In a unanimous decision on Tuesday, the city council of Los Angeles approved a $7.2 million deal to move away from Novel and switch to Google Apps on- line hosting. This decision comes after months of debate over the security of using on-line hosting. Currently the contract is tentative based on the integration provider paying a penalty for any breach in security.
With this contract, LA is the second large government adoption of Google Apps providing a win for Google competing against Microsoft for large enterprise customers. With this news and changes being made to Office Live, there is definitely some interesting news to follow in the next year.