Microsoft Monetizes Asian User Database
May 8, 2020
Retail companies are out to sell their products and services to customers, so they hit up social media platforms and other large networks willing to sell customer information. Private organizations, on the other hand, guard their clients’ information, but Microsoft is about to take advantage of its large client base to generate more profit says IT Brief: “Microsoft To Monetize Huge Windows 10 User base.”
During the COVID-19 pandemic, many Microsoft users are working remotely, 33% are in Asia, and Microsoft sees an opportunity to make money via its office suite. Microsoft is rebranding Office 365 to Microsoft 365 and they are adding Windows 10 upgrades for enterprises and new items for Microsoft Teams. Microsoft 365 will continue the subscription based service for both individuals and enterprises.
New offerings in Microsoft 365 are:
“ ‘In terms of inclusion of features, Microsoft 365 Business Premium does offer more than Zoom or Slack: it includes the Office apps, 1 TB of cloud storage, Outlook with a 50 GB mailbox per user, device and data protection tools, upgrade rights to Windows 10 from previous versions, and of course Teams, which competes with Zoom and Slack. The pricing, in addition to the bundling of Windows 10 upgrade, is likely to resonate strongly with the price-conscious Asian market in the shrinking economy,’ says [Nishant Singh, head of technology and telecoms data at GlobalData.]”
Microsoft attempted to monetize Windows 10 in Asia through the Microsoft Store, but it was not successful. Instead Microsoft will make an enterprization of consumers through Microsoft 365, who need to replicate a business enterprise through their own systems. Microsoft is less likely to make revenue through Windows as the only thing left for the OS is newer releases, but if Microsoft charges for Microsoft 365 and apps sold through it the profit margins will be bigger.
It also means that Microsoft could implement the pricing method used by airlines: Pay per bag, buy a snack, pay for another four inches of leg room.
Whitney Grace, May 7, 2020
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