Microsoft Offers 0% Financing

Microsoft(MSFT Quote) announced a 0% financing promotion for some of its business software, in an attempt to jump-start sales at a time when many businesses are looking to cut capital expenditures, according to a published report.

Microsoft's promotion, aimed at small and medium-size businesses, is being offered to new customers who spend $20,000 to $1 million on Microsoft's customer-management and accounting software, the Wall Street Journal reports.

Gayle Hoshino, a Microsoft director of pricing and licensing, says the company got a positive response to a similar pilot financing program it started in Canada in July. As the economy worsened, Microsoft expanded the program to 12 markets worldwide, including the U.S.

Microsoft's move follows one from business-software maker SAP AG(SAP Quote) last month. SAP said it would offer as little as 0% financing for qualified customers on its software, particularly targeting companies with less than $1 billion in revenue.