Microsoft is a Dying Consumer Brand

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According to CNN Money, despite selling 240 million copies of Windows 7 in one year and the company having over 90% of the operating system market locked up, Microsoft is a dying consumer brand.

Consumers have turned their backs on Microsoft. A company that once symbolized the future is now living in the past. Microsoft has been late to the game in crucial modern technologies like mobile, search, media, gaming and tablets. It has even fallen behind in Web browsing, a market it once ruled with an iron fist.
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I do not agree with that at all. they are moving ahead with things faster than most. They are waiting for the right technology for the products they really think we want.
 
And yet it has a 90% market share for computer OSes. I'll bet - with no proof at all - that some of that article if not the whole thing was written on a machine running Windows. Go figure.

Time to make some Apple sauce... ;)
 
Ah our beautiful capitalist system. If you're not growing at 15% YOY, you're clearly dying a hideous death due to your terrible products.
 
All I know is that I am quite bitter and butthurt at MS for having taken a dump on PC gaming since the Xbox came into existence. But I can't totally blame them either for doing so, much more control and profit for them there. Restrict mods, sell DLC, charge for online play, charge for overpriced accessories (HDDs, Wifi adaptor, etc.) :(
 
Good thing investors don't watch CNN Money. Where do they come up with this crap?
 
Did CNN fail to see Microsoft is consumer driven...cmon , if Microsoft really became privatized what would they say then?? Really Microsoft has come a long way and is steadily and forcefully taking the bull by the horns. I myself am loving Microsofts movement into Service Oriented Architecture and System Center products..but, those are not consumer driven so they stay out of the 'lime light', that CNN feeds on.
 
nerdydesi said:
All I know is that I am quite bitter and butthurt at MS for having taken a dump on PC gaming since the Xbox came into existence. But I can't totally blame them either for doing so, much more control and profit for them there. Restrict mods, sell DLC, charge for online play, charge for overpriced accessories (HDDs, Wifi adaptor, etc.) :(
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I think the only way for PC gaming to come back to the glory days is if Apple starts getting competitive in the gaming market for their computers. Think about that for a sec.
 
MS certainly isn't the most innovative company around, but they're still the 900 lb. gorilla in the room and they're not going anywhere. MS can afford to buy just about any company or technology they want once they see a viable new market to sell stuff in.
 
I totally agree.

Microsoft is a market follower, not a leader.

Answer this question honestly.

Name the first 5 innovative companies to come to mind.

I did, and Microsoft was not one of them.

They make money because there is no one else in the in the OS sector that has the mass appeal that windows does. I think most people still look upon Apple as expensive and niche. And from what I understand, that is exactly how, from what I've seen and heard, how they want that brand perceived.

I will avoid speaking directly about the server software market since that is not a strong point of mine.

But, It does seem that Microsoft is having a lot of it's other areas stripped from them over the last handful of years.

At one time, Microsoft had a very exciting line of computer mice, keyboards and even computer speakers, but these days, it's all very run of the mill type stuff that while not poor quality, isn't exactly exciting ether.

Who here remembers the awesome Microsoft Digital Sound System 80 speakers? I bought mine around 98 when they came out. Awesome speakers.

I would love for someone to comment on this thread that has a deeper understanding of Microsoft, their business areas and their future as it relates to other companies and what those companies are doing exactly to take away business from Microsoft.
 
The article called Vista a bug-ridden mess, and makes absolutely no mention of Windows 7. Hatemongering much, David Goldman?

BPOS (and soon Office 365) is a godsend in the business world.
 
caniba said:
Good thing investors don't watch CNN Money. Where do they come up with this crap?
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Actually, I follow MSFT pretty closely and investor/analyst sentiment seems to be pretty low the past couple of months. Here's an example article:

SEATTLE, Oct 26 (Reuters) - Microsoft Corp <MSFT.O> is expected to report a big jump in earnings on Thursday, helped by the newest versions of its lucrative Office software and the blockbuster Halo game; but short- and long-term issues with its core Windows franchise nag at investors.

