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Microsoft quietly released a free offline version of Office, but you're not going to like it
(www.xda-developers.com)
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Linking Microsoft and allowing them to read into everything you write is a massive privacy hit.
But their target audience is indeed not the privacy-minded folks. It's still an unfortunate precedent of Microsoft mandating the use of OneDrive and injecting ads, which may get worse and even get included in some form in paid products.