite iWork free for new iOS mobile devices. Students as a consumer category need productivity tools, but at the same time don't really have the money to pay for them. Therefore Google Apps at no cost is an attractive alternative to Office, especially for students.

Students are nevertheless a very important customer group, because they can become paying customers in the future. The value of a company is the present value of its future cash flows. By offering free productivity tools, Google has been winning over future paying customers from Microsoft. As a result, the potential amount of future cash flows derived by Microsoft from Office has declined."


rest of story: http://seekingalpha.com/article/1748182-office-365-free-for-students-is-a-big-deal?source=email_rt_article_readmore

4 comments:

  1. You know what I think, children are already paying enough and some of them will continue doing this for the rest of their lives. That is why such things have to be free of charge for them. Every little service counts. It is enough that they have to study and work same time. As a matter of fact, this is the exact reason why they end up missing their classes and as a result they are turning to MyEssayService website that often. That how it goes

    ReplyDelete
  2. I think this is an incredibly good deal. Company will win not only due to it's Office product family, but also by increase operating income of other products. Now it's difficult to learn, it's a great work for each of us and to reach your goals you need to work hard and purposefully. I recommend ratings of writing services. Not all problems can be solved by itself, in some ways better to trust the masters of their craft.

    ReplyDelete
  3. While I was a student at the university, I often used this program, but still its price is too high, so I started writing texts using free services or Paid Paper. Each student can use the most convenient option for him.

    ReplyDelete
  4. It's really very cool when such huge corporations as Microsoft think of ordinary students and makes one of their most popular products available for an absolute any student. But nowadays a lot of students prefer to buy essay cuz they prefer to spend all their free time with friends.

    ReplyDelete