Users have downloaded 12 million copies of Office for iPad apps in the week since it became available. Source: Microsoft.

All signs are that Office for iPad is living up to the hype. In just one week, users downloaded 12 million copies of Microsoft's (NASDAQ:MSFT) suite of iOS-enabled productivity apps. Fool contributor Tim Beyers explains who else wins, and who loses, in the following video.

The win comes at an important time for Mr. Softy, which is having to backtrack on its operating system strategy in order to keep longtime Windows users loyal. Among the more drastic steps? Bringing back the "Start" menu in version 8.1 of the OS.

And yet Microsoft isn't the only winner here, Tim says. Apple (NASDAQ:AAPL) makes nothing from its iWork suite of applications. Instead, the company markets its productivity suite as a loss leader that makes it easier to switch to a Mac or iOS device. With Office for iPad, Apple will earn its customary 30% cut of in-app revenues.

That could add up. In January, Microsoft claimed 3.5 million subscribers of its "Home Premium" version of Office 365. Only iPad users with an Office 365 membership will be able to edit and create documents.

But if Apple wins with the introduction of Office for iPad, then who loses? Tim answers that question and more in the video. Please watch now and then leave a comment to let us know what you think, including whether you would buy, sell, or short Microsoft stock at current prices.