Microsoft looking like an end-stage company

InvisibleSHIELD.  Scratch Proof your iPhone 4!“I believe that Microsoft as we know it may not be around in another decade–maybe not even in five years,” Paul McDougall writes for InformationWeek.

“There’s hardly a single tech industry trend line pointing in Redmond’s favor right now, and some of those curves are about to get a lot steeper, real fast,” McDougall writes. “So it’s hardly surprising recent Microsoft-related news has been pretty much on par with where things stand for the company these days—mostly all bad.”

McDougall writes, “Market research group NPD recently found that 13% of iPad users bought the Apple OS-based device instead of a Windows PC. That’s a hugely significant number for a product that didn’t even exist a year ago. Just wait until it gets more features, and comes down in price.”

“Microsoft’s Windows Phone 7 will hit stores in November, but most analysts believe the offering, though slick in many respects, is too little, too late to meaningful bolster the company’s meager 5% share of the mobile OS market,” McDougall writes. “Where does all this leave Microsoft? Out in the cold within just the next few years unless big changes are made—and those changes need to start at the top.”

Read the full article here.

MacDailyNews Take: Windows Phone ’07 will likely be the last straw for Ballmer’s reign as Microsoft CEO.

Excerpts from a BusinessWeek interview with Apple CEO Steve Jobs, October 12, 2004:

Steve Jobs: Apple had a monopoly on the graphical user interface for almost 10 years. That’s a long time. And how are monopolies lost? Think about it. Some very good product people invent some very good products, and the company achieves a monopoly. But after that, the product people aren’t the ones that drive the company forward anymore. It’s the marketing guys or the ones who expand the business into Latin America or whatever. Because what’s the point of focusing on making the product even better when the only company you can take business from is yourself? So a different group of people start to move up. And who usually ends up running the show? The sales guy… Then one day, the monopoly expires for whatever reason. But by then the best product people have left, or they’re no longer listened to. And so the company goes through this tumultuous time, and it either survives or it doesn’t.

BusinessWeek: Is this common in the industry?
Steve Jobs: Look at Microsoft — who’s running Microsoft?

BusinessWeek: Steve Ballmer.
Steve Jobs: Right, the sales guy. Case closed.

221 Comments

  1. @ German Reader

    A. For some, computers are tools to help make life more convenient.

    B. For others, comptuers are toys/hobbies to be tinkered/upgraded.

    Both groups are free to do what they want – it’s just that the majority of computer users has shifted from group B (in the heyday of computers) to group A.

  2. @ Mark Bizzarro
    I suppose Apple could make a PC version of Boot
    Camp so one could install Mac OSX on a PC on a
    separate partition of the hard disk. This would
    enable one to seamlessly integrate i/Pad,Phone,
    Pod,Book,Tunes to a PC. Sales of iPads could
    go through the roof. Just a thought.

  3. @ Mark Bizzarro
    I suppose Apple could make a PC version of Boot
    Camp so one could install Mac OSX on a PC on a
    separate partition of the hard disk. This would
    enable one to seamlessly integrate i/Pad,Phone,
    Pod,Book,Tunes to a PC. Sales of iPads could
    go through the roof. Just a thought.

  4. Microsoft has been playing a legal, but deceptive shell game with their licensing revenue/earnings accruals, plus shifting valuations of assets, goodwill, etc for years. Somehow, despite continued profitability, billions of dollars have disappeared from their balance sheet over the last decade. I asked a broker if my observation was wrong. He checked it out and agreed.

  5. Microsoft has been playing a legal, but deceptive shell game with their licensing revenue/earnings accruals, plus shifting valuations of assets, goodwill, etc for years. Somehow, despite continued profitability, billions of dollars have disappeared from their balance sheet over the last decade. I asked a broker if my observation was wrong. He checked it out and agreed.

  6. Oh boy, what a whole slew of really intelligent answers!

    Market share isn’t the Holy Grail if it isn’t profitable, just ask Dell. Apple makes it’s money selling the whole widget not just the hardware and certainly not selling software.

    Selling software has been very profitable for Microsoft with over 90% market share thus making Bill Gates the richest man in the world for quite some time. HP is now the world’s largest seller of computers, replacing Dell and larger than Apple, and they are very profitable as well. Windows PC have over 90% world wide market share.

    Your point again was??

    Probably contrary to you, I could program my Mac in machine code if I had to – I simply choose to use my Time more productively.

    And so you ve got a PC and I’ve got a Mac. And at least I Know very well what I’m doing.

    Posted from my iPad.

    Obviously posted from a “superior” iPad as the lack of a real keyboard has caused you to erroneously capitalize letters and make typo’s.

