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How Much Would You Pay For Hosted Exchange?

exchange-server-live.pngMary Jo Foley (who basically always knows what she’s talking about) guessed recently that we could see Microsoft offer a “Live” version of Exchange by the end of the year or early next year.

Exchange, the Microsoft server product that provides unified email (as opposed to downloading POP3 to a system and not having it anywhere else), as well as push email, mobile messaging/calendaring, collaboration, antivirus, antispam, encryption, and is generally the one thing many business users simply cannot live without, would be the kind of addition to Windows Live that would make the competition look like a pastel-colored also ran.

Currently, individuals can purchase monthly subscriptions for Exchange from third parties, but there are trust issues there, as well as somewhat high prices ($10 or more per month, for as little as 100 megabytes of storage, although I have seen 2 gigs offered for $12 in some places). Microsoft would do well entering this market as a Live service, finding a way to either offer it for free or cheaper, but mainly with a more trusted face and easier-to-understand plans.

How much would Exchange be worth to you? I think that, purely for consumers, free Exchange pays for itself. To take advantage of Exchange, you’d have to own a Windows Mobile device and buy a copy of Microsoft Outlook, so giving away the platform could pay for itself in software. Microsoft is going to have a tough time competing with Gmail and other free services, unless it can make consumers an offer they can’t refuse. Just tier it so that it is only available for individuals and small businesses, and let the money come in sideways.

March 25th, 2007 Posted by Nathan Weinberg | Applications, Windows, Live, Outlook | 5 comments
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  1. I pay for hosted Exchange for my domain at for $11.50 a month for 500 MB. That price gets me a free copy of Outlook 2007 and the support from has been awesome. I also have clients which use their $1.99 a month plan which gets you Exchange with an address. Those clients just forward their own domain mail to their address. They can set up their account to send “from” their account rather than the address and it seems to work quite well.

    Comment by Tim Taricco | 3/25/2007

  2. So much better if they did not. The best right now Microsoft can do is offer things under different names. Live should be more of a social service, where email, blogging, personalized home page, search, and things could fit in “life”. Exchange is more technical and business. By the way, is not there MOOL, microsoft office outlook live that they shut down..

    Comment by anas | 3/25/2007

  3. First off, Let me disclose that I work for Hostway.

    In two days our Hosted Exchange mailbox storage will be upped from 300mb to 500mb for $9.95 per month and two months free on top of that.

    Sure you could use Gmail for free, but Outlook is far superior in a business environment. Why distract employees with pay per click advertising when they are trying to do work?

    POP3 is also very good upto a point, but having all of your emails downloaded locally can sometimes be a pain.

    Comment by Chris | 3/27/2007

  4. Here is something to consider before you go Exchange. For me, I wanted Exchange hosted mail, but not everyone on my domain needed anything more than POP3 mail services. I spent a lot of time researching what companies would allow combined Exchange and POP3 hosting. You can review my post above to see one company that allows combined hosting.

    Comment by Tim Taricco | 3/27/2007

  5. Get hosted exchange for free


    Comment by Alpesh Nakar | 3/28/2007

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