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Salesforce.com unfazed by Microsoft CRM

Salesforce.com has responded to Microsoft's Dynamics CRM 2011 Online launch, calling the company's latest offering a "snapshot of history".
Written by Colin Ho, Contributor

Salesforce.com has responded to Microsoft's Dynamics CRM 2011 Online launch, calling the company's latest offering a "snapshot of history".

Microsoft's online-hosted CRM system represents the software giant's first foray into providing CRM via its own cloud, something Salesforce.com has been doing for a decade.

In an effort to attract customers Microsoft has offered up to $249 in product credit per user for any Oracle and Salesforce.com customers switching to Dynamics Online.

However, Salesforce.com has verbally shrugged about the offer.

"Microsoft still bases its CRM on desktops, proprietary systems and Outlook. That's a snapshot of history — not a social app for today's mobile, open world," the company said in a statement.

Microsoft's offer is not hook-free in any case, with only companies between 15 and 250 users being eligible. Those who take it up will also be locked into a two-year licensing agreement.

Microsoft wouldn't be the first Salesforce.com opponent to use monetary enticements to lure customers to its fold. In 2008, NetSuite offered its product for half of the amount Salesforce.com customers were paying at the time. In 2009, it extended the offer due to strong interest.

In addition to the monetary incentive, Microsoft will be using local partners and software vendors to sell the service to Australian customers.

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