    And you can program in machine code? Yea, you know what your doing alright. Please…

    By the way, I’m a Mac user, and a Window user and a Linux user.

    seen pictures of an engineering meeting at NASA? The majority of the laptops there are Macs.

    Another brilliant answer…I said “chiefly caters” meaning mostly, not exclusively, meaning only. Unless you think NASA engineers compose the majority of the US population?

    Your oh so brilliant answers have validated my argument that Apple users in general lack the intellectual ability to install a operating system on a computer, thus there is really no threat if Apple sells OS X separate from hardware for those skilled or intelligent enough to do so and thus drastically increase their market share as a assault on Microsoft.

  7. Oh boy, what a whole slew of really intelligent answers!

    Market share isn’t the Holy Grail if it isn’t profitable, just ask Dell. Apple makes it’s money selling the whole widget not just the hardware and certainly not selling software.

    Selling software has been very profitable for Microsoft with over 90% market share thus making Bill Gates the richest man in the world for quite some time. HP is now the world’s largest seller of computers, replacing Dell and larger than Apple, and they are very profitable as well. Windows PC have over 90% world wide market share.

    Your point again was??

    Probably contrary to you, I could program my Mac in machine code if I had to – I simply choose to use my Time more productively.

    And so you ve got a PC and I’ve got a Mac. And at least I Know very well what I’m doing.

    Posted from my iPad.

    Obviously posted from a “superior” iPad as the lack of a real keyboard has caused you to erroneously capitalize letters and make typo’s.

    And you can program in machine code? Yea, you know what your doing alright. Please…

    By the way, I’m a Mac user, and a Window user and a Linux user.

    seen pictures of an engineering meeting at NASA? The majority of the laptops there are Macs.

    Another brilliant answer…I said “chiefly caters” meaning mostly, not exclusively, meaning only. Unless you think NASA engineers compose the majority of the US population?

    Your oh so brilliant answers have validated my argument that Apple users in general lack the intellectual ability to install a operating system on a computer, thus there is really no threat if Apple sells OS X separate from hardware for those skilled or intelligent enough to do so and thus drastically increase their market share as a assault on Microsoft.

  8. hello: A. For some, computers are tools to help make life more convenient.
    B. For others, comptuers are toys/hobbies to be tinkered/upgraded.
    Both groups are free to do what they want – it’s just that the majority of computer users has shifted from group B (in the heyday of computers) to group A.

    Indeed!

    daugav369pils: I suppose Apple could make a PC version of Boot
    Camp so one could install Mac OSX on a PC on a
    separate partition of the hard disk. This would
    enable one to seamlessly integrate i/Pad,Phone,
    Pod,Book,Tunes to a PC. Sales of iPads could
    go through the roof. Just a thought.

    Have you really missed the large gaping hole in the roof that’s already there? ” width=”19″ height=”19″ alt=”wink” style=”border:0;” />

    Apple can’t make iPads fast enough as it is (right now they’re probably attempting to build up a bit of stock for the holiday season).

    And pushing an unfamiliar OS on people which would probably work badly on the all kinds of bizarre PC configurations people have would most probably not be a good way to boost demand even further – probably rather the opposite. That could become quite expensive and potentially even reputation-damaging for Apple.

    And another thought: Why would you think that Apple should copy a Microsoft strategy which is clearly falling apart as we speak?

  9. hello: A. For some, computers are tools to help make life more convenient.
    B. For others, comptuers are toys/hobbies to be tinkered/upgraded.
    Both groups are free to do what they want – it’s just that the majority of computer users has shifted from group B (in the heyday of computers) to group A.

    Indeed!

    daugav369pils: I suppose Apple could make a PC version of Boot
    Camp so one could install Mac OSX on a PC on a
    separate partition of the hard disk. This would
    enable one to seamlessly integrate i/Pad,Phone,
    Pod,Book,Tunes to a PC. Sales of iPads could
    go through the roof. Just a thought.

    Have you really missed the large gaping hole in the roof that’s already there? ” width=”19″ height=”19″ alt=”wink” style=”border:0;” />

    Apple can’t make iPads fast enough as it is (right now they’re probably attempting to build up a bit of stock for the holiday season).

    And pushing an unfamiliar OS on people which would probably work badly on the all kinds of bizarre PC configurations people have would most probably not be a good way to boost demand even further – probably rather the opposite. That could become quite expensive and potentially even reputation-damaging for Apple.

    And another thought: Why would you think that Apple should copy a Microsoft strategy which is clearly falling apart as we speak?

