Office Live will allow businesses increase their online business by giving them a domain name, company email address and Microsoft hosted websbite for free. The move comes as the company looks to compete against rivals that offer software over the internet. For example, Google recently launched free online spreadsheet and word processing software.
Microsoft believes Web services will work in tandem with PC-installed software, a vision that differs from that of 'software as a service' advocates, such as Salesforce.com and Google, who expect services delivered over the Web to replace traditional software.