Bonum Certa Men Certa

Attack on Linux and FOSS Reveals Microsoft's Weakness, Fragility

Microsoft. Oh, thy mighty Microsoft! How giants have fallen. An InfoWorld article hits the nail right on the head and claims that, if anything, Microsoft's latest patent claims hint at internal issues.

Microsoft Corp.'s aim to seek patent royalties from open-source distributors and users may be an attempt to use legal threats to deflect attention from larger questions surrounding its business, including lack of interest in new versions of core products and lackluster profit from new wares.


We would like to present several articles that expose the truth behind public relations. If you are unfamiliar with these, you are urged to read on.

Microsoft's Record Quarter: Shareholders Paid for Most of the Upside Surprise

"Said another way, Microsoft achieved record breaking earnings during the Vista launch quarter by taking money out of its assets, not through amazing sales of Vista and Office."

Now taking money of its savings account isn't necessarily a big deal... However, as a point in contrast, Apple Inc. has been launching a lot of products over the last nine months and has added almost $2 billion to its balance sheet and assets in the same period that Microsoft's assets dropped $6 billion.


Microsoft Refuses to Reveal Current Vista Sales

Microsoft on Thursday reported a 65 percent jump in third quarter profits, buoyed by sales of its latest operating system, Vista. Exactly how many Microsoft has sold, however, is still a mystery.

[...]

Liddell declined to provide exact numbers on how many units of Vista the company had sold.


Uh-Oh, Vista! PC Sales Levels Are Normal

"Vista hasn't been a catalyst for PC sales," he said. "Looking at the weekly data, there really isn't anything happening with sales that has anything to do with Vista."


Also see this note on channel stuffing.

"This is a relic of old-line consumer products companies like Philip Morris, or fraudsters like Miniscribe who literally shipped bricks in lieu of disk drives to hit sales targets.

[...]

Channel stuffing is the business practice where a company or a sales force within a company inflates its sales figures by forcing more products through a distribution channel than the channel is capable of selling to the world at large.

[...]

We have a game we play around the office here with Microsoft press releases. The game is, "Find the words that make the headline true." It's not always easy.

[...]

Sony, like Microsoft, announces units shipped, not actually sold. This allows both companies to advertise sales numbers based on how many units they can force retailers to accept, not on how many units customers actually buy; both have considerable market power to push excess unsold inventory into the channel."


Microsoft cuts Windows virtualization features

The company is changing three key features of the hypervisor technology to try to stick to its schedule of releasing the technology within 180 days of completing its Windows Server "Longhorn" operating system, due to be finalized before the end of the year.


More than half of Microsoft Vista needs re-writing

"Up to 60% of the code in the new consumer version of Microsoft new Vista operating system is set to be rewritten..."


Vista: end of a dream

In the long years since XP was launched, Apple have come out with five major upgrades to OS X, upgrades which (dare I say it?) install with about as much effort as it takes to brush your teeth in the morning. No nightmare calls to tech-support, no sudden hardware incompatibilities, no hassle. Why hasn't Microsoft kept up? Unmaintainable

Right now, Microsoft has nowhere to run, and nowhere to hide. After all the hype surrounding Vista, the Emperor has finally been revealed in all his naked glory. Some folks have been predicting the demise of Microsoft. I wouldn't go that far, but I am wondering how we're ever going to take Microsoft seriously again?


Microsoft admits Vista screwed - report

Vista SP1 is code named "Fiji", presumably after a pretty looking island which is paralysed by coups.

In a statement regarding the service pack Microsoft admits that Vista has "high impact" problems.


MS Insider: The Office Crew Isn't Smart Enough to Supplant Real Windows Developers

"With Alchin retiring, MarkL and MarkZ, two of the most talented architects in MS already having left, the picture gets really ugly for the Windows division," my friend claimed, and the BV's core team members, Ian McDonald, Jack Mayo, Todd Wanke, Clyde Rodriguez and others are starting to connect the dots.

[...]

He concluded ominously. "A trainwreck of biblical proportions looms. Pick a good seat on the sidelines, trainwrecks this large take awhile to complete. Vista may be the last MS OS for some time to come, especially if Cutler decides to play hardball."


