Microsoft (MSFT) has released a version of its Office productivity suite for iOS optimized for iPhone.  The app has appeared in Apple's (AAPL) iTunes store and requires users to be Office 365 subscribers. Here are the details.

Office Mobile for 365 subscribers (iPhone only) lets 365 subscribers "access, view and edit Microsoft Word, Microsoft Excel and Microsoft PowerPoint documents from virtually anywhere," according to the iTunes app store listing. The page offers some screenshot examples of Office apps on iPhone.

The app is free but requires an Office 365 subscription. Does it work on iPad, too?

Microsoft told ZDNet's Mary Jo Foley that while the new application can be used at 2x resolution on iPads, it's not optimized for iPad.

"This is very much optimized for small screens," Chris Schneider, marketing manager with Microsoft's Office Division told Foley. For those who want Office on iPad he advised sticking with the web-based version.

So if your users have been waiting for Office for iPad, this isn't it.

Separately this week Microsoft announced a new limited-time Cloud Now offer to help partners close deals for Microsoft Office 365 with small and midsize businesses. The Cloud Now, program lets U.S. customers earn subsidy payouts when they buy Microsoft Online Services subscriptions through partners. Subsidy checks can be used for future purchases of Microsoft software, Online Services subscriptions, or associated services, Microsoft said. Partner subsidy funds must be spent within 90 days from the check issue date.

The program is applicable to eligible Microsoft Online Services purchased by qualified small and midsize businesses between June 1 and June 30, and must be submitted within 30 days of the purchase date. Online Services that are eligible for this offer include:

Microsoft Office 365 Open Midsize Business

Microsoft Office 365 Small Business Premium

Microsoft Office 365 Enterprise (Plan E3)

Microsoft Office 365 Enterprise (Plan E4)

More information is available on the Cloud Now offer page.