We should all be very worried about this PAYG model from Microsoft. Simply put Microsoft has reached the end of its development cycle for products. Most customers use less than 1% of the functionality of office, and in terms of true innovation in terms of the product development map going forward, there isn't anything major left in terms of development that would spur mass adoption. What to do? PAYG is the only commercially viable model that protects income streams going forward. The fact that most of us could easily survive on our current versions of office for the remainder of our working lives is now a threat to the original business model. So expect Microsoft to start bundling cloud services and SAAS API's as a way of justifying the offering going forward. Privacy will be the next big threat to the model as cloud based networked applications open themselves up to surveillance and security issues to a greater extent than we had before.
Just take your 1Tb storage T&C's for example - which country is your data stored. In Europe there is protection for your data, but not to the same extent in the US. Data ownership and the legal rights attached to it are important.
Just imagine what the sum of your digital content is, and then imagine AI Google type scanning, and you have a perfect profiling tool.
No my friends, I am going the way of Linux, TOR, Encrypted disk images and standalone storage in this new world. There are two reasons for this, firstly I don't trust corporations with my data and secondly I don't trust corporations with my client data. So for personal and professional reasons, I am having to move in another direction to the one Microsoft wants me to.
Don't get me wrong, this is still a great product and for 99% of the world who want to write a family newsletter and go school projects, 365 is a great innovation as it is hardware independent. But In terms of corporate adoption, this is a swiss cheese product.
