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At this point it would take a Google to compete head-on with Microsoft. MS has a product offering that is very broad. Remember they have the colaboration market with Exchange. Database apps with MS-SQL. Look at the accounting industry for the smal to mid-sized firms, they own every player out there esp in accounting. The desktop and office apps belong to MS. There is Active Directory (Copied from Novell's NDS for the most part) and the list goes on and on.
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