What's the big deal? Six factors have helped transform Office 365 in the past year. Microsoft has been running high-volume cloud services for many years, and the bundle of business services we know today as Office 365 – Exchange Online, SharePoint Online, and Lync Online – debuted in 2008 as the Business Productivity Online Suite (BPOS) before being rebranded as Office 365 a few years later.īut the changes introduced in 2013 really were a sea change for Microsoft. That reliability shouldn’t be a surprise. What I’ve seen during that time is a steady progression of improvements (including important new features) and a service that has been consistently reliable across the board. I’ve spent the past year using all three services, both as an administrator and as an end user. That’s one reason commercial cloud revenues were up nearly 30 percent for Microsoft in its most recent quarter. Based on an estimate of roughly 500 million Exchange mailboxes worldwide (on-premises and cloud-hosted), that’s a shift of as many as 40 million business mailboxes to Office 365 in the last 12 months. Microsoft says over 15 percent of the Exchange installed base is now on Office 365, up 9 points in the past year. The corresponding Small Business and Enterprise editions of Office 365 debuted a month later, with new versions of Office client programs and business-focused services beginning their rollout on February 27, 2013. Office 365 needs to embrace rival platforms.
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