Microsoft's cloud is more about Notes migration and less about a new IT architecture
Monday morning I went to Microsoft's launch of new online services. Previously they were only available for large companies now they are available to any size business in the US with a rest of world roll out in March 2009.
I listened to customer case studies, about security, etc. I heard about the $2bn MSFT has spent in its recent fiscal year on building data centers around the world. I was told that there are now half-a-million enterprise users of Microsoft Online Services.
However, of those half-a-million users, only a third are there because of the great benefits of using Microsoft's cloud, they are there because they want to migrate away from IBM's Lotus Notes system. That means that there is a massive amount of education needed in the market and that few customers see the benefit of moving to Microsoft's cloud.
Ron Markezich, corporate VP of Microsoft Onlne said, "Two-thirds of our users are using our Online Services because they want to move away from Notes."
It can cost corporations as much as $1,000 per user to move away from Notes. By signing up for Microsoft Online Services it is aquicker and cheaper way to move to a different solution.
Microsoft's Online Services Group might be better renamed the Lotus Notes Migration Solution Group!
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