Microsoft Corp. this summer unveiled a sweeping new company strategy and restructuring through its Microsoft.NET initiative-moving away from merely selling software to providing end-to-end Internet services.
Central to Microsoft’s philosophy is that the same Internet applications will be accessed across a variety of devices and networks in the future, and the company aims to support any avenue or vehicle to ensure that accessibility. Wireless technology is expected to play a significant role in this new paradigm.
To address the market, Microsoft formed the Personal Services and Devices Group, in charge of consumer products and services. Under this umbrella dwells Microsoft’s Mobility Group, formed to oversee all Microsoft’s wireless and mobile initiatives in the device, server, development and application and content spaces.
“Mobility is a key part of the .NET effort,” said Scott Gode, group product manager of Microsoft’s Business Productivity Group for the new Mobility unit.
He said the company aims to present a more consistent message of its wireless and mobility strategy.
“Microsoft has been criticized for not being focused enough on solutions and too focused on standards,” Gode said. “Overall, we’re looking to create end-to-end services from the back office to the network platform to the device.”
To meet this goal, Microsoft is developing a mobile application server code-named AirStream at the center of the .NET platform. AirStream is expected to go into beta trials by this fall. It is designed to make any back-office content available on any device. Unlike the WorkStyle Server from Microsoft-funded Wireless Knowledge, the AirStream server is envisioned to support all back-office content, not just that residing on Exchange servers.
“We see that as a key investment to bring content together with the devices,” Gode said.
While Microsoft already has its server technology and content in the corporate environment and Internet, and its Windows CE operating system powers several devices, the AirStream server is Microsoft’s play to wireless carriers.
“We’re looking to make this a win-win risk vs. reward relationship with the carriers,” Gode said. “We’ll go to carriers and sell the platform to their data center and then help them build applications on top of that platform.”
Microsoft plans to sell the server product for a one-time fee. It then will donate developers and development tools to help carriers create applications for the platform. The company plans to collect a per-user fee for successful applications, but will not charge for failed applications.
“That’s how we monetize and make money,” Gode said. “If the application is a flop and doesn’t work, we don’t take a thing.”
He said other projects include opening more Mobility Solutions Centers worldwide. The first was launched last month in Stockholm, Sweden. Others are planned for the United States and Asia.
“The sole focus is to work with carriers and develop and co-market these solutions to their customers,” Gode said. “It’s definitely a long-term policy. We plan to be in there over the long haul.”