According to Steve Ballmer (Microsoft chief executive), Microsoft Office 14 will not be released this year. Instead, we should expect to see Office 14 some time in 2010. It is speculated that the waning demand for a new version of Office (including web based versions of Word, Excel and Powerpoint) is linked to a reduction in PC sales – that reduction caused by the economic downturn we are all currently experiencing. Balmer certainly painted a gloomy picture of the second half of Microsoft’s fiscal year (ending in June).

It is likely that the web based version of Office 14 will be released at the same time – in 2010.

Quoting Ballmer at a meeting with financial analysts in New York,  Office 14

will not be this year.

This will undoubtedly come as a big disappointment to those monitoring the Office 14 cycle, as rumour had it that they would see a 2009 release date. Microsoft’s intention is to coincide the debut of the web based version of Office with the release of Office 14.  Customers who buy the boxed version of Office will also get access to certain Office programs such as Word, Excel and Powerpoint via the web.

The global recession is slowing down PC sales (for both home and business consumers) and, of course, this is having a negative effect on Microsoft. The tightening of belts has led to much less demand for new products like Office 14. Also, as the adoption of Office 2007 was relatively slow, it is unlikely that consumers will want to upgrade to the new release so soon.

There are similar monetary concerns for Office Web. Introducing new software incurs a time and money costs for training and deployment. At the moment, people are going to want to avoid any unnecessary costs like these.