The world's largest software company has sold a record-breaking 240 million Windows 7 operating system licenses in the year since launch. But lower-than-expected personal computer sales are restricting growth, and some worry that its flagship product is under threat from Apple Inc's <AAPL.O> iPad and a longer-term shift to mobile computing.
"The supply-chain vendors and the hardware side are seeing continued weakness in the PC business," said Sid Parakh, an analyst at brokerage firm McAdams Wright Ragen. "What everyone is still not clear about is how much of it is driven by real consumer softness and how much of it is driven by the iPad."

PC shipments -- which generally dictate sales of Windows and the health of the overall tech sector -- rose only 11 percent to 89.7 million units in the July-September period, according to industry tracker IDC, below its forecast of 13.5 percent [ID:nLDE69D02P]. For the current quarter, IDC expects only 7.4 percent growth.

Business spending is still relatively strong, research firms say, but consumers are holding off on PC purchases, or may be buying iPads instead, although it is too early to tell if Apple's new device is really eating away at the low end of the PC market.

Whether the threat is real or not, Microsoft has been roundly criticized for being slow to react, as Apple's iPad heads towards 8 million sales since its launch in April.
Only one Windows-powered tablet, made by Hewlett-Packard Co <HPQ.N>, has been launched since then, and the best iPad competitors are expected on the market only next year.

Several analysts have downgraded Microsoft recently, most notably from Goldman Sachs in October [ID:nSGE6930CY], citing a lack of focus on the burgeoning consumer electronics sector.
Microsoft shares are down 16 percent this year, compared to a 10 percent rise in the Nasdaq composite index. The stock is trading around 2002 levels, at a historically low price-to-earnings ratio.
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IPads eating into PC market? Riiiiiight...

I think between Windows Phone 7, Kinect, and some finally decent tablets next year should prove a lot better as far as sales go.
 
whrswoldo said:
Actually, I follow MSFT pretty closely and investor/analyst sentiment seems to be pretty low the past couple of months. Here's an example article:



IPads eating into PC market? Riiiiiight...

I think between Windows Phone 7, Kinect, and some finally decent tablets next year should prove a lot better as far as sales go.
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Especially with bobcat around the corner.
 
SixFootDuo said:
I totally agree.

Microsoft is a market follower, not a leader.

Answer this question honestly.

Name the first 5 innovative companies to come to mind.

I did, and Microsoft was not one of them.

They make money because there is no one else in the in the OS sector that has the mass appeal that windows does. I think most people still look upon Apple as expensive and niche. And from what I understand, that is exactly how, from what I've seen and heard, how they want that brand perceived.

I will avoid speaking directly about the server software market since that is not a strong point of mine.

But, It does seem that Microsoft is having a lot of it's other areas stripped from them over the last handful of years.

At one time, Microsoft had a very exciting line of computer mice, keyboards and even computer speakers, but these days, it's all very run of the mill type stuff that while not poor quality, isn't exactly exciting ether.

Who here remembers the awesome Microsoft Digital Sound System 80 speakers? I bought mine around 98 when they came out. Awesome speakers.

I would love for someone to comment on this thread that has a deeper understanding of Microsoft, their business areas and their future as it relates to other companies and what those companies are doing exactly to take away business from Microsoft.
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You forgot to add the caveat: In your opinion. ;)
 
Microsoft = Steak

Apple = Sizzle

The only thing holding MS back is a well-deserved fear of the DOJ. They have the cash to buy up entire tech INDUSTRIES but need to be careful and selective.
 
Sovereign said:
Yes, clearly a 90% market share is "dying." Riiiiiiiiiiiight.
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90% market share might say more for windows itself being more of a brand than it's creator. Outside of windows, what has MS really done? Bing? Meh. Zune? Meh. Win7 Phone? Meh. Contrast that with apple. That's a brand that grown exponentially over the last 10 years and appears to have no signs of slowing down. I will say MS is truly growing when they bring something new and innovative to the table rather, rather than trying to compete directly in markets already dominated by google and apple (search & ipod).
 
xxEIEIOxx said:
Steve Jobs probably told them to say it hoping people would buy into it.
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Basically, sounds like the author is sleeping with Steve Jobs. At the beginning of the article it says this: "Microsoft has been late to the game in crucial modern technologies like mobile, search, media, gaming and tablets"

Lets see now, sure mobile he may have something there, but Win Mobile 7 is looking pretty promising the and mobile market is not even close to a definite solution and never will be. contracts expire in 2 years for most people plan and sure the iPhone is a popular choice, Android in 1 year has shifted many minds. Win Mobile 7 can do the same.

