Bonum Certa Men Certa

Microsoft More Likely to Split Than to Merge With Adobe

Adobe binary



Summary: A reality check amid rumours that Microsoft may be interested in Adobe's assets and more bad news about Vista Phone 7 [sic]

Due to some reports like this one, people have begun to speculate that Microsoft might buy Adobe, which is extremely unlikely for reasons that were brought up in IRC. If Microsoft ever thought about buying Adobe, then it confirms yet again it has an identity crisis (as new internal documents appear to suggest). The article from the New York Times begins as follows:



Steven A. Ballmer, Microsoft’s chief executive, recently showed up with a small entourage of deputies at Adobe’s offices to hold a secret meeting with Adobe’s chief executive, Shantanu Narayen.

The meeting, which lasted more than an hour, covered a number of topics, but one of the main thrusts of the discussion was Apple and its control of the mobile phone market and how the two companies could team up in the battle against Apple. A possible acquisition of Adobe by Microsoft were among the options.


Microsoft has been poaching Adobe employees for a while, it has products that compete directly with Adobe (hello redundancy and antitrust), and it does not have money to buy Adobe. These are just some of the many reasons why an acquisition is not going to happen. Rather than Microsoft growing through stealthy deals it appears as though it may shrink by splitting up, just like it was supposed to after antitrust violations in the 90s. Such a 'radical' suggestion came from Goldman Sachs a few days ago and here it is in the news again:

Goldman Sachs, at one time the most respected Wall Street investment bank in the world, is urging Microsoft to shed its Xbox (and the entire entertainment division, actually) branch into its own company, and for Microsoft proper to just focus on the business, operating system and office software stuff.


Goldman Sachs has also expressed dissatisfaction with Microsoft's next attempt at the mobile market. It was not alone. As IDG puts it:

Windows Phone 7 Buzz Muted by Naysayers



[...]

In fact Microsoft is facing a wall of naysayers leading up this Monday when it will introduce its first batch of Windows Phone 7 phones. Analysts and investors are wary about Windows Phone 7's prospects. Third-party application developers are giving mixed reviews about the new smartphone platform. And average Joes and Janes are just making wisecracks.

Here's a look at what people are saying about Microsoft.

Microsoft Downgrade

Market research firm Gartner on Wednesday predicted that Microsoft's forthcoming Windows Phone 7 will not buoy the company's sagging mobile handset fortunes. Instead, Gartner predicts, Microsoft's global market share will drop from 4.7 percent in 2010 to 3.9 percent by 2014, according to Information Week.

Gartner's prediction follows Goldman Sachs downgrade of Microsoft's stock on Monday from "buy" to "neutral." The investment firm dinged Microsoft for its failure to gain "a firmer foothold in the growing migration to mobile devices," according to Bloomberg.

It's not hard to see where that criticism comes from. Apple's iPad, for example, has become the tablet device to beat and inspired a slew of competitors, and this has all happened in less than a year. Microsoft, meanwhile, has been trying to inspire tablet PC adoption for years without much success.


It may not take long for Vista Phone 7 to die and join this list, at which point buyers of such phones will be greeted by messages like this one:

Customers can continue to enjoy the full benefits of MSN Direct, along with service and support, up until that date. Pro-rated refunds for unused portions of existing One-Time Payment and 12 month subscription plans will be automatically credited after January 1, 2012. Customers may cancel service at any point prior to that date and receive a pro-rated refund for any unused portion of their subscription. Microsoft customer support is available to answer any questions about existing subscriptions or refund eligibility at 1-866-658-7032.


Why would Microsoft bury about 40 products only to spend ~15 billion dollars buying Adobe (the company's market cap is around $14.3 billion at the moment)? Microsoft hardly even makes acquisitions anymore. It just makes no sense.