  10. Nice wish, but not likely. The IBM analogy is closest. Sun and Oracle reign high only 10 years ago. It has taken nearly this long for most large organizations to convert over to all MSFT back-end. Some government agencies are still only in the final phases of phasing out UNIX and mainframes into all Windows environment. Ever logged in to your bank or other sites to pay bills? Noticed the end of the URL says “.aspx”? I can show my CIO that we can do everything we need on Macs with Unix/Linux back-end, but he would ask what is the plan to dump all our current P.O. and maintenance contracts and IT projects, and how to convert all the equipment and personnel skills already trained on Windows. That’s 5 years right there, for most companies already tightening the IT budget.

    I am not saying it will not happen. I hope the NC BILLION DOLLAR SERVER FARM will help the cause. I wish more disruptive trends bring about a workplace revolution soon. But I doubt the entire world will switch to Gmail or drop SQL Server in the next 5 years.

  11. Nice wish, but not likely. The IBM analogy is closest. Sun and Oracle reign high only 10 years ago. It has taken nearly this long for most large organizations to convert over to all MSFT back-end. Some government agencies are still only in the final phases of phasing out UNIX and mainframes into all Windows environment. Ever logged in to your bank or other sites to pay bills? Noticed the end of the URL says “.aspx”? I can show my CIO that we can do everything we need on Macs with Unix/Linux back-end, but he would ask what is the plan to dump all our current P.O. and maintenance contracts and IT projects, and how to convert all the equipment and personnel skills already trained on Windows. That’s 5 years right there, for most companies already tightening the IT budget.

    I am not saying it will not happen. I hope the NC BILLION DOLLAR SERVER FARM will help the cause. I wish more disruptive trends bring about a workplace revolution soon. But I doubt the entire world will switch to Gmail or drop SQL Server in the next 5 years.

  12. @daugav369pils

    I suppose Apple could make a PC version of Boot Camp so one could install Mac OSX on a PC on a separate partition of the hard disk. This would enable one to seamlessly integrate i/Pad,Phone, Pod, Book,Tunes to a PC. Sales of iPads could go through the roof. Just a thought.

    iTunes handles the iOS devices and there is a Windows version of iTunes to handle iPads on Windows.

    But I get your point, Ubuntu Linux has that ability. A burned iso or a bootable USB of Ubuntu can run Ubuntu in test mode without installing anything, or it can partition the Windows drive and install Ubuntu there, or it can wipe the drive and install Ubuntu, erasing Windows in the process.

    That’s what Apple needs, or a third party could do it, but Apple would sue them if they did, because Apple doesn’t allow OS X to be run on PC’s.

    A good answer.

  13. @daugav369pils

    I suppose Apple could make a PC version of Boot Camp so one could install Mac OSX on a PC on a separate partition of the hard disk. This would enable one to seamlessly integrate i/Pad,Phone, Pod, Book,Tunes to a PC. Sales of iPads could go through the roof. Just a thought.

    iTunes handles the iOS devices and there is a Windows version of iTunes to handle iPads on Windows.

    But I get your point, Ubuntu Linux has that ability. A burned iso or a bootable USB of Ubuntu can run Ubuntu in test mode without installing anything, or it can partition the Windows drive and install Ubuntu there, or it can wipe the drive and install Ubuntu, erasing Windows in the process.

    That’s what Apple needs, or a third party could do it, but Apple would sue them if they did, because Apple doesn’t allow OS X to be run on PC’s.

    A good answer.

  14. I hope Microsoft does fantastic over the next few years. Their past wrongs can’t be undone. So, lets hope they execute to the top of there ability. Let’s hope that the XBox gets so good that it is nigh impossible for Sony and Nintendo to keep up. Let’s hope that WP8 comes quickly and is so competitive that it gives the iPhone and Android fits. Let’s hope that Windows 8 is a bastion of security and ease of use, because the 85% of the world has already invested in the hardware to run it. Most of all let’s hope Microsoft out Microsofts Google with Bing. I like choice but most of all I like competition. Competition makes better products for us all. LONG LIVE APPLE. LONG LIVE MICROSOFT

  15. I hope Microsoft does fantastic over the next few years. Their past wrongs can’t be undone. So, lets hope they execute to the top of there ability. Let’s hope that the XBox gets so good that it is nigh impossible for Sony and Nintendo to keep up. Let’s hope that WP8 comes quickly and is so competitive that it gives the iPhone and Android fits. Let’s hope that Windows 8 is a bastion of security and ease of use, because the 85% of the world has already invested in the hardware to run it. Most of all let’s hope Microsoft out Microsofts Google with Bing. I like choice but most of all I like competition. Competition makes better products for us all. LONG LIVE APPLE. LONG LIVE MICROSOFT

  16. Mark Bizzarro: Obviously posted from a “superior” iPad as the lack of a real keyboard has caused you to erroneously capitalize letters and make typo’s.

