Subscription Model
I happen to like the subscription model. $99/year includes installs on up to five computers (Mac and PC), so it's a pretty good value for a small business. Upgrades are included, so that makes it even sweeter. As much as I love iWork (a lot), so much of my workflow with clients relies on MS Office. Yes, I know you can export iWork docs to MS Office formats, but formatting gets screwed up, and a variety of other incompatibilities make it a less than perfect solution. Considering what MS used to charge for buying Office outright as well as for upgrades, this is really inexpensive. It's not for everyone. But, in a work environment where you need multiple installs and have a desire to stay current with versions, it's a winner. By the way, I feel the same way about Adobe CC. I'm willing to pay monthly to ensure that I have access to the most current versions of all of the apps in a particular suite. Software as a service has been around for years in the big corporate environments and it's something that is creeping its way into the consumer space, like it or not. As for me, put me in the "like" category.
By the way, in the limited time that I've spent with the new Office iPad apps, I think MS did a great job. (Ouch, it hurt me to say that.)