Microsoft unveils bigger push into Web-based software

SAN FRANCISCO - Microsoft unveiled Web services based on its flagship Windows and Office products as part of its strategy to deliver software over the Internet and cash in on a fast-growing market that has been staked out by smaller rivals.

At an invitation-only gathering for analysts and media held in San Francisco, Microsoft Chairman outlined what he called "live software" that aims to make software a service, linking all digital media, applications and devices.

The new Web software will initially be supported by advertising revenue, though the company will later offer paid subscriptions.

"This is a big change for everybody," Gates told the gathering. "It is employing every part of the (software) ecosystem."

The company will offer "Office Live" to help small and midsize businesses use and maintain the suite of software used for applications such as email, scheduling, spreadsheets and word processing.

For consumers, Microsoft unwrapped its "Windows Live" service that combines things like instant-messaging from its MSN service, email and a service for creating blogs. The new service will also allow users to do such things as move information from one computer to another.

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