Netbooks Take a Bite Out of Windows Profits

twitter writes "Analysts at Bloomberg noticed the tumble in Microsoft's traditional software sales last quarter and blamed it on netbooks: 'The devices, which usually cost less than $500, are the fastest-growing segment of the personal-computer industry — a trend that's eating into Microsoft's revenue. Windows sales fell short of forecasts last quarter and the company cut growth projections for the year, citing the lower revenue it gets from netbooks. When makers of the computers do use Windows, they typically opt for older and cheaper versions of the software. Equipping Linux on a computer costs about $5, compared with $40 to $50 for XP and about $100 for Vista, according to estimates by Jenny Lai, a Taipei-based analyst at CLSA Ltd.' This is why MS declared war on the segment last year and palm top computers in previous years. While they may have successfully tamed the Asus EEE PC, they can't hold back everyone who wants to make a buck on cheap hardware and free software. Analysts have predicted the fall of MS's business model when computers break below $250/unit retail. We are there now, and it has shown in the bottom line."

Comments

The troll, the legend

[Anonymous Coward]

This is what twitter has been doing to Slashdot for most of the year:

http://slashdot.org/~SockDisclosure/journal/214377

Advocacy in action:

http://slashdot.org/comments.pl?sid=1014837&cid=25591469

Disagree with the troll and find yourself in his troll list, where
he also documents death threats for the win.

Bragging with buddies about how "M$" monitors the way he creates accounts on Slashdot:

http://boycottnovell.com/2008/11/08/irc-log-07112008/#tNov%2007%2021:19:07

Treatment of people who revealed what he was doing:

http://slashdot.org/comments.pl?sid=993447&cid=25494651

Trascending Slashdot and bringing everyone down by association:

http://www.osnews.com/conversation/483454a1/Do_you_get_tired_of_the_Web_Hype_
https://lists.ubuntu.com/archives/ubuntu-users/2008-August/154926.html
http://forums.somethingawful.com/showthread.php?threadid=2933313#post347878554
http://blogs.msdn.com/oldnewthing/archive/2007/11/06/5924058.aspx#6051569

Original submission, with original puerile style:

"Analysts at Bloomberg noticed the tumble in M$'s traditional software sales last quarter and blamed it on netbooks:

The devices, which usually cost less than $500, are the fastest-growing segment of the personal-computer industry -- a trend that's eating into Microsoft's revenue. Windows sales fell short of forecasts last quarter and the company cut growth projections for the year, citing the lower revenue it gets from netbooks. When makers of the computers do use Windows, they typically opt for older and cheaper versions of the software.

Equipping Linux on a computer costs about $5, compared with $40 to $50 for XP and about $100 for Vista, according to estimates by Jenny Lai, a Taipei-based analyst at CLSA Ltd.

This is why, M$ declared war on the segment last year and palm top computers in previous years. While they may have successfully tamed the Asus EEE PC but, they can't hold back everyone who wants to make a buck on cheap hardware and free software. Analysts have predicted the fall of M$'s business model when computers break below $250/unit retail. We are there now, and it has shown in the bottom line."

Welcome to the trolled by twitter club, timothy.

Re:The troll, the legend

[Zontar The Mindless]

Guess what? Some of us have lives, and recognise the fact that, hey, it's just a website. If you don't like it, find a different one. I hear that there are several to choose from on this Internet thing.

Blame Game

[nurb432]

Not our fault, bla bla bla its their fault bla bla bla.

nice to see corporations have the same problem with personal responsibility the rest of the world has.