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Microsoft Tests Subscription Pricing for Office



SEATTLE -- Microsoft Corp. is experimenting with selling its Office suite of programs to consumers on a subscription basis.

Instead of installing each program separately, a limited number of "beta" testers can download a bundle of Microsoft Word, Excel and other Office programs, the Windows Live OneCare antivirus program, Windows Live Mail and other free Windows Live programs.

The Redmond, Wash.-based software maker said the software subscription bundle will be more widely available later this year, but did not say how much it will cost.

But instead of paying up front _ about $150 for Office Home and Student 2007 _ subscribers will pay in regular installments for as long as they wish to use the programs. Even if PC users stop paying, their documents would still work with other programs or on other computers.

Microsoft said it is still figuring out how often subscribers would be billed.

When Microsoft fixes a bug or releases the next generation of Office, subscription customers receive the new version over the Internet. For consumers, that means less hassle; for Microsoft, that means steady revenue between major product launches.

But that doesn't mean Microsoft will stop selling packaged software in retail stores or online.

"There will always be a significant number of users for whom purchasing a perpetual license to the latest version of Office is still the best choice," said Bryson Gordon, a group product manager at Microsoft, in an online statement.

© 2008 Associated Press. All Rights Reserved. This material may not be published, broadcast, rewritten or redistributed.


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