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

12.26.08

We Live in Interesting Times

Posted in Apple, Finance, GNU/Linux, Microsoft, Novell, Red Hat, Windows at 5:38 am by Dr. Roy Schestowitz

Hourglass

Apple’s difficulties were noted here last week, although they are not of much concern to us given that Apple harms the freedom of software [1, 2, 3, 4]. It would only be fair to state that any business which relies on sales is likely to suffer a bit (or a lot), and it’s a problem that hardly affects Free software, bar donations and subscription renewals to those who offer support and/or services.

The Inquirer had this article about Apple’s shares falling after a series of unfortunate events and speculations. A pro-Microsoft Web site, Barron’s, presents this analysis which predicts further declines in Windows and Office sales.

Thomas Weisel analyst Tim Klasell this morning cut estimates for Microsoft (MSFT) for the current quarter ending December, Microsoft’s fiscal Q2, and slightly for the 2009 and 2010 fiscal years, citing slowing PC demand, but also lower demand than might have been expected for Microsoft’s server packages, which include the Exchange email server, and the Microsoft Office productivity suite and Microsoft Dynamics, programs for customer relationship management and the like.

Windows and Office are two among the few profitable products from Microsoft, so this could be interpreted as a major blow. Analysts predict that Microsoft will issue a warning, probably some time in the next year and layoff rumours simply carry on. These persist following actual layoffs that we already know about [1, 2, 3, 4, 5].

More headlines have appeared just before the holidays. One news site, for example, somehow concluded that “Microsoft Plans To Cut Jobs By 10 Percent.”

“The news is in. All the money making groups cut 10 percent of the workforce,” says another Microsoft employee.

An analyst defends such a decision, assuming it comes next month.

Analyst: Microsoft staff cuts would be “healthy”

[...]

“While a 10 percent (reduction in force) would be hard for those impacted, we believe it would be a healthy move for the company as it would help rationalize the tens of thousands of employees who have been hired over the past several years,” Reback wrote.

Microsoft would not be the only Washington-based technology company to see the guillotine coming down.

CUTBACKS: October and November brought a series of layoffs at Seattle-area technology companies — nothing like the dot-com meltdown, but still substantial enough to make it clear that the belt-tightening is serious.

We’re anticipating another wave after the holidays. Rumors have already started about possible cuts at Microsoft next month. And venture-backed companies that have yet to turn a profit may be forced to further reduce expenses as it becomes harder to raise capital. The only question is how deep the cuts will go.

As usual, there must be a dose of damage control from Microsoft Jack, who is like some sort of Microsoft spokesman in the Guardian [1, 2, 3], just like Ina Fried is the company’s sworn booster in CNET.

“Their reports were already tackled and financial practices criticised.”Jack writes about these layoff reports and also adds that “Microsoft has plenty of cash,” but apparently he does not know (or does not want his readers to know) about Microsoft reaching debt [1, 2, 3, 4, 5] and also losing billions in most of its divisions. Their reports were already tackled and financial practices criticised [1, 2]. Only 1 or 2 divisions at Microsoft are profitable and those that are profitable see their margins shrinking due to increased competition, mostly from SaaS, FOSS, and GNU/Linux. In the area of sub-notebooks, for example, they reportedly dropped the price of Windows to just $5 because otherwise GNU/Linux would reign.

As the classic saying goes, “may you live in interesting times.” Red Hat’s results, which came out on Monday, were impressive. The other publicly-traded company that sells GNU/Linux is Novell, and it continues to lose money because of its dependency on proprietary software.

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. The EPO Is More Corrupt Under Battistelli Than Under Alison Brimelow: Part VIII

    After Brimelow, with all her flaws and her scandals, an even worse President is installed who then abolishes oversight and seemingly brings his old friends to the EPO, creating a sort of subculture that is impenetrable to outsiders



  2. Claiming That Microsoft 'Loves' Linux While Windows Update Bricks Devices With Linux

    The sheer absurdity of claims that Microsoft -- which not only attacks those who distribute Linux and GNU but also blackmails them, takes them to court, or bricks their products without any liability -- 'loves' Linux



  3. Protectionist Reign: Corporations in Complete Control of Everything With Domination Over Patent Law

    How multinational corporations, joined by the corporate press that they are funding, promote a corporations- but not people-friendly patent policy in north America



