EditorsAbout the SiteComes vs. MicrosoftUsing This Web SiteSite ArchivesCredibility IndexOOXMLOpenDocumentPatentsNovellNews DigestSite NewsRSS

07.23.08

Off Topic: Getting Worse For Microsoft… Before It Gets Any Better

Posted in Finance, Fraud, Microsoft, Vista, Windows at 4:14 pm by Dr. Roy Schestowitz

Another harsh week so far

T

his was going to be mentioned very briefly in this evening’s digest of links, but the response to a previous short analysis was very positive. It’s worth expanding on it now that Microsoft’s ‘shocker week’ is through.

Things haven’t gotten much better. To give just a quick overview, an analyst quoted in Reuters suggests that Microsoft should go into debt with another round of buybacks.

Microsoft Corp (MSFT.O: Quote, Profile, Research, Stock Buzz) should take on debt to repurchase stock as a way to revive its flagging share price, a financial analyst said in a new report issued on Tuesday.

Friedman, Billings, Ramsey & Co analyst David Hilal called on the company to take advantage of its predictable cash flow and rock solid balance sheet to execute a leveraged buyback.

As a reminder, Microsoft is estimated to have just $26 billion in the bank. It is far less than it has had for decades. If Microsoft had bought Yahoo!, it would would have borrowed over $20 billion from the bank. Their CFO even headed over to check these option, as reported by Reuters back in March.

This is bad for Microsoft. It had already completed buybacks valued at around $45 billion over the past 3 fiscal years. Will it be more? The frantic investors dropped their shares regardless and the stock nosedived in the past year.

It gets worse. Would you believe that Microsoft has lost $90,000,000,000 in value so far this year? So says Bloomberg.

Microsoft Holders Say Web Spending Masks Idea Drought (Update1)

Microsoft Corp. Chief Executive Officer Steve Ballmer says he plans to spend hundreds of millions of dollars to fix the company’s unprofitable Internet business. His investors say they want proof he knows what to do with the money.

After walking away from six months of on-again, off-again talks about buying all or part of Yahoo! Inc., owner of the No. 2 Web search engine, Ballmer has left shareholders wondering if he has a plan B.

Microsoft, the biggest software maker, has lost about $90 billion in market value this year as Ballmer vacillated on Yahoo and failed to show how he would crack Google Inc.’s dominance of Internet advertising.

Looking elsewhere in the news, there are too few encouraging signs. Microsoft has apparently just elevated its marketing budget for Windows Vista from $300,000,000 to $500,000,000. That’s a lot of brainwash.

Microsoft is really taking the gloves off this time. ZDNet is reporting that it will spend $500 million to make a powerful statement to its hundreds of millions of customers. I imagine the statement would have to go something like this:

Windows Vista isn’t really as bad as they say. Honest. Please don’t be mad at us. We promise our next operating system will be better. Pinky swear.

After the rejection of Windows Vista by so many large companies, including Intel, for whom a heavy Vista was possibly created, there is not much hope for change in the enterprise. Even Microsoft Watch seems to have given up. Here is a new catch of an opinion on Vista:

“Personally, I can’t stand it,” said Aaron Nettles, president and CEO of Vorsite, a Microsoft Gold Certified Partner in Seattle. “It just seems more unstable to me, and I can’t stand not being productive.”

Mind this person’s role and location.

Another important point to make is that other Windows-based products like Server 2008 and Home Server are based on the same code and they are equally problematic on the face is it. We looked at Home Server before. It took about a year to fix a serious data corruption bug (resolved this week). What does that say about trust in the product? It’s all an illusion, a fairy tale wrapped in brand name.

The other day we also mentioned the financial fraud. Here are some more details to ensure this information is never lost (long-term).

There’s a lot more in the distant past and Wired reminisces.

When John Heilemann began working on a book about Silicon Valley in 1998, he discovered that he was hitting up many of the same sources as a group of lawyers from the Department of Justice. The DOJ, of course, was building its antitrust case against Microsoft, and Heilemann wanted in: “I started calling around and got the assistant attorney general to let me inside a lot of the case — as long as I didn’t write anything until the trial was over.”