Comments

Recent Techrights' Posts

Envy Makes People Do Self-Harming Things (and Harm to Others)
Online communities that can be deemed successful are built around trust, mutual respect, and collective accomplishment
What Julian Darley Wrote About the Stallman Talk Regarding "AI" in Oxford (2025)
From LinkedIn (Microsoft)
"All truths are easy to understand once they are discovered; the point is to discover them." -Galileo Galilei
This site is educational
Many People Have Said That They "Leave" IBM in Recent Days (Ahead of Mass Layoffs)
So the real extent of layoffs is greater than what's publicly stated (there are silent layoffs) [...] Whatever IBM says about the scope, scale, or magnitude of the "RAs", it doesn't tell the full story
Techrights Will Contact German Media About the EPO's Substance Abuse
This scandal won't "go to waste"
Search @ Techrights: Almost There Now (Maybe an Anniversary Gift)
Just to be very clear, search would not be unprecedented at Techrights
The Rumour Was True, Mass Layoffs at IBM Today
How widespread the layoffs are (or how they're disguised, e.g. PIPs) is hard to assess
 
At IBM, Layoffs Start at 1AM (at Night)
not a single English-speaking site covers the news about the layoffs
Links 04/11/2025: Google Cloud Account Engages in Censorship of the Innocent, arXiv Spammed by LLM Slop
Links for the day
EPO Cocaine Chronicles: Our Aim Will be to Ensure This Becomes a Mainstream Media Topic, Not a Suppressed Scandal (Which the German State Deems Embarrassing and Detrimental to Its Pan-European Patent Franchise)
At the EPO, and perhaps in German media as well, people "fall upwards" (they get rewarded for bad things)
Static Site Generators (SSGs) Made Techrights Better, Faster, Easier to Manage
Consider adopting SSGs if you still use a CMS such as WordPress
But he Was Born in Manchester! (Origin Stories)
Borussia Dortmund does not exist!
GNU/Linux is American, Not Finnish
It started in Boston, not in Helsinki
'Hacker' 'News' Makes Dumb Assertions Against Smart People
A logical fallacy
We Turned Down Every Settlement Offer Because Truths Aren't Determined in Bank Accounts
Without free press, there won't be free society
Why I'm Always Proud of the Site I've Devoted My Life to
As a graffiti around the corner from our home says, "be a better person"
Standing Up or Standing for What's True But Inconvenient
Bad actors need to be called out
Media Coverage Regarding IBM is Vapourware and LLM Slop
With slop images, too
statCounter Says GNU/Linux Rose to 4% in the Russian Federation
Adoption of Vista 11 has been embarrassingly weak
Corruption is Not a Joke
we'll try to limit our use of humour to avoid misunderstandings or misinterpretations
The Slopfarm WebProNews is Overwhelming "linux" Results in Google News
Google News is slop
The Fall of IBM: What Happened?
Just like the EPO continues riding some old reputation acquired in the 1970s IBM relies on old myths like, "nobody gets fired for buying IBM."
IBM's CEO Already Has the Excuse for the Latest Wave of Mass Layoffs
Only days ago the CEO told a bunch of nonsense
Links 04/11/2025: Conflicts, Politics, and IPv6 at Home
Links for the day
Gemini Links 04/11/2025: Entering WiFi Passwords and Programming Rambles
Links for the day
Arch Linux Seems Like the New Debian
Arch users (btw!) are growing in relative and absolute share
Analytics From US Government Affirm a Trend: Microsoft's "Market Share" in Search is Falling
the data set is large
Holding Institutions Such as the EPO Accountable Through Public Information
Speaking truth to power is never easy
EPO Staff Losing Holidays, as Usual, as the Office Increases Profits by Illegally Granting Invalid Patents While Reducing Salaries
How much more can the staff endure and generally tolerate?
Free Software Does Not Always Speak for Itself, It Needs Advocates
Legal matters that relate to sharing of code will be discussed
Over at Tux Machines...
GNU/Linux news for the past day
IRC Proceedings: Monday, November 03, 2025
IRC logs for Monday, November 03, 2025
The Register MS Continues Looking for Money in Promotion of the "AI" Ponzi Scheme
