Microsoft executives acknowledge Apple’s ‘iPod Halo Effect’

“Microsoft’s chief executive, Steven A. Ballmer, made a concerted effort [yesterday] to persuade Wall Street analysts that the world’s largest software publisher will again become a growth stock,” John Markoff reports for The New York Times. “Microsoft’s top executives have become increasingly frustrated over the last five years as the company’s stock first declined and then remained flat while some of its competitors’ shares have soared. Several analysts said today that Microsoft would be hard-pressed to make the case for growth prospects until it established a positive market reception for new versions of its Windows and Office programs, due in the second half of next year.”

“On Wednesday, the company shipped the first public test copies of the next version of the Windows operating system, now known as Windows Vista, to outside software developers. The program, which is roughly three years late to market, by some estimates, will go through two long test programs before being commercially available in the second half of 2006,” Markoff reports. “Today, Microsoft gave an extended demonstration of the program to the financial analysts, pointing to advantages like a unified version for corporate users – rather than multiple versions to address various needs within a company – simplifying the job of corporate information technology managers.”

Markoff reports, “Many features shown today are ones already introduced in Apple Computer’s OS X Tiger operating system. During today’s briefing, Microsoft executives acknowledged that the popularity of Apple Computer’s iPod music player had indirectly helped sales of Macintosh computers. ‘The halo effect enabled them to go after PC users and sell them Apple products,’ said Will Poole, the Microsoft executive in charge of desktop operating system products.”

Full article here.

MacDailyNews Take: The halo effect enabled Apple to go after PC users and sell them Macs, Will. Come on now, you can say it: Mac-in-tosh. Try “podcasting,” too, while you’re at it. Microsoft’s stock chart looks like a Zamboni drove over it. We’re not doctors, but to us that chart says one thing: flatline. It’s smoother and flatter than even Ballmer’s head. Compare it to Apple’s over the last three years here; it’s Everest vs. the parking lot. Monkey Boy Ballmer dances while Redmond burns.

[Updated article layout 7/29, 9:34am EDT]

Related iPodDailyNews articles:
Microsoft employees squeamish about ‘podcast’ term, try using ‘blogcast’ instead – July 11, 2005
Related MacDailyNews articles:
Dvorak: Mac OS X is already better than Windows, Vista may be end of line for Microsoft’s dominance – July 26, 2005
Microsoft’s Windows ‘Vista’ too little, too late; could be rough times ahead for Redmond – July 28, 2005
Microsoft’s Windows ‘Vista’ promises similar features to Apple’s already-shipping Mac OS X – July 23, 2005
Enderle: ‘iPod Halo Effect is just a myth, same thing as having Paris Hilton visit Apple stores’ – May 02, 2005
Microsoft dismisses threat of Apple’s ‘iPod Halo Effect’ – April 04, 2005
Microsoft CEO Steve Ballmer: ‘We love to be first’ – January 25, 2005

39 Comments

  1. That picture always cracks me up. Thanks MDN, you guys always find a way to make me laugh. “Steven A. Ballmer, made a concerted effort today to persuade Wall Street analysts that the world’s largest software publisher will again become a growth stock” also helps keep the laughter flowing.

  2. Only Bill Gates could have Steve Ballmer as a friend, yet alone, CEO of a major company. I can’t imagine why Microsoft’s stock is flat-lined, which of course, means dead…

  3. Interesting little ritual between Balmer and the anals.

    Does someone really need an anal to tell them wants wrong with MSFT?

    ” width=”19″ height=”19″ alt=”raspberry” style=”border:0;” />

  4. That pic really is a hoot. But a quick word of warning…

    Many people own M$ stock, including anals. Stock-picking types want their portfolios to grow. As such, stock picking types manipulate news and markets to their advantage. Because of this, be cautious about anals linguis. Sorry, couldn’t resist.

    Just as ‘beleagured’ AAPL has skyrocketed, so might M$ when Vista doesn’t suck as bad as expected. Keep expectations low and you’re always blown away. Stock price is not about real value, but traded and perceived value. If the world wants M$ to succeed, M$ will succeed. That will then make it fun while Apple leaps from the shadows…

  5. Is there a larger hihger res. version of that photo available? it would make a great poster here at work where everything except a couple of laptops is Dell and IBM with Windows…. and the IS staff love it.

  6. ‘The halo effect enabled them to go after PC users and sell them Apple products,’ said Will Poole

    —

    The Xserve boom.. no.. wait… he’s talking about iPod Socks.. nono.. wait… Final Cut Pro..

    ” width=”19″ height=”19″ alt=”wink” style=”border:0;” />

    Anything but the Mac, right?

