Microsoft’s consumer electronics track record: long string of failures

“While the mainstream media is conspicuously quiet on Microsoft’s track record in consumer electronics, I’m more than willing to share! Considering how many industry giants have partnered with Microsoft in WMA and PlaysForSure–including WalMart, Napster, MTV, WMA hardware makers, and RIAA label members–it would appear that Microsoft is a leader in successful consumer electronics technology. That’s not the case,” Daniel Eran writes for RoughlyDrafted.

Eran writes, “All of these partners hooked up with Microsoft simply because they had no idea of what to do on their own. Few even experimented with their own independent technology plans; they simply picked Microsoft because the company seemed like a safe bet at delivering technology. They obviously didn’t do their homework.”

Eran writes, “The big secret they missed is that Microsoft hasn’t ever earned significant profits in the consumer hardware business, nor has its executives proven any business acumen in delivering what consumers want in hardware or creative entertainment, excluding, of course, Microsoft’s impressive and highly sophisticated keyboard and mouse division.”

All Microsoft has delivered in the consumer electronics industry is a long string of failures:
• Phones & PDAs
• Tablets, Handheld PCs & Origami
• WebTV, Ultimate TV, and MSN TV
• Xbox game console
• WMA and PlaysForSure (“Zune is too little, too late.”)

Full article with much more here.

[Thanks to MacDailyNews Reader “LinuxGuy and Mac Prodigal Son” for the heads up.]

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How Microsoft’s Zune can kill Apple’s iPod – September 21, 2006
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19 Comments

  1. MDN shows its alter ego here . . . BMDN : Bash Microsoft Daily News . . . .don’t get me wring I love it!
    I know someone out there is thinking “this isn’t about Apple”

    BTW where are all of our beloved trolls around here? They seem to be hiding under their bridges lately.

  2. Well lets put it that xbox woul be a faailure for any company that couldn’t afford to lose appalling amounts of money propping it up. technically it is better however hovering around the average mark and totally incapable of knocking Sony off it mountain depite over a years start and pricing to go bust by. But accepted there are various forms of success and for MS that means dead in the water right up to hanging onto the deflating lifejacket for its products.

  3. The Xbox is a failure in that it hasn’t made Microsoft one dime of profit yet, and it won’t for many years to come, if ever.

    In that case the Nintendo 64, Dreamcast, PS2, and most all other consoles of recent history were all failures because the hardware never made a dime of profit for the manufacturer either.

    (Hint hint, the Xbox was an overall success, the Xbox 360 is a success and a pinnacle among gamers & developers…..winning marketshare is much more important than the hardware sales as it’s the software titles themselves that pay off for Microsoft in the long run).

    Linking undeserving articles to backwater sites like “roughlydrafted.com” is typical of MDN.

  4. Here’s a hint for you: making money is what businesses exist to do. If a product does not break even for a business, it is a failure, in terms of the usual business. Whatever Microsoft is doing, it sure isn’t doing it well enough, if it has to subsidize Xbox in order to compete. Think about what you’re saying for just one second! The product sucks so much that it causes the company to lose money on each product sold. You don’t exist in business very long with that topsy-turvy outlook.

    The old saying goes that you can’t fight a two-front war. How many fronts will Microsoft compete on and lose? They’re getting hammered in the search space, in the console space, and will be soon in the portable music player space. While they’re busy losing in each of these areas, the foxes sneak around and take a few more eggs every month. Way to focus, Microsoft.

  5. “BustingTheSkullsOfIdiots”, why don’t you follow your own advice and crack open your own skull? You obviously have NO clue as to how console manufacturers make thier money. Nintendo, Microsoft, and Sony LOSE money on each console…..and make their profits on royalties for each game sold. It has absolutely nothing to do with “the product sucks so much it causes the company to lose money on each product sold”. EVERY console is “subsidized” by their respective manufacturer….for you to single out Microsoft just shows how utterly ignorant you are in this matter. Next time get a clue before making uninformed statements.

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