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

09.20.09

Microsoft Profit is Down Sharply, But Ballmer Profit is Up

Posted in Finance, Microsoft, Novell, Ron Hovsepian, Steve Ballmer, Vista 7 at 10:46 am by Dr. Roy Schestowitz

Ballmer money
Steve Ballmer in Windows 1.0 advertisement

Summary: As people lose their jobs at Microsoft, the CEO takes a pay rise

MICROSOFT is trying to hide its sharp decline after its profit had fallen by about a third for two consecutive quarters. A lot of Microsoft’s top seniors get rid of their Microsoft shares ahead of the release which may be Microsoft's last hope (Vista 7) and even a Microsoft shareholder cannot help wondering why this happens. He writes:

In recently criticizing Yahoo!’s (YHOO) insiders for dumping $233mm in stock over the last 2 years, when they’ve only bought $103k in shares, I would be remiss if I also didn’t call out 2 other executives for big share dumps last week:

1. Craig Mundie, head of research and strategy for Microsoft (MSFT). Craig decided to sell stock worth $1.7mm recently. Craig has resided over Microsoft’s R&D efforts for the last few years. This group eats up nearly $10 billion annually of Microsoft’s free cash flow. It is the group Microsoft looks for to compete in mobile computing or other areas, rather than buying a leading company such as, say, Research In Motion (RIMM). The R&D group has eaten up about $60 billion of Microsoft’s cash in the last 10 years with not much to show for it. This latest share dump is very disappointing to me as a MSFT shareholder, especially given his group’s performance.

This morning we shed light on the fact that many of Microsoft's products/units are not profitable; they operate at a considerable loss, still. Microsoft is already borrowing money and additional, unannounced layoffs carry on silently.

“Microsoft is already borrowing money and additional, unannounced layoffs carry on silently.”It is not so gloomy at the Ballmer household, though. While Microsoft’s profits dive about 30%, Steve Ballmer sees his wage increasing by 4%. It’s the same with Novell's CEO, Ron Hovsepian, who enjoys massive bonuses. Jessica Mintz at AP added to the second line of her report: “Microsoft CEO Ballmer gets salary bump at start of fiscal 2009, a year in which profit sinks”

Microsoft’s staff is annoyed by Ballmer's behaviour (ignoring the hardships) and Microsoft is now issuing a timely press release to give shareholders the illusion that they are in charge. Many investors are very angry at Ballmer; they want him out.

“There is such an overvaluation of technology stocks that it is absurd. I would include our stock in that category. It is bad for the long-term worth of the economy.”

Steve Ballmer

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. IRC Proceedings: Saturday, December 14, 2019

    IRC logs for Saturday, December 14, 2019



  2. Links 15/12/2019: Wine 5.0 RC1 Released, KDE Frameworks 5.65.0, Qubes OS 4.0.2 RC3

    Links for the day



  3. It Matters a Lot What You Call the System

    Why the best name for the best operating system would be "GNU", not "Linux" (media has twisted the words so as to marginalise GNU and its politics/philosophy)



  4. Only the EPO Goes as Far as Bribing Publishers (the Media) to Promote Software Patents and Publish Fictional Stories

    The world’s patent offices are growing tired of granting software patents which courts later toss out (because these patents are not valid); not only does the EPO advocate such patents — typically using a bundle of buzzwords — it’s also bribing the media to help



  5. EU Needs to Show That It Cares About SMEs and Not 'European Champions' That Are Actually Foreign Monopolies

    Judging by the EU’s nearly blind and unconditional support for the management of the EPO — no matter how abusive and corrupt it has gotten — one has to wonder if the ex-EU official in charge of the EPO reveals a profound democracy deficit as well as growing dangers to Europe’s businesses — the productive firms to which patent maximalism often represents far more risk than opportunity



  6. Guest Article: The Free Software Movement Should Come Out From the Box

    "From now onwards we have to think from a user’s rights perspective and mobilise users of Free software. They should know what rights they ought to get."