As for the topic of search, Bing is doing very well, it is over 10% of all searches which is good for a search engine to have as much of a market in the short time it took to accomplish that.

The Xbox is great at gaming. He talks about the Wii taking marketshare. Yes that may be true more units or sold, but seriously how many games do we play on our Wii past Zelda, Kart, Super Smash and a few other titles. Xbox has many many games in it library that people still play to this day!

Tablets? You serious? Microsoft has had a tablet system since the XP systems. Sure it wasnt popular in the consumer sector, but the medical sector they are big and still are. The iPad is never going to take the sector. Sure Microsoft doesnt have a consumer solution out yet, but I dont think they care too much about it, they are leaving it up to Android and Apple to take that market.

Sounds like the author is accusing them on there numbers and not practical uses or the facts. Another reason why Apple is a horrible company. If people and companies dont take the Apple way, they arent cool and are going to die and loose marketshare :rolleyes::rolleyes::rolleyes:
 
Rock&Roll said:
90% market share might say more for windows itself being more of a brand than it's creator. Outside of windows, what has MS really done? Bing? Meh. Zune? Meh. Win7 Phone? Meh. Contrast that with apple. That's a brand that grown exponentially over the last 10 years and appears to have no signs of slowing down. I will say MS is truly growing when they bring something new and innovative to the table rather, rather than trying to compete directly in markets already dominated by google and apple (search & ipod).
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Xbox and Xboxlive
 
Rock&Roll said:
90% market share might say more for windows itself being more of a brand than it's creator. Outside of windows, what has MS really done? Bing? Meh. Zune? Meh. Win7 Phone? Meh. Contrast that with apple. That's a brand that grown exponentially over the last 10 years and appears to have no signs of slowing down. I will say MS is truly growing when they bring something new and innovative to the table rather, rather than trying to compete directly in markets already dominated by google and apple (search & ipod).
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HAHA CNN HAHAHAHAHA

I'm sorry but why wouldn't they try to compete in those markets? The Zune was great and Bing is actually pretty alright. I like how you ignore other fantastic products they've made like the XBox (Best console) and Office (Best Office software, no alternatives available) both of which completely dominate.
 
MyThLoSt said:
Xbox and Xboxlive
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Which came to compete against PS2 and PS Online. One could argue that these products compete in a dead-heat with each other. Xbox has done some great things. But again, it's just MS's twist on something that was already done by someone else.

What I'm saying is, MS will really be big again--if, lets say, they develop the first commercially viable holographic 3d tv and provide the hardware necessary to support such media :p

I'm not saying MS doesn't innovate at all. I'm just saying, they need something truly new that they can be the first to do. Something they can really stake their name on and say no one else comes close to doing it like they do. And then let everyone else play catch-up. They may have market share to say they already do this with windows & office. But there's more factors in that stat than simply who has the best product.
 
Rock&Roll said:
90% market share might say more for windows itself being more of a brand than it's creator. Outside of windows, what has MS really done? Bing? Meh. Zune? Meh. Win7 Phone? Meh. Contrast that with apple. That's a brand that grown exponentially over the last 10 years and appears to have no signs of slowing down. I will say MS is truly growing when they bring something new and innovative to the table rather, rather than trying to compete directly in markets already dominated by google and apple (search & ipod).
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What about MS Office, XBox 360, Microsoft Games Studios? I would think an office productivity suite that has market share of something like 80% should be viewed as a notch in their belt. They came out of nowhere with the XBox and now are a dominant player in the video game industry. Their gaming studio has had some success as well.

Bing gets about 15% of search engine traffic. Zune has about 10% of the hard drive mp3 market. Win 7 Phone just came out so its too early to tell what impact it will have. They are not the leaders in these markets, but they do have a nice foothold. Only time will tell if they continue to grow or fade away.
 
