Via Re/Code – Microsoft revealed it is using the so-called “freemium” sales model with the suite of productivity apps. In the case of Office, users can download the software for free, but will need to stump $99 per year (or pay a recurring $9.99 per month fee) for a Office 365 subscription if they want to edit documents.

In a statement to Re/code, Apple confirmed it will take the usual 30 percent cut of all Office 365 subscriptions purchased from any Office for iPad app. Apple does not profit from customers who use an existing subscription, or purchase a new subscription from Microsoft’s website, to access the Office apps.

Apple’s charge to publishers for all in-app sales was thought to be one of the major roadblocks in Microsoft’s launch of Office for iPad.

Microsoft on Thursday introduced the long-awaited Office productivity suite for iPad, which includes custom-built versions of Word, Excel and PowerPoint.

Now this might be a blessing for corporate users but Apple provide their own apps for free. Or you can use Google Docs for free. In my mind it just shows how the tables have turned and that Microsoft is desperately changing is business model to try and make money.

And now the android and iPhone versions are free for personal use.