Analyst: Microsoft could bring in $2.5 billion in 2014 by selling an iOS version of Microsoft Office

Analyst: Microsoft could bring in $2.5 billion in 2014 by selling an iOS version of Microsoft Office
Adam Holt, an analyst with Morgan Stanley, took to his calculator to compute that Microsoft could add another $2.5 billion in revenue in 2014 by selling a version of Microsoft Office for the Apple iPad. The analyst comes to this figure by using a 30 to 40% attach rate for Apple iPad users which would be larger than the 10% to 15% rate that Windows users generate for Office.

Holt figures that the price for the suite would be $60 for those who use the Apple manufactured slate. Assuming that there would be 200 million iPads sold by 2014, the analyst fills out the variables with a 30% attach rate and a $60 price tag. Using fingers and toes, that adds up to $2.5 billion in revenue for Redmond based Microsoft. As far back as November 2011, there was speculation that Microsoft was working on a version of the Office suite for the iPad, although nothing has ever been released from Microsoft's camp.

Because of the lack of a precise input on the iPad, and no dedicated files system, a version of the Microsoft Office Suite for the tablet would have to be less functional than the version sold for PCs. Such a watered down version of the suite would also have to come down in price dramatically meaning that Holt's estimate might be very much overly optimistic.

source: electronisa



1. BattleBrat

Posts: 1476; Member since: Oct 26, 2011

I (stupidly) bought an ipod touch xxl (known to you as an ipad 4) And it is worthless, my Xperia Tablet S SMASHES this POS, I hear people saying that the Ipad is a better tablet than an Android Tablet, And they are FULL OF IT!!! The lack of a file system cuts the legs out from under it. and the lack off floating resizable apps further kills it OverSkreen browser is badass, and Floating Widget is equally badass. I can type something in quick office while looking something up in OverSkreen, while having slacker radio's control widget on screen (with floating widget) AT THE SAME TIME! Then i can using androids file system, transfer it to a memory stick using a $1 adapter With the giant iPod touch I can do none of this. IT IS A GIANT I POD TOUCH NOTHING MORE! Office will be equally worthless on the giant iPod touch, $700 down the drain!

7. jsdechavez

Posts: 814; Member since: Jul 20, 2012

I suffered the same. A week after the iPod touch (iPad mini micro) I was wondering why I bought. It was useless.

2. ogy_dogy

Posts: 453; Member since: Jun 29, 2012

If msoft did make office for ios they would be negating their own strategic advantage, which i think they are not that stupid to do. Only office app for the ipad i see appropriate is some kindof viewer cos lets face it, it is not a content creating device...

6. jroc74

Posts: 6023; Member since: Dec 30, 2010

As far as trying to give WP and Surface devices an advantage...I agree. For their bottom line....I agree with the article. I have been saying this since I found out they were going to bring it to Android and iOS. Do they risk having the full version exclusivly for WP and Surface, and hope it helpd them both grow? Or do they make it available to the 2 platforms that are 1 and 2 in market share?

3. Droid_X_Doug

Posts: 5993; Member since: Dec 22, 2010

If MS could get the Surface Pro weight down to iPad 9-inch territory (1.5 lbs) with Core i7 and 4 to 8 Gb RAM + 128 to 512 Gb storage, I bet they could cannibalize iPad through mid-tier notebook sales. Office could further drive that opportunity for MS. Just like it did during the PC wars. Surface Pro is a real opportunity for MS. They just need to not f*ck it up.

4. joey_sfb

Posts: 6794; Member since: Mar 29, 2012

Microsoft want Apple to discount on the 30% app sale charges but Apple refuse. Argued until Face turns blue. If i am microsoft i will just setup a microsoft store in Android and the rest is history.

5. rusticguy

Posts: 2828; Member since: Aug 11, 2012

Well M$ needs every penny from Office suite to keep funding BING and WP. There was a nice alternative to MSOFFICE/COMMUNICATION developing in form of UNISON but somehow the project got dumped ... maybe some backdoor dealings as that was biggest threat to Office Communication market of M$/Google/CISCO because it was completely free including the desktop client..

8. jsdechavez

Posts: 814; Member since: Jul 20, 2012

MS would cash in if they sell their wares to iOS but that would take a big, big bite out of Windows and Windows Phone sales.. I would say NO.

9. darkkjedii

Posts: 31607; Member since: Feb 05, 2011

I'd use it on mine

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