Microsoft’s senior director of Online Services has spoken about the company’s move into Office web applications and its competition with Google.

In an interview with Computer World, Rizzo spoke candidly about Google and how the company doesn’t understand commercial business. “I would say that they’re failing, yes. I would say the results have not shown that they’re successful in the space. We’ve had customers who’ve gone to google and have come back to Microsoft,” he said.

The Microsoft executive also rubbished claims that Microsoft is trailing in the enterprise cloud space. “Let Google say we’re way behind as we continue gobbling up enterprise customers. Let Google underestimate us. They’ll be shocked when they see all the momentum we have inside this space.”

Rizzo also critiqued Google for it’s terms of services. “They say in their terms of use, the second you sign up, ‘We’re allowed to use your brand, your name and screenshots of your service in any way we want. We can use it on our Web site, in our marketing materials. We can use it to benefit Google.’ That’s not very customer-friendly.”

Rizzo also revealed that Microsoft has signed up over 2,000 organisations for its Office 365 beta. Microsoft has been conducting large deployments on-premises but the company is taking its time during development. Microsoft revealed its new cloud productivity software, Office 365, in late October. The service is a full browser-based solution that incorporates webmail, collaboration and document management. Office 365 will be generally available in 40 countries and regions next year.