ConsumerWatch

• Sep 19, 2007 8:32 pm US/Pacific
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  Google Freebies Could Sting Software Makers

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Google Freebies Could Sting Software Makers

MOUNTAIN VIEW (CBS 5) ― Google's newest giveaway looks like a long-term plan for cashing in on the a larger slice of the computer business.

Until now, you had to buy, download and install most of your common computer applications from companies like Microsoft. But now, Google offers similar programs that can be run through your standard web browser, and won't cost you a dime.

"The power of this is that everybody has all the applications they need. They just go log on and rock and roll," said SJSU Lecturer Steve Sloan, who we introduced to the applications Wednesday.

This week, Google added a presentation application, compatible with Microsoft's widely used PowerPoint, completing a suite of free programs similar to Office, Microsoft's big software cash cow.

But Google adds the power of all the information on the Web. So, their personal calendar program, for example, can put every Giants game on your schedule with one click.

Web-based applications insure universal compatibility, regardless of the device you're using, and encourage collaboration. In other words, everyone's on the same page.

The biggest loser in all of this may be Microsoft. But, with 500 Million computers using Microsoft Office worldwide, the software giant is not about to go out of business in the near future.

Unlike Microsoft, Google doesn't care about selling applications. All they care about are people using applications.

"The more that we can to do really accomplish their mission, to organize the world's information, the more users will continue to use are tools. Then the revenue will follow," said Google Apps Manager Rajen Sheth.

Google's income comes from selling ads on its search page. Those ads are targeted to the user's search request. But now, with Google hosting someone's documents, spreadsheets and calendars, what's to insure the privacy of that information?

"We very much try to protect consumer's privacy, and we do everything we possibly can to do that," said Sheth. "We've shown it in many cases in the past."

In fact, Google was the only internet search company to resist a federal subpoena last year to turn over search records.

Google's mission is to organize all of the world's information. Its new Web apps bring that organization down to the person to person level.

(© MMVII, CBS Broadcasting Inc. All Rights Reserved.)