According to this contract Infosys will manage the internal information technology services, including help-desk support, for Microsoft from centers across 104 countries.

Infosys, a longtime Microsoft partner, says it will streamline implementation processes, simplify support and service, and lower enterprise costs by using the latest Microsoft products, including Windows 7.

“This is a huge deal for two reasons,” said Marc Harrison, president of Silicon East, a Microsoft solution provider in Manalapan, N.J. “First, obviously Microsoft bypassed all of their U.S.-based partners and chose Infosys. Second, this will give Infosys a tremendous competitive advantage globally.”

Having early access to Microsoft technologies will allow Infosys not only to be months ahead of everyone else at product launch, it’ll also enable the company to help shape the feature sets of future Microsoft offerings, according to Harrison.

What’s interesting is that Infosys was the only party that issued a press release about the deal, and it isn’t talking about how much money is involved. As noted elsewhere, Microsoft is downplaying the significance of the deal and insisted that it doesn’t change the ratio of its internal and outsourced support.

“This deal is simply a consolidation of work [IT support services] that used to be provided by multiple providers to a single provider, Infosys,” a Microsoft spokesperson said in an e-mail. “Microsoft has had a concentrated effort to be more efficient and save money and this was a major area where we could do this. This new contract will not impact internal resources.”

Microsoft has been outsourcing some of its internal IT support and operations tasks for years, but it has maintained an advanced Help Desk that provides support to internal employees, says Rennie Sawade, communications chair for WashTech, a union-affiliated organization formed by Microsoft contractors in 1998 to advocate for tech workers. This group could be targeted in future layoffs, according to Sawade.

What’s ironic is that cost savings is a huge focus in Microsoft’s product marketing. In the run-up to Windows 7′s launch last year, Microsoft said Windows 7, when deployed in conjunction with System Center Operations Manager and System Center Configuration Manager, would greatly reduce a company’s user support costs.

Likewise, in touting the benefits of Windows Server 2008 R2, Microsoft said its virtualization features would not only significantly reduce the cost of data center hardware provisioning and management, they’d also let customers leverage existing investments in infrastructure tools and internal Windows server expertise.

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According to Report, The percentage of PC’s in India using Internet Explorer as browsers have dropped from 70% in 2008 to 51% in 2010.

Whereas in Europe, The market share has dropped three time more than usual rate basically because the company was forced to mandate a ballot screen by EU in its Windows 7 operating system.

The main reason behind the decline in Market share is low security, Slow connectivity and limited features.

The major rival browsers – Firefox and Google Chrome are experiencing a steady Growth in almost all parts of the world and especially in Europe.

Worldwide IE has a market share of about 55% followed by Firefox’s 31%, Chrome at 7% and Safari at about 4% currently.

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The Earlier Partnership only covered the consumer PCs sold in the United States and Canada, and was effective for 12 months but the extended deal would cover both business and consumer computers worldwide for three years.

This Partnership would help Microsoft to increase the Market Share of its Search Engine Bing, Which was launched in May 2009.

According to Comscore Statics, Bing has maintained a consistent increase in its market Share since its Debut now capturing a market share of 10.3% in Search Engine Market. Whereas, Market share of yahoo has dropped to 17.5% from 18% last Year, Search Engine Giant Google is still maintaining a 65% market share of Search Engine Market.

This deal would really Help Bing, To increase its visibility and to get a huge exposure which is very important.

Dickson Seow, Google’s Southeast Asia head of corporate communications, said “We welcome competition that helps deliver useful information to users and expands user choice. Having competitors is a huge benefit to us and everyone in the search space–it makes us all work harder, and at the end of the day our users benefit from that.”

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A day after Court Banned Selling of Microsoft Word 2007 after finding Microsoft Guilty in Copyright Infringement Case. Owners of Canadian Company i4i are really Happy because According to Court Decision i4i would get $290 million in damages from Microsoft for stealing its software Word.

According to i4i’s chairman, Loudon Owen “It’s a battle cry for the entrepreneur and every small company”

Loudon Owen said Legal Battle against Software Giant was very difficult and time Consuming Process.

This trial ran for two years and cost i4i $10 million in Legal Fees excluding the negative impacts which other operations of small company suffered during this two years.

On the Other Side, Microsoft said in a statement that it’s “considering our legal options, which could include a request for a rehearing by the Federal Circuit Court of Appeals.”

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The Court had given its final Decision after an year Long trial Between Microsoft and a Canadian company, called i4i Inc.

The patent in Question of Canadian Company is of 1998 regarding methods for reading XML . It is to be noted that Microsoft is using the identical technology in its latest version of Microsoft Word.

Court has odered Microsoft not to sell Word until the required changes are not implemented in Software. In addition to that. Microsoft has also to pay fine of $290 million to i4i Inc for patent violation.

According to Microsoft, upcoming Office 2010 software does not contain the code. And probably a good job too.

Microsoft is looking for Quick Solution of this Problem and it means that the new copies of word 2007 without the code owned by Canadian Company would be released soon in January.

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