Slashdot Mirror
Why is Microsoft Making its Own Life Difficult?
sebFlyte asks: "Asking Slashdot readers what they think of Microsoft's methodology and ethos might seem like a silly thing to do, but a ZD-Net article raises some interesting points. The main one is that: 'Microsoft's behaviour is technically, morally and practically indefensible. It could publish its CIFS specification tomorrow if it so chose, an act that would correspond closely to the spirit and letter of the European decision. The company would then be free to compete through the simple process of making better products, something it claims to favour, while also encouraging precisely the sort of interoperability it says is missing.' The question I'm curious to canvas opinion on is why Microsoft is taking an attitude that is believed by so many to be damaging to their market position."
And you think any other major company is in it to provide a better product or service?
Did I say I thought that? Where did I say I thought that? Where did I imply I thought that?
Microsoft is the company under discussion, so my comments were about Microsoft.
So how, exactly, did you infer that I felt no other company behaves the same way.
The world revolves around money, power, and influence.
Yeah, I thought that way at one point. I'm glad I dropped out of the rat race and found I can live without taking part of that lifestyle. It makes life much easier and enjoyable. I've also left a lot of stress behind and am much healthier. The world is what we make of it. If you want to insist it is about money and power, than I hope you find a lot of money and power. I'm sure with your insights, you've found it wasy to start your own business and will soon be dominating your own field of endeavor.
The question I'm curious to canvas opinion on is why Microsoft is taking an attitude that is believed by so many to be damaging to their market position.
Because their actions have not been damaging to their market position; they have succeeded wildly with those tactics. Why should they change? What could they possibly gain from a change in strategy that they don't already have? "Good feeling"? "Competitive instincts"? You can't take either of those to the bank.
The only interesting question is: if, and this is a big if, if they they ever find themselves to be losing marketshare in a substantial way, will they be able to move fast enough to change and adapt? or will they maintain their mantra to the end?
And by substantial, I don't mean FireFox and it's 3%--I mean, for a serious threat to emerge, it would have to be somewhere above 20% of the market Microsoft wants to own. Otherwise it's just an outlier.
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What, the financial record that shows a decline in revenues, while at the same time an increase in profits due to less spending on R&D? Is that the financial you are talking about?
It sounds great to say that Microsoft just posted the most profitable quarter ever. But if you look behind the scenes, you see that Microsoft did less business than the previous quarter.
You have to realize that Microsoft can almost live on its investments alone, without even being the #1 player in the market. I'm not suggesting that MS is not the #1 player right now, but I am suggesting that you have to look at revenues, not at profits. What you see might tell you another story - a different story from the one you are preaching.
I don't study MS financials, so I am no expert. But I do get the impression that Microsoft has reached a plateau, in terms of revenues, with its current product offerings. It seems that people are slowly getting interested in other things: Like OSX. Like OpenOffice. Like Firefox. Like Linux.
Microsoft drove their growth with a certain appeal. It was a cost appeal. Microsoft let you do things with computers for not a lot of money. This was appealing to people who were interested in computers at the time, but not initially to average consumers. Now Microsoft has eliminated its own cost appeal by virtue of its monopoly. The computer enthusiasts have become disillusioned with Microsoft, and have moved on to other things (cheaper, more open, more curious other things). These people are beginning to drive the next wave of technical innovations that will later become the staple of the common consumer. At the same time, MS is cutting its R&D and relying on its monopoly position and same old predatory practices to cast the illusion of growth.
The fact is, there is no room for a monopolist to grow without getting into other markets. Yes, we see that Microsoft is trying this. I think it is because they understand the doom that is coming on the shink-wrapped software front. The good news is that, in these new markets, Microsoft is not yet a monopolist. They will try to leverage one monopoly to build the other, but I don't think they will succeed.
Of course, we will see Microsoft as a big player for many years to come. That just gives everyone more time to see the writing that is on the wall.