Microsoft Loses Billions by Delaying Office for iOS

Analyst believes that keeping Office on Windows is a very costly decision

By on February 15th, 2013 21:31 GMT

Even though several sources familiar with the matter have hinted that Microsoft may actually release an iOS version of its popular Office productivity suite, company executives say this is not the case, with the product very likely to remain Windows-exclusive.

But according to Morgan Stanley analyst Adam Holt, Microsoft is losing $2.5 billion (€1.8 billion) every year just by blocking a potential project to bring Office on iOS platforms.

According to Fortune magazine, the analyst used an attach rate of 30 percent in 2014 on 200 million iPads and an average selling price of $60 (€44.85). Apple would receive 30 percent of the revenues, so Microsoft would get a total of $2.5 billion per year, the analyst explained.

A new rumor, on the other hand, suggests that Microsoft may bring Office on Linux distributions as soon as 2014, as the popularity of this particular platform could help the Redmond-based software firm boost revenues of its Office division.

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Microsoft is yet to confirm Office for iOS
   Microsoft is yet to confirm Office for iOS