Microsoft (NASDAQ:MSFT) and large-scale e-mail service provider Concentric have joined forces to offer new hosted e-mail services designed for small and midsize businesses. The new offering combines Exchange Server 2007 and Office Outlook with Concentric's enterprise-class applications hosting platform.

Concentric will market the new services to existing customers as an additional e-mail option, and to new customers as a stand-alone or packaged Exchange solution. Customers will be able to add Hosted Exchange mailboxes to their Concentric account and easily manage all services and add-ons via an online control panel. In addition, access to e-mail via Windows Mobile-based devices using built-in ActiveSync will also be available.

"Our long history of providing security-enhanced and reliable e-mail solutions enables us to deliver Microsoft's industry-leading messaging and collaboration software on one of the most secure and reliable applications hosting platforms available today," Barbara Branaman, president at Concentric, said in a statement.