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ZDNet: Why did Microsoft really buy into Corel?

Oct 03, 2000, 20:44 (21 Talkback[s])
(Other stories by Mary Jo Foley)

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"Within minutes of Microsoft announcing on Monday that it was investing $135 million in Canadian software vendor Corel, the Redmond paranoia -- which the open-source community has turned into an extreme sporting event -- began running rampant...."

"Nipping another potential legal action in the bud was worth $150 million to Microsoft, no doubt. But I also believe Microsoft made the investment as a way to hedge its bets in the desktop-suite space. Sun Microsystems' StarOffice suite is set to go open-source on Friday the 13th of this month. Sun already has given away lots of free copies of StarOffice."

"Microsoft doesn't want to be forced to give away one of its biggest cash cows, Microsoft Office, in any way, shape or form. But giving away Corel WordPerfect Office wouldn't hurt Microsoft one bit. I can envision a world where Office, either stand-alone or hosted, is Microsoft's desktop suite for paying customers and WordPerfect Office is the free, downloadable desktop suite for the rest of us."

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