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I love it when Steve Ballmer talks of product releases on the web, web services, and -- well -- much of what Microsoft does moving to the web. Well, this is 2006, Steve, and this talk is long, long overdue.
Competitors Google and Salesforce.com moved into this mindset long before Microsoft did and have seen impressive gains while Microsoft waited to do things. Now, you're catching up, but in many areas it may even be too late for the mighty Softie machine.
And, what's this? Microsoft is moving towards a software model that is funded by advertising and not by direct sales? Say it isn't so! Actually, even though Microsoft is way late to this game, part of what Ballmer talks about is good news to hear. Admission that the world has changed is the large first step into making transitions, and Microsoft needs some in many (but not all) areas. When it comes to consumers, Microsoft needs some re-invention in order to hopefully catch up with Google, which has a lead that may be too large to match.
When Ballmer said this, though, I was taken aback to the year 2000 almost -- this is what the CEO of the world's largest software maker should have said back then -- but he said it in July 2006: "Software is becoming a service. Embracing advertising and subscription-based models and Internet-based delivery across Microsoft's product line is an important part of what we will do." Although it's years late, at least Ballmer gives it up -- because years ago, he was busy being a monkey.
[Disclosure: I own MSFT shares as of 7-28-06]
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Reader Comments (Page 1 of 1)
7-28-2006 @ 12:31PM
Doanld W. Nanninga said...
If Microsoft wants to be a major player in the internet business, purchasing Google or Yahoo and tying it to their Windows program would be a smart acquisition and would place them way out in front of the others. If this happened, I would drop AOL in a minute and subscribe to MSN.
7-28-2006 @ 7:09PM
EJ Passeos said...
I like Mr. Ballmer, and think he means well, but isn't there much more trouble brewing for MSFT?
I have to think the post holiday Vista delay will severely hurt electronic stores and computer sellers.
Isn't Apple missing out on these disaffected consumers?
MSFT is a big, slow, lumbering giant now with a horrific reputation with tech users and not a great one with non-techies.
7-29-2006 @ 2:50AM
jbelkin said...
Pretending to be on the edge FIVE YEARS after the fact in tech is pretty pathetic.
MS is brilliant at selling to enterprise and when they could offer us one choice, them but with the internet and unable to control anybody or anything legally or illegally, they are just another random company - and sadly trailing pretty much in every category.
They claim the Zune will catch up to the ipod in 5 years - um, if Apple and the ipod rest like MS where you cannot even release an OS (their core business) in 5 years!
Or spend $400 per unit to sell each xbox.
They just announced they've spent $10 BILLION on Vista & Office 2007 - as a shareholder, you really okay with that & pouring $10 bilion into xbox, $4 billion to try and take out AOL, another billion to attack ipod? And $40 billion to prop up ballmer & gates shares?
You really think they are spending YOUR money & your shares properly?