How can the SaaS model of Office 365 help your business?

Published by WitzEnd Computing on June 29th, 2011 - in Office 365

Office 365 was officially launched yesterday and is now available to the public.

Office 365 is built on the tools that most people in business have used throughout their careers. These tools include Microsoft® Word, Excel®, Outlook®, Power Point® and Publisher. Most businesses use Microsoft server software to enhance collaboration with these tools, such as Windows Server®, Exchange Server, Small Business Server and SharePoint® server among others.

The initial investment required to purchase licenses and install servers can be overwhelming to a new startup. Many startups have used lines of credit or leases for IT funding. Now there’s a new model emerging, SaaS or Software-as-a-Service. It’s a pay-as-you-go model for online collaboration tools.

The advantage of SaaS as it relates to Office 365 is that you can eliminate most of the initial cost and ongoing expenses of in-house servers. For example, a startup with 10 users, that needs a Microsoft Exchange server might purchase:

Initial Expense:

  1. A physical server – $4000+
  2. Windows® Small Business Server, which includes Exchange + client access licenses $900+
  3. Set up of a server environment, dedicated power, electricity, air conditioning – $1500+
  4. Installation – $1500+

Ongoing Monthly Expense:

  1. IT maintenance – $100.00
  2. Electricity, Air Conditioning – $50.00
  3. Anti-spam protection for Exchange – $50.00
  4. Off-site or online backup – $50.00

Compare this to the SaaS model. The same startup can purchase Exchange Online through the Office 365 Plan P1 Exchange Only for $50 a month for 10 users ($5 per user). If they want file management with a company intranet site they can upgrade to the full Plan P1 for $60 a month ($6 per user). See Office 365 Pricing.

Plan P1 Includes:

  • Exchange Online – 25 GBs of storage
  • Forefront® Anti-spam protection
  • Premium Outlook Web Access
  • Outlook Mobile Sync
  • SharePoint Team Site
  • Online Meeting
  • Lync™ Rich Client – IM
  • PC to PC calling

Startups can eliminate the initial expense and much of the ongoing expenses with Office 365. Businesses that already have this infrastructure in place will benefit if they move to Office 365, by eliminating some of the additional month to month expenses, like electricity, anti-spam protection and online backup. They will also eliminate upgrade costs.

Take a test drive of Office 365. Or call 619-301-3501 for a free consultation.

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