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1&1 Partners with Open-Xchange, but are They Competing with Microsoft or Google?
Mon, 26 Feb 2007 22:14:00 -0400
BusinessWeek reports that 1&1 will soon start deploying Open-Xchange mailboxes in Germany, followed by rollouts in the US, Britain and France. The article reports that 1&1 manages 5 million email accounts on behalf of 2.7 million web hosting customers. (This is wildly inconsistent with the 6 million hosting customers and 65 million emails accounts in 1&1's Business 2.0 ad. Maybe these figures include users from 1&1 parent company United Internet's Web.de and GMX portals business?)
With Open-Xchange's open source solution, 1&1 will be able to offer Microsoft Exchange-like features for $5 per user per month, versus its $10-$15 $6.99 current price. BusinessWeek says this is "nothing but bad news" for Microsoft, but are Microsoft and Open-Xchange competing with each other? Or should both be worried that end users like Steve Rubel are turning Gmail into their personal nerve centers?
Steve is a senior VP at Edelman PR, an enormous organization that no doubt has an industrial strength email system, but Steve is hooked on Gmail because:
"Everyday I come across something on the web that I want to save for future reference... since I travel a lot, I need to access my bits from a mobile device. The latest version of the Google Toolbar has a send to Gmail function. Select some text or graphics, right click on it and send it to Gmail... Whammo - an instant personal database."
A friend who works at Microsoft says he can use his Windows Mobile phone to search his Exchange archive as well. But 10 GB Gmail accounts are available for $4.17 each per month (mobile client, website builder and web-based word processor and spreadsheet included). That's a 10x larger personal database compared with 1&1's 1GB allocation (Outlook 2003 and free domain name included).
Another important question is, to what extent will 1&1 be able to drive Open-Xchange adoption? Yes, as the world's largest hosting provider, 1&1 can deliver an enormous audience. But seeing is *not* deploying. As a point of reference, when I switched from (POP mail + Outlook + Blackberry) to (Google Apps + Gmail mobile) last week, I realized that despite the conveniently-located Google Start Page icon on my control panel, I still like Netvibes better. But thanks to the Gmail and Google Calendar widgets on Netvibes, I was able to piece together a best of all worlds solution.
If I were 1&1 CEO Andreas Gauger, I would think along the same lines and open up my community and technology platform.
Customer A might prefer Gmail + 1&1's website builder, while Customer B might choose Open-Xchange mail + Google Pages. Why not use widgets, RSS and open APIs to help each user concoct his perfect combination?
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posted by Steven Smithson05 at 1:07 PM
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