Google is to add the email services it acquired when it bought Postini last month, to its business-grade online services at no extra charge.

The company will add email security, compliance and recovery to Google Apps Premier edition, potentially making it more attractive to larger organisations.

The services include email controls for Apps Premier administrators like configurable spam and virus filtering, setting and management of usage policies, and recovery of deleted messages.

The Postini services are available today in the English-language version of Apps Premier and next month in the international version, available in 27 languages.

Apps Premier competes against traditional, on-premises communication and collaboration suites, like IBM's Lotus Notes/Domino and Microsoft's Office and Exchange, both of which are generally considered to be more powerful and sophisticated but also pricier.

Google argues that Apps Premier, in which Google houses the software in its datacentres, saves customers from having to install and maintain it. Google also touts Apps Premier's capabilities for letting users share documents and collaboratively edit them.

However, the service is far from being the only option for hosted collaboration and communication suites. Other well-known ones include Cisco's WebEx WebOffice, Zoho and Zimbra, which Yahoo is in the process of acquiring.

Prior to its acquisition by Google, Postini offered these services as add-ons to Apps Premier edition for an additional fee.

By bundling these services at no extra charge, Google makes clear how serious it is about extending Apps Premier's adoption beyond small and medium size companies, an analyst said.

"This shows Google is willing to sacrifice revenue opportunities in exchange for [enterprise] market share," said Matt Cain, a Gartner analyst.

Over half a million organisations have signed up for Google Apps, which translates into "millions" of active end users, according to Google. However, few customers are large companies, which make up the so-called "enterprise" IT market.

Having "first-class spam and anti-virus filtering" like Postini's is mandatory in the enterprise, along with compliance and recovery capabilities, Cain said.

Apps Premier has had spam and anti-virus filtering features in Gmail, but the Postini technology is sharper and more sophisticated, and should offer a marked improvement for current users, Cain said.

The ability to centrally set and manage usage policies lets administrators add footers to every message and block messages with specific keywords or attachments.

They can also create policies that apply to user groups or individuals, and monitor all email for compliance auditing. Administrators can also recover emails from the previous 90 days.

Other Apps Premier improvements: a new email routing feature that lets organisations run the suite in parallel with a different email system; and an increased email storage to 25GB per user, up from 10GB.

Google Apps Premier customers who bought the Postini services now included in the suite will not get reimbursed for the time left in their Postini agreements.

There are more Postini services Google could integrate with Apps Premier, which is the workplace version of the suite and costs $50 per user per year.

One Postini service that remains an add-on at extra charge is for archiving and e-discovery, designed for helping businesses comply with legal and industry mandates to archive, discover, and produce electronic communications.

Other Postini add-on services available to Apps Premier include web content filtering, instant messaging security and message encryption.

All these add-on capabilities are also important to large organisations, and would be good additions in the future to Apps Premier's core functionality, Cain said.

Other improvements that would make Apps Premier's Gmail more attractive to enterprise customers include a redesigned user interface and more reporting capabilities that gave administrators more granular views of email activities, Cain said.

For example, Google should revamp Gmail so that it works more like Outlook, something Yahoo did in the consumer space with Yahoo Mail's new version, Cain said.

Google also should provide offline capabilities for the Apps suites. That way, Gmail users could email while disconnected from the Internet, Cain said.

In addition to Gmail, Apps Premier includes instant messaging, calendar, as well as word processing, spreadsheet and presentation applications.