    I’ve indeed overlooked a few typographical errors (no apostrophe, by the way!) while I was composing my reply lying comfortably flat on my back on the couch.

    None of which having anything to do with the issue at hand.

    Mark Bizzarro: And you can program in machine code? Yea, you know what your doing alright. Please…

    That does indeed take quite a bit more intimate knowledge of the actual machine, its various built-in technologies, various development techniques and strategies than dabbling in the use of ready-made high-level utilities of the kind you mentioned.

    I was merely providing some perspective, since you just had to trot out the oldest of all anti-Mac-user stereotypes which had already been wrong and boring for over twenty years.

    A Mac is a computer which allows you a wide spectrum of tinkering, hardcore development and tweaking of all kinds (including compiling your own versions of the kernel and of various other system components) and any kind of wasting time on doing things the hard and complicated way you could ever want.

    As a developer, I appreciate these options.

    Even more important, however, is that on a Mac I don’t have to do any of these things if I don’t want.

    And most of the time I indeed don’t want to do most of these things, even as a developer.

    If you still believe in that age-old fairytale of Macs being for “unskilled” people only, that’s your own choice. But it seems the primary reason why the Mac, the iPod, the iPhone and the iPad have become massive successes has still completely escaped you:

    Using a digital device doesn’t need to be complicated. And as far as possible, it shouldn’t be.

    That’s it.

    Even I want a machine that makes the elementary things as simple as possible so that I can dedicate my time to the things which really need my attention instead. Windows or Linux would be time-wasting detractions for me (and I know – I’m using both as well for certain tasks).

  17. Mark Bizzarro: Obviously posted from a “superior” iPad as the lack of a real keyboard has caused you to erroneously capitalize letters and make typo’s.

    I’ve indeed overlooked a few typographical errors (no apostrophe, by the way!) while I was composing my reply lying comfortably flat on my back on the couch.

    None of which having anything to do with the issue at hand.

    Mark Bizzarro: And you can program in machine code? Yea, you know what your doing alright. Please…

    That does indeed take quite a bit more intimate knowledge of the actual machine, its various built-in technologies, various development techniques and strategies than dabbling in the use of ready-made high-level utilities of the kind you mentioned.

    I was merely providing some perspective, since you just had to trot out the oldest of all anti-Mac-user stereotypes which had already been wrong and boring for over twenty years.

    A Mac is a computer which allows you a wide spectrum of tinkering, hardcore development and tweaking of all kinds (including compiling your own versions of the kernel and of various other system components) and any kind of wasting time on doing things the hard and complicated way you could ever want.

    As a developer, I appreciate these options.

    Even more important, however, is that on a Mac I don’t have to do any of these things if I don’t want.

    And most of the time I indeed don’t want to do most of these things, even as a developer.

    If you still believe in that age-old fairytale of Macs being for “unskilled” people only, that’s your own choice. But it seems the primary reason why the Mac, the iPod, the iPhone and the iPad have become massive successes has still completely escaped you:

    Using a digital device doesn’t need to be complicated. And as far as possible, it shouldn’t be.

    That’s it.

    Even I want a machine that makes the elementary things as simple as possible so that I can dedicate my time to the things which really need my attention instead. Windows or Linux would be time-wasting detractions for me (and I know – I’m using both as well for certain tasks).

  18. Mark Bizzarro. Troll, FUD spewer, pretend Mac user, and Hewlett Packard salesment. Good to see him back! And by good I mean nauseating.

    “Apple’s hardware chiefly caters to the computer ignorant”

    Apple’s hardware chiefly caters to the bullshit intolerant.

    “Wouldn’t Apple’s OS X market share increase drastically if they sold a PC version”

    You bet it would! And it would also be a complete disaster, just like the last time Apple licensed out the Mac OS to third party manufacturers!

    You, encouraging Apple to shoot itself in the foot? Never.

    “A plan or what?”

    What.

  19. Mark Bizzarro. Troll, FUD spewer, pretend Mac user, and Hewlett Packard salesment. Good to see him back! And by good I mean nauseating.

    “Apple’s hardware chiefly caters to the computer ignorant”

    Apple’s hardware chiefly caters to the bullshit intolerant.

    “Wouldn’t Apple’s OS X market share increase drastically if they sold a PC version”

    You bet it would! And it would also be a complete disaster, just like the last time Apple licensed out the Mac OS to third party manufacturers!

    You, encouraging Apple to shoot itself in the foot? Never.

    “A plan or what?”

    What.

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