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Microsoft's OneDrive price hike has wrecked its cloud strategy

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"wrecked its cloud strategy"

Absolutely wrong. "Perfected its cloud strategy" would be better

Microsoft policy of "Cloud first, Mobile first" gives the game away if the "Windows 10 everywhere" policy is also considered. Microsoft can't charge (or at least not significantly) for Windows on mobile as that would force the cost of the phone too high. As in theory both phones and PCs will be running the same OS, realistically Microsoft then can't charge for the PC operating system - at least not for OEM builds.

As customer devices become smaller, cheaper (tablets, phones) and effectively disposable media viewing devices, charging licence fees per device becomes unviable.

So they HAVE to make their money elsewhere, and storage is the only realistic option.

In effect, Microsoft are changing their charging model from a per-client basis, to a per-server basis......and as multiple clients can access one "server" (in the sense that one online storage account is a personal server) then for many users it could work out as a fairer way to do things. The alternative is paying a £100 windows licence for every PC/phone/tablet you own.

Expect the next stage to be that manufacturers are offered free OEM Windows licences for ALL cloud-enabled devices.

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