  7. Too little too late. Steve came back as the man with the plan. It will be very fun to watch him implement the next moves. In fact, with the Intel move, he has pretty much told them his next move. But there isn’t anything they can do about it.

  8. hey! where’s NMFY? how could he miss an opportunity like this to remind us of the superiority of Windows? ” width=”19″ height=”19″ alt=”rolleyes” style=”border:0;” />

  9. Hey, if I had his money, I’d dance like a monkey and act like a total dick too. Why not? He’s laughing in all our faces coz he knows they peddle crap and we’re suckers for buying into it!

  10. Isn’t it strange – in spite of all of Ballmer’s jumping and screaming, Steve Jobs is the one who rocks on stage…

    Empty barrels make more noise we say in Norway…

  11. Although I’m an avid Mac fan, I do take issue with the stock comparison. If you look over 10 years at Dell and MSFT, both have outperformed Aapl:

    link

    Go back 8 years and then Aapl looks better:

    link

    What is more telling to me, is that after the tech bubble burst in 2001, only aapl has come back and beaten the original highs. Dell hasn’t done bad, but msft has definitely flatlined.

  12. What the hell’s wrong with Steve Ballmer? I watched the linked QT Movie in disbelief. Gates is The Fonz compared to that guy. Right now, he is Apple’s biggest asset. Keep those arms and appendages a-flailin monkey boy! I hope Microsoft had the good sense to have this guy’s urine tested after that tirade, not to test for drugs, but to help determine what species he is. Yikes!!!

  13. Look guys, I take the opportunity to bash MS whenever they need it (which is nearly every day), but to attack MS based upon what their CEO LOOKS like is a bit much. What he ACTS like is fair game though. Lets be a little more mature about this, OK?

  14. Ballmer made himself fair game by acting foolish and looking ridiculous with his running, jumping and Howard Dean impersonation.

    Sorry, but some of this posts on this topic are down right imbecilic. Is this only being read by a bunch of kids?

  15. Wow. What a freak! Geez, sweat much, Stevieboy? Loved the “Developer” remix. Scary that he has to act like that to whip a crowd of MS faithful into a frenzy. All SJ has to do is walk out onstage and say, “One more thing.”

  16. ree:

    http://www.weltalswilleundvorstellung.de/art/balmer.mov

    This is the best Ballmer remix. Be prepared to pee your pants if you, haven’t seen it yet (or even mabe if you have).

    Developers, developers, developers, developers…

    LLLLLLLLLOOOOOOLLLL!!!

    How a CEO should not behave!

    He may be one of the right guys in the world, but boy what a pig and arrogant shit!

    He is the most imbarressing boss on the planet. God if I worked for M$ I think I would have quit after meeting that guy!

    No wonder M$ can’t do anything right – M$ are a total joke with a boss like that (mind you I knew that 14 years ago!).

    Keep it up Ballmer – because with behaviour like that your company is going dddddddddoooooowwwwwwnnnnnn!

  17. Everyone in the “real IT world” knows that Gene Simmons is Steve Ballmer’s love child.

    Windows Vista will beat all expectations of value and security. Tiger is only a small glimpse of what Vista really has in store. With faster machines and broadband, we will be able to infest our machines with alarming speed and little effort.

    Long live the patchers!!

    Oh yeah, .NET wil transform blah, blah, blah.

    ©

  18. Folks the most worrysome thing in that article is the fact that an MS exec afirmed the “iPod hallo effect” which means they might actually start paying attention to Apple instead of being worried about Linux. MS is a reactionary, threat based company. They have been flatline in many ways beyond the stock price because they did not have anyone to squash. That’s what they do, just ask Wordperfect co, Stack Electronics (remember them?), etc.

    It was better for Apple to be off MS radar.

  19. “With faster machines and broadband, we will be able to infest our machines with alarming speed and little effort.” – sputnik

    You got that right. Hackers will most likely chop into Vista’s code within a few hours after its release. Viruses, trojans, & assorted malware will indeed spread with alarming speed via broadband.

  20. Steve Ballmer Monkey Dance
    http://www.tarmo.fi/arc/monkeydance.mpeg
    Steve Ballmer Monkey Dance Music Video
    http://www.msboycott.com/media/ballmer_monkey_music.mp4

    Developers Developers Developers Developers:
    http://www.msboycott.com/media/ballmer_developers.mpg

    Developers Developers Monkey Music Video:
    http://www.msboycott.com/media/ballmer_developers_music.mov

    The “Godwin’s Law” Remix
    http://www.bbspot.com/toys/video/ballmer/ballmer_fun.mpg

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