  4. Links 30/10/2014: GNOME 3.15.1, Red Hat Software Collections 1.2

    Links for the day



  5. Links 29/10/2014: Ubuntu Touch Tablet, Puppy Linux 6.0

    Links for the day



  6. Links 28/10/2014: SUSE Linux Enterprise 12, Canonical OpenStack Distro

    Links for the day



  7. Links 28/10/2014: PiFxOS, The Document Foundation in OSBA

    Links for the day



  8. Microsoft is Bricking Devices With Linux (Yet Again!), So a Microsoft Booster Spins/Paints Linux Devices as 'Fakes'

    Microsoft delivers rogue drivers through Windows Update and they brick Arduino microcontrollers



  9. How Bill Gates Continues to Pass Wealth From the Public to His Own Bank Account

    Having put a universal tax on many things (not just computers) and evaded tax using the classic 'charity' trick, Gates is now buying the media, the schools, politicians etc. and earns as much as 10 billion dollars per year while the public is taught that Gates is a giver, not a hoarder of the worst kind



  10. Links 27/10/2014: Lenovo Unbundling, Linux 3.18 RC2

    Links for the day



  11. IRC Proceedings: September 14th, 2014 – October 25th, 2014

    Many IRC logs



  12. Links 25/10/2014: KDE Mockups, Update on GNOME Outreach Program for Women

    Links for the day



  13. After Infecting Unity -- Successfully -- Microsoft's Partner Xamarin Wants to Infect Unreal Engine With .NET

    Xamarin continues to spread dependence on Microsoft to more gaming frameworks, not just platforms such as GNU/Linux, Android, and even permanent-state devices



  14. Taking Microsoft Windows Off the Grid for Damage to Businesses, the Internet, and Banking Systems

    Microsoft's insecure-by-design software is causing massive damages ([cref 27802 possibly trillions] of [cref 13992 dollars in damages to date]) and yet the corporate press does not ask the right questions, let alone suggest a ban on Microsoft software



  15. City of Berlin Does Not Abandon Free Software, It's Only Tax Authorities

    A Softpedia report that says the City of Berlin is moving to Microsoft Office is flawed and may be based on a poor translation



  16. Nadella a Liar in Chief at Microsoft, Pretending That His Anti-Competitive Practices Are Unfortunately Imposed on Microsoft

    The nastiness of Microsoft knows no bounds as even its assault on GNU/Linux and dirty tricks against Free software adoption are characterised as the fault of 'pirates'



  17. Reuters Writes About the Demise of Software Patents, But Focuses on 'Trolls' and Quotes Lawyers

    How the corporate media chooses to cover the invalidity of many software patents and the effect of that



  18. Links 24/10/2014: Microsoft Tax Axed in Italy, Google's Linux (ChromeOS/Android) Leader Promoted

    Links for the day



  19. Links 24/10/2014: GNU/Linux History, Fedora Delay

    Links for the day



  20. Links 23/10/2014: New *buntu, Benchmarks

    Links for the day



  21. Links 22/10/2014: Chromebooks Surge, NSA Android Endorsement

    Links for the day



  22. Links 21/10/2014: Debian Fork Debate, New GNU IceCat

    Links for the day



  23. Criminal Microsoft is Censoring the Web and Breaks Laws to Do So; the Web Should Censor (Remove) Microsoft

    Microsoft is still breaking the Internet using completely bogus takedown requests (an abuse of DMCA) and why Microsoft Windows, which contains weaponised back doors (shared with the NSA), should be banned from the Internet, not just from the Web



  24. Microsoft 'Loving' GNU/Linux and Other Corporate Media Fiction

    Microsoft has bullied or cleverly bribed enough technology-centric media sites to have them characterise Microsoft as a friend of Free/Open Source software (FOSS) that also "loves Linux"



  25. India May be Taking Bill Gates to Court for Misusing His So-called 'Charity' to Conduct Clinical Trials Without Consent on Behalf of Companies He Invests in

    Bill Gates may finally be pulled into the courtroom again, having been identified for large-scale abuses that he commits in the name of profit (not "charity")



  26. The Problems With Legal Workarounds, Patent Scope, and Expansion of Patent Trolls to the East

    Patent trolls are in the news again and it's rather important, albeit for various different reasons, more relevant than the ones covered here in the past



  27. Links 20/10/2014: Cloudera and Red Hat, Debian 7.7, and Vivid Vervet

    Links for the day



  28. Links 20/10/2014: 10 Years Since First Ubuntu Release

    Links for the day



  29. How Patent Lawyers Analyze Alice v. CLS Bank

    Breaking down a patent lawyer's analysis of a Supreme Court's decision that seemingly invalidated hundreds of thousands of software patents



  30. Is It Google's Turn to Head the USPTO Corporation?

    The industry-led USPTO continues to be coordinated by some of its biggest clients, despite issues associated with conflicting interests


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