Microsoft develops new software for small businesses

Microsoft has developed a new range of computer software applications specifically for small businesses.

According to the Financial Times, the new software will be available over the internet and will allow small business owners and their employees to manage emails and collaborate documents - without having to install any programmes in advance.

Microsoft's latest offering comes a year after Google unveiled its own collection of office applications, which are available to small businesses online for a small annual fee.

The cost of Microsoft's online office applications has not yet been announced, but the package will contain email exchange software and SharePoint technology.

Chris Capossela, Head of Microsoft's office applications says Google's software is only adequate for the very smallest businesses.

"Looking at their software, it's incredibly basic….It isn't good enough for a 50-person company," he commented.

Google's online applications comprises of Gmail, Google Talk, Google Documents and Google Calendar, which can all be used without having to install software.