Those who believe that Microsoft is still in a strong position and gaining further power are easily carried away by corporation-generated hype and glorification attempts that serve as self-fulfilling prophecies. “If Microsoft does great, so are its products,” right? They just need you to believe. It boils down to perception.

Share this post: These icons link to social bookmarking sites where readers can share and discover new web pages.
  • Digg
  • del.icio.us
  • Reddit
  • co.mments
  • DZone
  • email
  • Google Bookmarks
  • LinkedIn
  • NewsVine
  • Print
  • Technorati
  • TwitThis
  • Facebook

If you liked this post, consider subscribing to the RSS feed or join us now at the IRC channels.

Pages that cross-reference this one

What Else is New


  1. With UPC Dead for Battistelli's Entire Remaining Term, No Reason for the EPO or the Administrative Council to Keep Battistelli Around

    Thoughts about what happens to the EPO's leadership after 'Brexit' (British exit from the EU), which severely undermines Battistelli's biggest project that he habitually used to justify his incredible abuses



  2. Links 24/6/2016: Xen Project 4.7, Cinnamon 3.0.6

    Links for the day



  3. Benoît Battistelli Should Resign in Light of New Leak of Decision in His Vendetta Against Truth-Telling Judge (Updated)

    Benoît Battistelli continues to break the EPO's own rules, not just national laws, as a new decision helps reveal



  4. Fake Patents on Software From Fake Australian 'Inventor' of Bitcoin and the Globally-Contagious Nature of EPO Patent Scope

    News from Australia regarding software patents that should not be granted and how patent lawyers from Australia rely on European patent law (EPO and UK-IPO) for guidance on patent scope



  5. Patent Lawyers Love (and Amplify) Halo and Enfish, Omit or Dismiss Cuozzo and Alice

    By misinterpreting the current situation with respect to software patents and misusing terms like "innovation" patent lawyers and others in the patent microcosm hope to convince the public (or potential clients) that nothing in effect has changed and software patents are all fine and dandy



  6. Looks Increasingly Plausible That Battistelli is Covering up Bogus and/or Illegally-Obtained 'Evidence' From the EPO's Investigative Unit

    Why we believe that Benoît Battistelli is growingly desperate to hide evidence of rogue evidence-collecting operations which eventually landed himself -- not the accused -- in a catastrophic situation that can force his resignation



  7. As Decision on the UK's EU Status Looms, EPO Deep in a Crisis of Patent Quality

    Chaotic situation at the EPO and potential changes in the UK cause a great deal of debate about the UPC, which threatens to put the whole or Europe at the mercy of patent trolls from abroad



  8. Another Demonstration by European Patent Office (EPO) Staff on Same Day as Administrative Council's Meeting

    SUEPO (staff union of the EPO) continues to organise staff actions against extraordinary injustice by Benoît Battistelli and his flunkies whom he gave top positions at the EPO



  9. Links 23/6/2016: Red Hat Results, Randa Stories

    Links for the day



  10. Interview With FOSSForce/All Things Free Tech

    New interview with Robin "Roblimo" Miller on behalf of FOSSForce



  11. Links 22/6/2016: PulseAudio 9.0, GNOME 3.21.3 Released

    Links for the day



  12. IP Europe's UPC Lobbying and the EPO Connection

    The loose but seemingly ever-growing connections between AstroTurfing groups like IP Europe (pretending to represent SMEs) and EPO staff which is lobbying-centric



  13. EPO “Recruitment of Brits is Down by 80%”

    Letter says that “recruitment of Brits is down by 80%” and "the EPO lost 7% of UK staff in one year"



  14. The Conspiracy of Patent Lawyers for UPC and Battistelli's Role in Preparing by Firing People

    The parasitic firms that lobby for the UPC and actually create it -- firms like those that pass money to Battistelli's EPO -- are doing exactly the opposite of what Europe needs