  7. IRC Proceedings: Friday, December 13, 2019

    IRC logs for Friday, December 13, 2019



  8. Links 13/12/2019: QEMU 4.2.0, GNU Guile 2.9.7

    Links for the day



  9. Links 13/12/2019: Zorin OS 15.1, Vim 8.2

    Links for the day



  10. Linux Foundation Has Outsourced All the Licence Compliance Stuff to Microsoft, a Serial GPL Violator

    OpenChain Specification/OpenChain Project and Automated Compliance Tooling (ACT) are yet more examples -- the latest of many -- of the Linux Foundation being outsourced to Microsoft, not only for code but also documentation and hosting



  11. IRC Proceedings: Thursday, December 12, 2019

    IRC logs for Thursday, December 12, 2019



  12. Copyleft: Keeping Code Free

    Now that news about "Linux" is dominated by promotion of proprietary software we ought to remember what perpetrators of such a strategy seek to eliminate



  13. Plans That Worked, Plans That Failed

    "I am still looking for good news, but the more good I try to find, the more nastiness I uncover. This is by far, Free software's worst year ever. 2019 Sucks!"



  14. Links 12/12/2019: KDE Applications 19.12, Qt Creator 4.11, New VirtualBox

    Links for the day



  15. Brand Dilution in Action

    Microsoft's proprietary software which spies on people and businesses is getting a "free ride" on the "Linux" brand; and nobody seems to care, nobody seems to notice how perverse that it



  16. At the EPO Money -- Not Quality -- is King

    Financiers are ruining quality



  17. The EPO's Strategic Failure 2023

    Potemkin social dialogue



  18. IRC Proceedings: Wednesday, December 11, 2019

    IRC logs for Wednesday, December 11, 2019



  19. EPO Promoting Software Patents in Countries Where These Are Illegal

    The EPO's vision of 'unitary' software patents (patents on algorithms in countries that disallow such patents, as per their national laws) won't materialise, but in the meantime a lot of Invalid Patents (IPs) are granted in the form of European Patents (EPs) and this is wrong



  20. We Support GNU and the FSF But Remain Sceptical and Occasionally Worry About an RMS-less FSF

    Richard Stallman (RMS) is not in charge of the FSF anymore (it's Stallman who created the FSF) and there's risk the decisions will be made by people who don't share Stallman's ethics or the FSF's spirit



  21. Links 11/12/2019: Huawei Lobbied by Microsoft (Because of GNU/Linux) and Microsoft Still Googlebombs Linux to Promote 'Teams'

    Links for the day



  22. Links 11/12/2019: Edge Native Working Group, CrossOver 19.0 Released

    Links for the day



  23. Instead of Fixing Bug #1 Canonical/Ubuntu Contributes to Making the Bug Even More Severe (WSL/EEE)

    Following one seminal report about Canonical financially contributing to Microsoft's EEE efforts — celebrated openly by GNU/Linux opponentsclosing bug #1 Ubuntu basically decided not that it was fixed but that it would no longer attempt to fix it (“wontfix”)



  24. IRC Proceedings: Tuesday, December 10, 2019

    IRC logs for Tuesday, December 10, 2019



  25. Today's Example of Microsoft's Faked 'Love'

    “On 7 September 2017, users began noticing a message that stated “Skype for Business is now Microsoft Teams”. This was confirmed on 25 September 2017, at Microsoft’s annual Ignite conference,” according to Wikipedia



  26. Links 10/12/2019: Kubernetes 1.17, Debian Init Systems GR

    Links for the day



  27. 'Cancel Culture' as 'Thoughtpolice' Creep

    Richard Stallman spoke about an important aspect of censorship more than 2 decades ago (before “Open Source” even existed); it was published in Datamation (“Censoring My Software”) 23 years before a campaign of defamation on the Internet was used to remove him from MIT and FSF (censoring or ‘canceling’ Stallman himself)



  28. Microsoft Still Hates GNU/Linux and Mark Shuttleworth Knows It (But He is Desperate for Money)

    We're supposed to believe that a PR or image management (reputation laundering) campaign alone can turn Microsoft from GNU/Linux foe into friend/ally



  29. Actions Against EPO Corruption and Unitary Patent (UPC) Injustice/Lobbying

    The EPO is apparently going on strike again and an action against the UPC is scheduled for later this week (protest in Brussels)



  30. “The Fifth Freedom as a Meme”

    The issue with systemd (or SystemD) has provoked or at least stimulated discussions about the limits of the famous Four Freedoms


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

Recent Posts