Microsoft Out of (MS) Money

(MoneyWatch)  As proof that a combination of a large bank account and persistence aren't everything, Microsoft is discontinuing its Microsoft Money software. The notification has officially been released:

With banks, brokerage firms and Web sites now providing a range of options for managing personal finances, the consumer need for Microsoft Money Plus has changed. After suspending annual updates of Money Plus in 2008, Microsoft is announcing today that we will no longer offer Microsoft Money Plus for purchase after June 30, 2009.

We would like to thank the many dedicated users who have been enthusiastic supporters of Microsoft Money over the years, as well as our partner financial institutions who helped pioneer a digital vision of financial management.

Well, perhaps that would be more truthfully stated as following the pioneer in a digital vision of financial management, otherwise known as Intuit. In the 1990s, Microsoft heavily dogged the maker of Quicken, hoping to take a significant portion of what became a popular type of consumer application. But Intuit managed to out-maneuver and out-compete Microsoft time and time again.

The writing was on the wall for this move. Last August, Microsoft took Money off retail shelves and ended its commitment to annual updates. The explanation was that people were changing the ways they bought software. That might be another way of saying that selling anything at retail is an expensive business, with money going to retailers and distributors and, in the large chains, the demand for contributions for "marketing" the product. Given the cost of supporting an application, you have to wonder whether Microsoft might not have come out farther ahead by dropping the product years ago.

Image courtesy, Microsoft.