Software Notebook: Microsoft's cash pile isn't what it used to be

But Microsoft has taken a series of steps to reduce its cash balance. Specifically, by Microsoft's count, the company has paid out nearly $100 billion through dividends and repurchasing its own stock in the past five years.


Loot: Redmond, We Have a Problem, Or, What's Wrong With the Xbox 360

At this point, Former becomes impassioned. That's not fair, he says; we always saw this as a long-term venture. To which we reply that we were talking about the original Xbox, and while other divisions of the company throw off more profits in a single quarter than the entire $5 billion or so lost in the home and entertainment division to date, the fact remains that, as we take-our-word-for-it predicted, the Xbox group has been spectacularly unprofitable for Microsoft. Hence, our heretofore unpublished Vietnam analogy. The rest of the night is a blur, but we digress.


How Much is Too Much?

Microsoft says it will stick with Xbox. But with years of heavy losses behind it, the pressure's on for the gaming division to make good


Microsoft stoic despite massive losses

If you were to judge by the PR rhetoric, you'd think the 360 was an unstoppable commercial juggernaut. As usual though, PR lies.


Microsoft Hides Its Mobile and Business Apps Divisions

The company is folding its two worst-performing divisions -- Microsoft Business Solutions (its business applications unit) and its Mobile and Embedded units -- into the Microsoft Business Division and Microsoft Home and Entertainment units, respectively.


A Dozen Stocks For '07

Millen also thinks $36 billion in planned share buybacks will help the stock.


Microsoft counts on Vista to recharge stagnant stock
There was a time in the 1990s when shares of Microsoft stock seemed to double every couple of years. 1996: college for the kids. 1998: a place on Whidbey. 1999: early retirement.

Times have changed.


Commentary: Microsoft needs more than just buybacks to lift its shares

Microsoft shares, which have been dormant for the last few years, have been looking up over the last couple months. The Dow industrials component has gained about 20% since hitting a 4-year low of $21.46 o June 13.

To help move things along, Microsoft not only launched a $40 billion stock repurchase program that lasts through 2011, the company also said its previously announced 4-year, $30 billion stock buyback program was completed in just 2 years.


We hope that citations speak for themselves. Microsoft's own problems led it to an attacking strategy. It's not a rational move, but an emotional one perhaps.

Comments

Recent Techrights' Posts

Microsoft Uses LLM Slop to Defraud (or Rob) Shareholders
Microsoft is basically defrauding its shareholders by LLM slop
The "Davos Effect": Tarnishing the Reputation of Places Not by Overtourism But by Oligarch Infestation
The last Venice needs is an affiliation with Venetian oligarchs
 
