Office 365 is suite of Microsoft products delivered software as a service from cloud. For consumers it represents a simplified pay as you go model, helping them use office products across multiple devices while for the enterprises the value proposition is workplace transformation by driving Enterprise Mobility.
Consumers can now pay a monthly subscription fee and have the word, excel and other office tools installed across 5 PCs and Macs. Users also get 5 more mobile office installs for Android and iOS platforms and there is a feature available called Office on demand which allows users to temporarily stream office 2013 applications on a windows 7 / 8 PC. In addition, one gets 20 GB of SkyDrive integrated with Office Web Apps (a subset of desktop version) and 60 Skype world minutes to make calls in over 60 countries.
Enterprises, on the other hand, are being disrupted by various needs of geographically distributed teams, decentralized work locations, BYOD and data security, social engagement platforms, etc. Office 365 for enterprise, adds additional hosted services like Exchange, Lync, SharePoint, Yammer, SkyDrive Pro, etc. to cater to these needs. These services can be accessed using Single Sign On with an on premise AD / ADFS. What’s more, with SaaS model you take the entire IT complexity and management out of the equation.
Office 365 also has something for developers. The developer subscription which is bundled free with MSDN subscription or otherwise costs 99 USD, allows developers to build applications for Office 365 including SharePoint Online. These applications typically enhance office tools – for instance an enterprise can develop set of applications for their employees and avail them under my organization section of the portal. Developers can do application development using familiar development tools. For small enterprises, which want an easy way to augment the OOB office functionality, office team offers “NAPA” – office 365 development tools right of your browser. In addition to this, enterprise developers can also use Visual Studio. ISVs planning to develop commercial applications, can publish their applications to the office store.