  15. Patent Lawyers, Having Lost Much of the Battle for Software Patents in the US, Resort to Harmful Measures and Spin

    A quick glance at how patent lawyers and their lobbyists/advocates have reacted to the latest decision from the US Supreme Court (Justice Breyer)



  16. Links 21/6/2016: Fedora 24 and Point Linux MATE 3.2 Officially Released

    Links for the day



  17. Supreme Court on Cuozzo v Lee Another Major Loss for Software Patents in the United States

    Much-anticipated decision on the Cuozzo v Lee case (at the highest possible level) serves to defend the appeal boards which are eliminating software patents by the thousands



  18. As Alice Turns Two, Bilski Blog Says 36,000 (Software) Patent Applications Have Been Rejected Thanks to It

    A look back at the legacy of Alice v CLS Bank and how it contributed to the demise of software patents in the United States, the birthplace of software patents



  19. EPO Self-Censorship by IP Kat or Just Censorship of Opinions That IP Kat Does Not Share/Accept (Updated)

    ree speech when it's needed the most (EPO scandals) needs to be respected; or why IP Kat shoots itself in the foot and helps the EPO's management by 'sanitising' comments



  20. Caricature: Bygmalion Patent Office

    The latest cartoon regarding Battistelli's European Patent Office



  21. Links 21/6/2016: GNU/Linux in China's HPC, Linux 4.7 RC4

    Links for the day



  22. Under Battistelli's Regime the EPO is a Lawless, Dark Place

    How the EPO's Investigative Unit (IU) and Control Risks Group (CRG), which is connected to the Stasi through Desa, made the EPO virtually indistinguishable from East Germany (coat of arms/emblem above)



  23. New Paper Demonstrates That Unitary Patent (UPC) is Little More Than a Conspiracy of Patent 'Professionals' and Their Self Interest

    Dr. Ingve Björn Stjerna's latest paper explains that the UPC “expert teams” are in fact not experts but people who are using the UPC as a Trojan horse by which to promote their business interests and corporate objectives



  24. Money Flying to Private Companies Without Tenders at Battistelli's EPO (by the Tens of Millions!)

    Extravagant and cushy contracts to the tune of tens of millions of Euros are being issued without public scrutiny and without opportunities to competition (few corporations easily score cushy EPO contracts while illusion of tendering persists -- for small jobs only)



  25. Patent Examiners and Insiders Acknowledge Profound Demise in Patent Quality Under Battistelli

    By lowering the quality of patents granted by the European Patent Office Battistelli hopes to create an illusion of success, where success is not measured properly and is assessed by biased firms which he finances



  26. Jericho Systems Threatens Alice, Court of Appeals for the Federal Circuit Threatens the Patent Trial and Appeal (PTAB)

    A look at the two latest threats to those who helped put an end to a lot of (if not most) software patents in the US



  27. How the Halo Electronics Case Helps Patent Trolls and How Publications Funded by Patent Trolls (IAM for Instance) Covered This

    A Supreme Court ruling on patents, its implications for software patent trolls, and how media that is promoting software patents and patent trolls covered it



  28. Patent Lawyers' Fantasy Land Where Software Patents Are Suddenly Resurrected Even When They're Not

    A quick glance at where the debate over software patents in the United States stands and how profiteers (such as patent lawyers) not only mislead the public but also bully the messengers



  29. Links 19/6/2016: Randa Over, Fedora 24 Release Soon

    Links for the day



  30. [ES] La Oficina Europea de Patentes de Battistelli Amplia su Contrato con el Nefasto FTI Consulting Para Neutralizar a los Medios, Desperdicia Millones de Euros

    Sacando a luz a lo que pasa con el presupuésto de la EPO y como es puesto “a trabajar” bajo la tiranía sin precedente de Battistelli (Eponia) justo en el corazón de Europa


CoPilotCo

RSS 64x64RSS Feed: subscribe to the RSS feed for regular updates

Home iconSite Wiki: You can improve this site by helping the extension of the site's content

Home iconSite Home: Background about the site and some key features in the front page

Chat iconIRC Channel: Come and chat with us in real time

CoPilotCo

Recent Posts