> I think the real problem is that MS can cross-subsidize its Office bundles.
Wouldn't this apply to any company that sells more than one product or service? Amazon uses Aws margins to subsidize a bunch, including r&d. A lot of biotech companies use profits from one drug to subsidize bad sales in another trying to break into the market.
> Kill the competition, raise the price. G-MAFIA/FAANG playbook
This is a solid business strategy, but it also falls prey to entrants back into the market when the large player raises its prices.
I doubt the price covers the costs, especially after they added Teams.
Kill the competition, raise the price. G-MAFIA/FAANG playbook