That The Register MS participates in this deceit rather than tackle/debunk it says a lot about The Register MS
IBM Layoffs in "Software", This Likely Impacts Red Hat as Well
Many people say "software" people are impacted
Escaping Proprietary Software, Not Just Escaping Microsoft
To take control of your life adopt GNU/Linux
A Lot of Fake News About Microsoft Headcount (Also: Microsoft's Debt Rose by About 24 Billion Dollars in Past 12 Months)
If you see some headline about Microsoft's CEO making claims about hirings, look away
Techrights Turns 19 in Three Days
It would be nice to meet for a chat
Akira Urushibata on How Grokipedia Fails to Work
The Grokipedia article gives the wrong character for the "Ko" on "Koan"
Links 03/11/2025: Data Breaches, Wars, and Digital Censorship
Links for the day
Gemini Links 03/11/2025: Poetry, Old Androids and Small Shells
Links for the day
Links 03/11/2025: Internet Anniversary
Links for the day
Two Years of Uptime
Reboots are seldom involuntary
Richard Stallman is Giving Another Talk in Less Than a Fortnight
in two weeks' time (13 days from now)
Windows Falls Below 20% in the UK
Many people choose to leave Windows altogether
Microsoft's Search Business Falls to Lowest Point in 2 Years, Based on statCounter
what can Microsoft sell other than shares in Microsoft?
Evidence Regarding Layoffs at Red Hat
Seems like IBM layoffs
Microsoft: Our "Goodwill" Value Grew More Than Tenfold Since 2011
Hallmark of pseudo-economics
GNU/Linux as a Boarding Pass
being mostly analogue is still feasible
Links 03/11/2025: Lack of Trust in LLMs and Windows TCO at Jaguar
Links for the day
Gemini Links 03/11/2025: Books in October and Change
Links for the day
Mozilla Firefox Won't Survive and Many Sites Don't Work With It (Compatibility Abandoned)
The Web has become monocultural
Debian is Non-Free
Devuan might be worth looking into
Slopwatch: Brian Fagioli and LinuxSecurity
This is a real problem and most certainly a big problem because when people try to find real information about security and GNU/Linux they instead read "word salads" made by bots
Four Reasons to Party With Us in Four Days, Celebrating the Four Freedoms
Today we expect to be back to a more-or-less regular publication pace
Links 03/11/2025: The "Smartphone Panopticon" and Belarus' Hybrid Attacks on EU Intensify
Links for the day
Over at Tux Machines...
GNU/Linux news for the past day
IRC Proceedings: Sunday, November 02, 2025
IRC logs for Sunday, November 02, 2025
Microsoft's Debt Has Skyrocketed by More Than 15 Billion Dollars in 6 Months or 8.2 Billion Dollars in the Past 3 Months Alone
The corporate media intentionally disregards - or merely turns a blind eye to - such data
Rumour: IBM Layoffs in Canada Starting Tomorrow
"RA (IBM's term for layoffs) Coming to Canada this week (Nov 3rd)"
Debunking False/Misleading Statements Made or Told to the High Court
People who try to cheat the system by gaslighting judges will end up discrediting themselves
Fear, Uncertainty, Doubt (FUD) by LLM Slop
The Web has become such a sordid mess that this FUD made by bots is what Google News deems to be "the news"
This Month's Analytics Show Vista 11 Down, GNU/Linux Up
After pulling the plug on Vista 10 we see losses - not gains - for Vista 11
Almost Fully Caught Up
The EPO series will continue very soon, maybe tomorrow or on Tuesday
Links 02/11/2025: Another Halloween Bust and MAGA Regime Says Public Universities Should No Longer Hire 'Foreign' Employees
Links for the day
The Long-Coveted Milestone of 3,200 Active Gemini Capsules
Despite being away some days last week, about 50,000 Gemini requests were served each day, on average
Five More Days Till Techrights Party
We'll have many more batches of Daily Links as we catch up with a 'backlog' of news
Links 02/11/2025: More Nuclear Escalations and "Anti-Cybercrime Laws Are Being Weaponized to Repress Journalism"
Links for the day
Gemini Links 02/11/2025: "The Pragmatic Programmer", Perl New Features and Foostats
Links for the day
Over at Tux Machines...
GNU/Linux news for the past day
IRC Proceedings: Saturday, November 01, 2025
IRC logs for Saturday, November 01, 2025