Gemini Links 01/07/2025: Distraction-Free Writing and Hytale Mismanagement
Links for the day
Links 01/07/2025: "Beauty of Blogging" and "Etiquette of Collapse"
Links for the day
The Web is a Dead End
We need to adopt alternatives
When Words Lose Their Intended Meaning
examples of words that, at least in the technical spheres, don't mean what they sound like
People Who Disagree With You on Technical Matters May or May Not Agree With You on Political Things (But Usually They Do)
What bothers me a great deal is seeing left-leaning people accusing other left-leaning people of being "nazis"
"Too Much Choice" and "Too Many Programming Languages"
What IBM and its apologists aim for was attempted in the 1930s and it failed
Microsoft Lost 400,000,000 Windows Users, According to Microsoft
more people adopt smaller computers and many people replace Windows with GNU/Linux, as they don't really need a new computer
Half a Year Gone, What's to Come Next
In the second half of 2025 we expect to be done with the Microsoft SLAPPs
Over at Tux Machines...
GNU/Linux news for the past day
IRC Proceedings: Monday, June 30, 2025
IRC logs for Monday, June 30, 2025
People at the Very Top of Microsoft Know How Bad Things Really Are
There's no product that can replace the former profitability of Windows licensing and stuff that went on top of Windows
Gemini Links 01/07/2025: Mid Year and a Tour of Old Languages
Links for the day
EPO Presentation Bemoans Misuse of Slop in Decision-Making on Patents and in Classification (Which is Likely Illegal Too)
We habitually mention failed use cases of LLMs on the Web
Mass Layoffs at Microsoft Confirmed, "XBox Hardware Is Dead"
It's possible that over 20% of the staff will be laid off
Links 30/06/2025: Kyrgyzstan vs Media Freedom, Dalai Lama Succession
Links for the day
Gemini Links 30/06/2025: Backend Programs in Gemini and Dynamic Content Without The Scripting
Links for the day
Links 30/06/2025: Zuckerberg’s Tax-Evading Scheme Harms Kids, US Copyright Office Lacks Leadership
Links for the day
Microsoft Isn't Laying Off Tens of Thousands to 'Invest' in Slop ('Hey Hi'), It's Laying Off Tens of Thousands Because It's Running Out of Money (and Willing Lenders)
the layoffs are a sign of the business failing, not "hey hi" (whatever that is) replacing staff
Intel Lays Off 20% of Its Workforce, Microsoft is Doing the Same This Year
Like a yoyo, whatever goes up will come back down
Microsoft XBox Layoffs: Almost 2,000 Layoffs Became "Over 2,000"? (Over 20% of the Staff)
over 20% of staff will be let go, not counting staff that leaves voluntarily
GNU/Linux Rises to New Highs in Angola, Africa in General is Abandoning Windows
Western media barely covers Microsoft layoffs in Africa, but in recent years Microsoft culled the workforce and even shut down entire operations
Summer Plans in Techrights and Elsewhere
massive layoffs at Microsoft
Destination Geminispace (in the Age of LLM Slop and Slop Images That Infest the Web and Social Control Media)
Geminispace isn't vast, but at least it is - on average - a lot "cleaner"
GNU/Linux Growing in Sierra Leone This Year
Based on what statCounter is seeing, this year there are more and more people there who adopt GNU/Linux
Serial Sloppers Gonna Slop
More sites out there ought to call out the cheaters
Quartz (qz.com) is Spam and a Slopfarm
It used to be OK. Then they fired the staff.
Links 30/06/2025: US Economic Woes, Extreme Heat
Links for the day
Over at Tux Machines...
GNU/Linux news for the past day
IRC Proceedings: Sunday, June 29, 2025
IRC logs for Sunday, June 29, 2025
Gemini Links 30/06/2025: "The AI Hype" and New AuraGem Ask
Links for the day
Our Desktops Are Not Your Experiments, X is Not an Experiment
Breaking what already worked
Microsoft's Big Lies Regarding This Week's Mass Layoffs Have Already Begun (and They're Already Being Spread by Slopfarms)
Microsoft is the "market leader" in slop
Explaining the Full Story of SLAPPs From Microsoft Staff
For every action there is a reaction, for every attack there will be proportionate consequences
The Openwashing Shills Initiative (OSI) - Part III: IRS and Status of OSI
"They lied to the US IRS and there’s a paper trail"
IBM Red Hat's Dogmatic Fanaticism Under a Thin Veil of "Modernism"
IBM now has the audacity to paint people who don't agree as "nazis"
Microsoft's Share in Guatemala Fell From 97% to 14%
Eventually Microsoft will get stuck in a loop of layoffs, layoffs, and more layoffs
They Made Technology Scary and Taught Us That It's Innocent, Friendly, Even "Social"
Rejection of all this "apps" and "gadgets" and "Smart" (whatever that means!) status quo isn't a rejection of society
The Media is Under Attacks Partly Because There's Little Other (Remaining) Press to Speak in Its Defence
The biggest danger here is that when there's very little press or no "opposition media" left it becomes even easier to crush critics because there aren't many people left to speak about the matter
If Your Web Site is Run by Bots, Eventually Nobody Will 'Read' It Except Bots (People Don't Want to Read Slop)
Eventually people learn from mistakes
Links 29/06/2025: Microsoft Releases False/Fake Benchmarks, "Google Wants You to Watch Ads or Take Surveys to Read Articles"
Links for the day
Links 29/06/2025: Data Breaches and Online Censorship
Links for the day
Gemini Links 29/06/2025: "The Price Of Eggs" and Gemini 3D Tic Tac Toe
Links for the day
Over at Tux Machines...
GNU/Linux news for the past day
IRC Proceedings: Saturday, June 28, 2025
IRC logs for Saturday, June 28, 2025