Apple&#8217;s consumer products are mainly Bling that people buy to show that they are fashionable or popular.
Like buying a Cadillac Escalade or a Toyota Prius. Problem is that fashion and be fleeting. Looks like we may be seeing the start of this with the iphone/android market.

Microsoft products are what people use to actually work (windows/office/servers), like a Ford F150 or a Honda Accord. I don&#8217;t see the server OS, Exchange, IIS, SQL, or for that mater the desktop/laptop OS & Office going away for a long time.
 
Some points are valid:

Mobile? Yeah, the got off the boat. Lets see if they can get back on.

Media? Think hard. What is the Microsoft strategy around media? Can you name it? Probably not. Zune? Media Center? WMP? xBox? What is their play in the living room? xbox? Media Center? Why is interoperability so poor between their media solutions? Can you sync a Zune from an xbox with music and video on it? What about Media Center? No. And that is their problem in media: no unifying vision and poor interop across solutions.
 
nerdydesi said:
All I know is that I am quite bitter and butthurt at MS for having taken a dump on PC gaming since the Xbox came into existence. But I can't totally blame them either for doing so, much more control and profit for them there. Restrict mods, sell DLC, charge for online play, charge for overpriced accessories (HDDs, Wifi adaptor, etc.) :(
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BravO))) said:
I think the only way for PC gaming to come back to the glory days is if Apple starts getting competitive in the gaming market for their computers. Think about that for a sec.
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I have a novel idea: don't buy a console?

MS is very aware of one very odd fact: The people who are moaning loudest about bad console ports, about consoles killing PC gaming, about how restricting it is, how costly it is etc. etc. etc., are the very same people who (you guessed it!) OWN an Xbox/360.

You can't run around screaming about how crack cocaine is destroying our youth between puffs on your crackpipe. You yourself must choose to not do crack cocaine if you want to make a change.

I own an Xbox, and I own a PS2. I've only played exclusive titles on either that I knew were never coming to the PC. But I sit here in the forums and read people asking if they should get the new game on the Xbox/PS, or on the PC.

As far as my own gaming goes, I own ~600 PC games. My backlog's roughly 500 games. That's a half-thousand games I've never played. And I don't even own many of the newest releases. I've barely even played a COD game (played COD1 finally recently). Have never played Medal of Honor. Battlefield. FEAR.

Hell, I'm finally just playing Serious Sam 2. Bought that on the week of release.

But there's undeniably an absolute plethora of PC games out there. My Steam account is 353 games alone. Most of 'em aren't even console ports that I'm aware of.

So, with a 500-game backlog, I don't see any need for a console. So, either people aren't buying PC games, or they have way too much free time on their hands and are burning through each game.


I suspect someone's going to say consoles are cheaper. Really? An Xbox360 and 20 $60 games will run you upwards of $1,200 easily. Well, a beefy i7 rig with even a high-end video card and 20 Steam games (bought during their weekly/monthly/holiday sales for ~$5/each) is also roughly $1,200. (and in the winter it'll even double as a space heater...)

I'll stick to the PC.
 
Rock&Roll said:
90% market share might say more for windows itself being more of a brand than it's creator. Outside of windows, what has MS really done? Bing? Meh. Zune? Meh. Win7 Phone? Meh. Contrast that with apple. That's a brand that grown exponentially over the last 10 years and appears to have no signs of slowing down. I will say MS is truly growing when they bring something new and innovative to the table rather, rather than trying to compete directly in markets already dominated by google and apple (search & ipod).
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MyThLoSt said:
Xbox and Xboxlive
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Booyahkasha! Lols. =) Though iTunes sales are probably much higher than game sales, and it's allot easier to pirate an MP3 (vs. buying from itunes) vs. pirate an Xbox 360 game.
 
No one uses Microsoft .Net, Biztalk server, Windows 2008 server, or SQL Server. Those are fictional technologies made up by gnomes to trick you.
 
Well I agree, but not so much for "people are turning their backs on Windows" but on the "brand"... I don't give a flying fuck about a Microsoft search engine, nor a phone, nor a tablet, or a video game system, all I care about from MS is an operating system, that's it! They need to stick what they're good at, and stop trying to do what Apple does.
 
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