Microsoft Office is commercially licensed software developed by Microsoft to generate revenue, while OpenOffice is open-source software developed collaboratively by volunteers and distributed for free. Some key differences are that OpenOffice costs nothing for both the initial software and future updates, allows users to modify the source code, and uses open standards, while Microsoft Office offers more extensive support and a more polished interface due to Microsoft's large developer base and financial incentives. Both work on modern computers, but OpenOffice has better support for older machines and operates on more platforms like Linux.

1. Microsoft Office vs. OpenOffice.Org

2. • Underlying Philosophy
• Before we examine the specific features of Microsoft Office and OpenOffice, it may be helpful to step back to compare the philosophical differences
between the two packages, and how these differences might impact how you purchase and use them.
• With commercially licensed software like Microsoft Office, a product is developed by a single company; sales help fund product testing and
development, marketing and sales, as well as salaries and shareholder dividends. In contrast, open-source software like OpenOffice is developed
collaboratively, often by volunteers, and freely distributed, allowing anyone to use, redistribute, adapt, or improve the code — all free of charge.
• The open-source philosophy is not just limited to software, and can attract loyal adherents who believe that information should be shared freely.
Likewise, some consumers feel more comfortable with a for-profit model they feel rewards ingenuity and innovation. If you have deep convictions in
either direction, we suspect that we're not going to change your mind here. However, each model does offer tangible advantages:
• Open-source applications often cost nothing. OpenOffice is free — and who doesn't love a bargain? Bear in mind, however, that Microsoft Office
2007 and 2010 are available to eligible U.S.-based nonprofits, charities, and libraries for a minimal fee ($20-30 depending on the version and edition
through TechSoup, for instance).
• Updates to open-source applications also cost nothing. As an open-source product, OpenOffice updates are free; the same is not always true of
Microsoft updates. Microsoft, however, gives Office to nonprofits as part of a philanthropic program, meaning that it is possible (although not likely,
given the length of Microsoft's commitment to philanthropy) that if the donation program ended, you would have to pay to update the suite down
the road. If you currently hold a valid license of Office with Software Assurance, you may be able to upgrade to the newer versions for no cost. Read
more about Software Assurance benefits here.
• You can do what you like with open-source code. You can study OpenOffice and adapt it to your needs. You can improve the program or build
something completely new with it and release your changes to the public. If this is important to you, Microsoft doesn't offer anything comparable.
• Commercially licensed software offers a company behind the code. Microsoft depends on the sales of Office and its other software to remain
profitable, giving it a strong incentive to offer the features, support, and interface that will make it attractive to users and competitive in the market.
Microsoft has built a vast pool of talented developers, a mature platform, and polished user interfaces, and Office's success has provided it with a
large user and support base. Although OpenOffice has a formal relationship with Oracle, the mandates for open-source applications like OpenOffice
are a bit fuzzier and tend to be driven by tech-savvy programmers. In practice, this has resulted in a somewhat less polished interface and more
limited documentation.
• Open-source has code beyond a company. Because its source code is available to all, OpenOffice is not solely dependent on its current crop of
developers and current corporate sponsor. If all these people were to disappear, the code would still exist and other people could pick of the project.
The same is not always true for closed-source, commercial projects. That being said, it doesn't appear that Microsoft is in any danger of going
bankrupt in the foreseeable future.
• Open-source tends to use open standards. OpenOffice's native files, called OpenDocument, adhere to publicly agreed-upon, readily available
standards. (While OpenOffice can also read and write Microsoft files like Word's .doc and Excel's .xls, these are not its default file types). Thus, any
other software that supports these standards can read and write OpenOffice documents. Popular open standards, like HTML, HTTP, and URL, tend to
take on a life of their own; closed standards risk going the way of the Betamax… though, again, the risk of Microsoft formats faltering seems.

3. • System Requirements
• For most computers that you would actually want to use, both OpenOffice 3 and Microsoft Windows 2010 will
work fine. While OpenOffice is said to run a bit slower, particularly when opening up complex documents in
Microsoft's proprietary formats, the difference is negligible if you've purchased your computer in the last couple
of years. Both platforms also offer comparable support for Macs.
• OpenOffice 3 offers better support for older computers than the latest version of Microsoft Office. For instance,
Office 2010 notes its minimum spec is a Pentium 700MHz with 512 MB RAM, while OpenOffice lists 256 MB RAM
(although 512 MB RAM is recommended). While Office 2010 requires Windows 7, XP, or Vista to run fully,
OpenOffice will run on Windows 2000 or 2003. What's more, OpenOffice will run under Linux, and Linux runs
much more effectively on old computers than Windows 7 or XP. This makes Linux and OpenOffice a practical
combination even on older computers, especially those that require few other applications (as you might find in a
public computer lab setting.)
• Support
• There's more support for Microsoft Office than anyone could possibly take advantage of: Official support from
Microsoft itself, authorized support from people who have earned Microsoft licenses, professional call centers,
dozens of books, and countless websites offering tips and guides for modifying, configuring, and using Office
software. OpenOffice's support is more community driven, and generally free, with a documentation project and
discussion forums led by volunteers. It's easier to find Microsoft Office training and support, but it's likely to cost
more though there are somefree resources specifically for nonprofits.
• One final consideration: because OpenOffice has much looser licensing requirements, you needn't worry about
installing unlimited copies around your office or for friends or partner organizations. When you buy or receive a
version of Office 2010, however, you may only install it on a specified number of computers within your
organization, so you'll need to keep track of exactly where it's been installed.