The deal between Microsoft and Phase One will see the Microsoft Expression Media product change hands, with the digital asset management application becoming part of Phase One's product lineup.

Currently Phase One produces and distributes the Capture One raw-conversion and image-editing software, which supports more than 170 different file formats. The acquisition of Expression Media could complement Capture One, however, Phase One has yet to detail whether both products will be integrated with each other.

"We're excited about taking ownership of Expression Media," says Henrik O. Håkonsson, president and CEO of Phase One. 'We have worked with Microsoft for several years, during which many of our customers have chosen Expression Media for their digital asset management needs. We are now planning product developments to help meet the growing needs of current and future customers. As an immediate benefit to existing Expression Media customers who may not yet have tried it, we are offering a free copy of Capture One to help enhance their photographic workflow.'

Under the terms of the agreement, Phase One takes full ownership of the Expression Media product, a statement reads. "To ensure a smooth transition for Expression Media customers, Microsoft will continue to provide support to retail customers for 90 days. Phase One will begin offering support for the Expression Media product after the 90-day transition period."