IBM introduced a new Workplace client technology that the company said combines the richness of the client-server model with the low TCO of the browser-based model. The company will charge customers $2 per user per month for the software, but will make money on the required server software, such as IBM’s WebSphere. It's the WebSphere everywhere strategy, similar to Windows everywhere but with less proprietary components. The hosted applications business is gaining traction, and IBM’s new Workplace provides another alternative (along with Sun’s StarOffice, OpenOffice.org and Linux desktops) to Microsoft Office.  Dan Leach, group product manager for MS Office, responded to IBM’s move, telling me that the two companies simply have different approaches: “Do you need a rich desktop client or limited functionality in a portal-based solution. Our vision is putting the power of PC at the customer’s fingertips, not placing the power of software at arms length.” That being said, Microsoft currently offers Outlook e-mail as a web applications, and if IBM gains any traction (which is doubtful in the near term), the company will have to consider delivering apps as networked services.