Microsoft Office spokesman Clint Patterson says they agree with Adobe that the future is software-as-a-service, "however, unlike Adobe, we think people's shift from packaged software to subscription services will take time." Subscriptions are preferable, says Patterson, because the apps will always remain up to date and subscribers can use the apps across multiple devices.
When asked how much time they think the transition will take, Microsoft says "within a decade" all customers will have been subscribed to the Web-based subscription services. "In the meantime, we are committed to offering choice--premier software sold as a package and powerful services sold as a subscription," Patterson added (via Cnet).