Microsoft takes on Salesforce.com with SaaSy CRM

Stephen Withers
Wednesday, 11 July 2007 01:42

Business IT - Technology

Salesforce.com has been practically synonymous with CRM delivered through the software as a service (SaaS) model - but now Microsoft is muscling in on the act. An early access program for Microsoft Dynamics Live CRM begins this quarter, initially providing no-charge access for organisations in North America.

THe regular price will be $US44 per user per month, discounted to $39 during 2008. (Salesforce.com starts at $US10 per user per month.)

Dynamics Live CRM will be operated by Microsoft from the company's own data centres and will be sold through partners, which will receive 10 percent of their customers' subscriptions. An incentive rate of 15 percent will apply during 2008.

The software works with Outlook and web browsers, and includes workflow features. An Enterprise version will be introduced During the first half of 2008, priced at $US59 per user per month and adding offline data synchronisation.

Microsoft's plans include a marketplace for partners to offer offer additional functionality for specific purposes and industries that integrates with Dynamics Live CRM, just as Salesforce.com's AppExchange works for that platform.

Dynamics Live CRM is based on the same code that will appear in a forthcoming version of Microsoft Dynamics that should be offered for on-premises and partner-hosted deployment by the end of this year.

"The new Microsoft Dynamics Live CRM service offers tremendous application configuration capabilities, allowing our customers and our partners to deploy on-demand CRM systems that work the way that each individual business does," said Brad Wilson, general manager of Microsoft Dynamics CRM. "Together with our on-premise and partner-hosted offerings, we give customers and partners the ultimate in choice and flexibility in how they deliver CRM capabilities to users."

The availability of Dynamics Live CRM outside North America will be announced at a later date, Microsoft officials said.