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Microsoft To Enter Hosting Business
TM84 writes "InformationWeek reports on Microsoft's latest revenue plan. Within one year the company plans to offer hosting implementations of Sharepoint as well as CRM and ERP applications." From the article: "One thing is certain: Microsoft is exploring myriad ways to deploy and charge for software, ranging from subscription models a la MSN to easier ways for companies to buy incremental products not in their current Enterprise Agreements. Some industry observers liken the hosting move to the 'turn on a dime' shift that Microsoft executed years back when it discovered the Internet. When asked which other products and services Microsoft would host, another Microsoft insider said, 'Everything. Hosted Office. Everything hosted.'"
I noticed the same: all MS seems to do lately is flail about blindly attacking fad after fad to make money. It seems to be a lack of vision for what the future holds so they instead chase after every rainbow for that pot of gold at the end.
Of course, with billions in the bank and their core businesses still sucessful - they can afford to do this. But for how long? I doubt with this (lack of) leadership, they'll innovate anything in the next 10-15 years. Though the one big sucess with this tactic was that they had was the Xbox, though I argue that this was a natural outgrowth of the PC/OS business, but at least they have a decent games division for it.
The reason they do this is mentioned previously: cash in the bank - it wants to flow places and be put to use. However, I think Google has the better idea with employees playing around in their spare time and from that new business ideas get implemented.
I'm sure enough people at MS are just as smart but the management is stifling them because they are too scared and want to protect the core businesses. Thus any 'new' business ideas are reactionary - the managers are reacting. Not acting on their own initiative.