Introduction to Office Live Workspace - Resolving the Compatibility Issues with MS Documents
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One of the biggest problems when working with MS documents in other online file storing and sharing systems like Google Docs is compatibility. Below is a simple diagram of this problem:
Original File created on Desktop -> Uploaded to Google docs (shared with others) -> downloaded to Desktop
It has been observed that the file downloaded to the desktop differs significantly (especially the formatting) from the original MS Word formatting.
So for example, in this scenario, if you are working with a lot of MS Word Documents, you will spend a lot of time revising the MS Documents when it is downloaded to the desktop. This revision can consume a lot of time, which affects office and team productivity.
Using Office Live Workspace, you can maintain the formatting of your MS documents, whether they are online, offline or being shared with your teammates. Below is a diagram of what is it like to use Office Live Workspace:
Original File created on Desktop -> Uploaded to Office Live Workspace -> Download/Edited in Desktop
Below is a sample screen shot of the formatting differences of an MS Word Document downloaded from Google docs and Office Live Workspace.

The formatting of the document processed under Live Workspace is untouched and retains the original document formatting, whereas the one edited and downloaded from Google Docs differs significantly.
What About Sharing?
In the Live Workspace Dashboard on the left part, look for the name of the workspace under "My Workspaces." Click it and then click the "Share" icon. You can invite your teammates by entering their email addresses. You can also customize their access; for example, you can let everyone view the workspace without needing to sign in.
You can read more about Office Live Workspaces.
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