Microsoft takes off its xRM platform-as-a-service gloves

Microsoft takes off its xRM platform-as-a-service gloves

Summary: With stepping up its push, Microsoft seems to have decided it's finally time to talk turkey about xRM and how Microsoft plans to position a Microsoft-hosted version of it as part of its Azure cloud platform.


Two years ago, Microsoft CEO Steve Ballmer mentioned for the first time publicly that Microsoft was building a new platform based on its CRM core engine. Since that time, it's been tough to get the Softies to provide any real specifics on that technology, once known as the "Titan" platform, and now known as xRM.

But with stepping up its push, Microsoft seems to have decided it's finally time to talk turkey about xRM and how Microsoft plans to position a Microsoft-hosted version of it as part of its Azure cloud platform.

Anyone who has been studying Microsoft for a while knows "platform" is one of the company's favorite terms. Microsoft execs love nothing better than to take a standalone technology and figure out a way to build it into a developer ecosystem, encouraging its reseller partners and independent software vendor (ISV) allies to write apps that layer neatly on top of the Microsoft stack.

xRM is an "anything relationship management" platform, upon which hundreds of partners,ISVs and customers already have written line-of-business apps (LOBs) using the core stack that powers Microsoft Dynamics CRM, explained Bryan Nielson, Microsoft's Director of Worldwide Product Marketing for Dynamics CRM and XRM. The kinds of LOBs built using XRM range from a seeing-eye-dog application to complex human-resource-management systems, he said.

Some customers are relying on xRM to help them consolidate their applications, making them more easily customizable and manageable because they are written on top of a common, .Net-based platform. Others are using xRM to create extensions to CRM, Microsoft execs said. Some users decide to "turn off" Dynamics CRM but still use the xRM core to create and maintain other applications, they added, as part of their move to reduce use and dependency on legacy applications.

The element of xRM I was most interested in hearing about during my meeting with Nielson and his colleagues this week, was how it fits in with Azure, Microsoft's cloud platform.

Remember Microsoft's fall 2008 rollout of Azure, when execs briefly outlined forthcoming "SharePoint Services" and "Dynamics CRM Services" that would be part of the services layer that sits on top of the Red Dog (Windows Azure OS)? (See the Azure architectural diagram if you're feeling dazed and confused.) It turns out that mysterious "Dynamics CRM Services" box is actually "xRM application services," the team told me this week, and said Microsoft's slideware department would be updating their diagrams accordingly.

What that means to customers and partners is when Microsoft launches the first final release of Azure this fall, the ability to host relationship-management applications in Microsoft's cloud -- something to which Ballmer alluded vaguely two years ago -- will be live, too. This hosted xRM offering is Microsoft's answer to and other "platform-as-a-service" competitors.

Any customers or partners out there who potentially might be interested in Microsoft's xRM platform-as-a-service offering? What kinds of features/pricing would make you more curious?

Topics: Enterprise Software, Cloud, Microsoft, Software


Mary Jo has covered the tech industry for 30 years for a variety of publications and Web sites, and is a frequent guest on radio, TV and podcasts, speaking about all things Microsoft-related. She is the author of Microsoft 2.0: How Microsoft plans to stay relevant in the post-Gates era (John Wiley & Sons, 2008).

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  • Interesting Platform

    My company has been working with Dynamics CRM for about 8 months. We have found the platform incredibly easy to build out highly functional business apps in a much shorter period of time than using custom development. We would definitely use the xRM platform to build other non-CRM business apps if the price point per user is dropped. Something in the $100-$150 range per user for xRM would make it interesting to use for general application development.
    • Perhaps in 2011

      Once Microsoft releases "CRM 5.0" their xRM vision will become more of a reality. Don't get me wrong, we've built some great xRM applications on top of hosted CRM 4.0, but Microsoft-hosted CRM Online is still hamstrung compared to partner-hosted CRM. Microsoft has delayed the release of the next version of CRM until late 2010, which means xRM Online Services won't really begin to fly until 2011.
  • RE: Microsoft takes off its xRM platform-as-a-service gloves

    Dynamics CRM is a fantastic platform that really allows developers to focus on solving business problems rather than doing "plumbing". Kudos to Microsoft.
  • XRM Virtual User Group

    For more information about "XRM" on the Microsoft platform, check out the virtual user group that is free to join at
  • RE: Microsoft takes off its xRM platform-as-a-service gloves

    Just curious, for those who like CRM development, does that include plug-in development and offline support for the field? I'm an MS fanboy if there ever was one, but when I'm coding .NET CRM stuff (or the inevitable javascript), I feel like I've taken a step backwards. Granted, the platform takes care of a lot, but the proverbial steep drop-off is there when you go past configuration to customization and development. It feels all out of whack compared to other exciting cloud stuff MS is doing. Maybe it's just me, but I was hoping Azure would come along and get me out of the CRM/XRM funk I'm in.
  • RE: Microsoft takes off its xRM platform-as-a-service gloves

    Great article Mary-Jo. One of our Senior Architects expanded upon the xRM platform for our public sector audience on our blog. Check it out - - Dave gave a great explanation to take it to the next step.
  • RE: Microsoft takes off its xRM platform-as-a-service gloves

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