Microsoft to expand into online applications and services

Microsoft to expand into online applications and services

After dominating the software market, now the world’s largest software company Microsoft is looking towards expanding its online services module to gain more profits in the near future. The company this week released their plans to create a new generation of internet-based services with the aim of bringing in more advertisers to boost the growth on the net. It plans to increase revenues by generating subscription and transaction based revenues to supplement its more mature businesses.

They are already present in the online search advertising and Xbox online gaming market and now the new areas the company is planning to invest into are communications, web-based storage, and tools to help workers collaborate better. The company executives were addressing the investors at the company’s annual analyst meeting.

They also plan to move beyond the MSN Internet services to expand by getting into providing services through their Windows and Office divisions. Steve Ballmer, chief executive of Microsoft said that they would be emphasizing on services reflecting a broader transition in the software industry. He also claimed that the influence of the Internet on the software market has just begun and it would be expanding in the future to generate more avenues of growth.

The company surely look impressed by the way online startups like Google and Amazon has grown up to become biggies in their fields and they are now looking into ways to generate revenues on the net.