Microsoft made a smart move. Changing a set of the BPOS suite to fit only federal offices is a nice “marketing gimmick” that will make the adoption of BPOS in federal government grow. It’s a smart and strategic move in the war against Google. Not only did Microsoft already implement the structures and requirements in local data centers to meet US, APAC and EMEA requirements (read the annual report on social responsibility and protection of data), but labelling the exact services as “Microsoft Online Services for Federal” is just beautiful. Microsoft is doing exactly what we have been preaching the last 5 year: SaaS is about structure, operational effectiveness, volume – and finally – to be able to thing outside the box, and change the scope of the label.