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Microsoft tries to box out Box by giving away more OneDrive for Business storage

Microsoft(s msft) is circling the wagons in its cloud storage and file-share push, raising the base storage allocation of OneDrive for Business to 1TB per user, up from 25GB.

And in case you were wondering how the company was positioning this move, it announced it in a blog post titled Thinking Outside the Box on Monday. For context, Box is pushing its cloud storage and file-share software that works across platforms and devices. But it’s apparent Microsoft has no intention of ceding storage or file share capabilities to Box, Dropbox or anyone else.

Instead, Microsoft is trying to entice consumers with OneDrive (previously known as SkyDrive) and business users with OneDrive for Business. And, just to add confusion to the mix, OneDrive for Business, which is aligned with Microsoft SharePoint, is not really related to OneDrive itself. Check out this Hacker News discussion of the OneDrive/OneDrive for Business dichotomy for background.

In a a blog post, Box CEO Aaron Levie responded that Microsoft’s attempt to keep Office 365 on an “closed OneDrive Island” is …

“stranding hundreds of millions of users and customers that have chosen Box, Dropbox, Google Drive, and others. And by releasing Office on the iPad without the ability to view or edit documents from any cloud service other than its own, they’re making it harder — not easier – for users to get the most out of their software.”

Anyway, as part of Monday’s news, Microsoft also said Office 365 ProPlus customers will also get 1 TB of storage per user as part of their $12 per-user-per-month subscription. As far as I can tell, Office 365 ProPlus is one of eight (8?!) Office 365 SKUs  but is not listed on the main product comparison page.

While there is some confusion, one thing is clear: the big platform vendors — Microsoft and Google(s goog) — keep parlaying cheaper storage in ever bigger allocations to get people aboard their respective cloud platforms and keep them there. We’ll be talking more about this cloud storage land grab at Gigaom’s Structure show in June where cloud execs from Amazon(s amzn), Microsoft, Google and VMware(s vmw) will all be on hand.

 This story was updated at 6:34 p.m. PST with Box CEO’s comments. 


5 Responses to “Microsoft tries to box out Box by giving away more OneDrive for Business storage”

  1. rannxerox

    Mentioned this news to our network team. They were not amused thinking of the bandwidths requirements for 3000 endpoints pushing gigs and gigs of data back and forth.

  2. Simmons

    The cheaper storage to get people aboard game reminds me of this exchange from 101 Dalmations Frederick: I thought we liked stripes this year.
    Cruella De Vil: What kind of sycophant are you?
    Frederick: Uh, what kind of sycophant would you like me to be?

    Cloud services are all Dalmations pandering for free storage. How will they differentiate?

  3. Wez Hind

    Microsoft have recently been accused of altering the data that people back-up to their OneDrive servers. They change YOUR data!

    I don’t care how much they offer. If a company can’t be trusted to leave their clients data in the same state as it was uploaded, then what can we trust them for.

    Microsoft should be ashamed and challenged legally, but like most of the large technology companies, they’ll just shell out some money to some lawyers and get away with this scot-free. The new tyrants are technology companies, no matter how benign they may appear.

    If you trust your data with Microsoft you are a fool. Period.

    p.s. when I try to post this with my email address as a guest, WordPress claims I already have an account. This is quite disturbing as I did have an account OVER A YEAR AGO…WHICH I DELETED!!! Or so I believed! I’m over this abuse of my rights. I SHALL be doing something about this. You’ve only got yourself to blame WordPress for whatever comes next. You’ve been warned.