Microsoft, the global software provider, has announced that it is to axe its Encarta package after nearly 15 years of service due to the rapid expansion of the free software movement.

Encarta, which used to be the leading provider of encyclopaedic knowledge before the more widespread use of the internet, is now being battered by competition levelled against it by Wikipedia.

The company stated that on October 31st, it will be shutting down all of its Encarta websites, aside from the Japanese version which will be decommissioned two months later.

In a statement, Microsoft revealed: "People today seek and consume information in considerably different ways than in years past.

"As part of Microsoft's goal to deliver the most effective and engaging resources for today's consumer, it has made the decision to exit the Encarta business."

Encarta currently offers customers an encyclopaedia, atlas, a range of dictionaries and numerous tests and quizzes for students.

A recent Connect survey found that the two major concerns about outsourcing services like IT support were 'loss of control' (56 per cent) and 'budget over-runs' (43 per cent).