The giant (Microsoft) is moving

I’ve written several trees in the past about why I think Microsoft should be given more respect in the SaaS world (If you are interested they are here, here and here)

 
Today Mary Jo Foley leaked a memo outlining how the development of Live will be even closer linked with the upcoming windows 7 platform.

 

The bottom line, according to the planning memo: “Windows Live will have value for every Windows customer. If you have an email account and use the Internet, Windows Live will make your experience better.”

 
Will this make value application providers shake in their boots? I doubt it.

 
But it will do a long way to validating the live platform and driving a whole lot of repeat eyeballs to their site. Couple that with things like workspaces ,  CRM 4.0 and the platform elements and they are building a pretty broad (and compelling) proposition.

It is my opinion that they will also continue to bring in many more ‘MS Live’ certified applications because they already have the largest development community, and have now coupled that with a platform and SDK’s to support this. They might be a little late but they’re brand will help them (and the SaaS market as whole).

 
MS are in a unique position here. They own the desktop space, they own the email market. They have a growing and aggressive stance in the mobile market and they have a growing play in the unified comms space.  

All of these share one key attribute. You use them all many times a day, that is to say they own eyeballs. Many many more eyeballs then Google, and look at their ad funded revenue and subsequent market cap. If MS pull this off not only will they get you on the desktop licenses, they’ll get you on the live component AND tie it all up with some advertising revenue to boot!!  Ambitious play, perhaps I’m reading too much into it, but I’m pretty sure of the logic here.

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