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

07.20.13

OEMs Are Dumping Microsoft, Leading to Biggest Sell-off of Microsoft in 13 Years

Posted in Dell, Finance, Microsoft, Vista 8, Windows at 2:16 pm by Dr. Roy Schestowitz

Microsoft shares

Summary: Microsoft is trying to write off a billion dollars as its hardware ambitions are pretty much dead and OEMs (other hardware makers) leave Microsoft for Linux/Android; Microsoft’s shares crash (as shown above)

Microsoft had a very bad week last week, just after the ‘reorg’ PR campaign [1, 2, 3, 4]. Gregg Keizer said that “Microsoft’s attempt to transform its dog-eat-dog corporate culture into a kinder, gentler cooperative climate is likely doomed, according to an expert in failed business strategies.”

“Note that Microsoft takes almost a billion-dollar charge on Surface (way to hide the losses).”What “kinder, gentler cooperative climate”? The bribes? The patent extortion? Those are just baseless promises. Anyway, the article goes on, citing Carroll. Here is some background: “Carroll’s book, which he wrote with fellow Devil’s Advocate co-founder Chunka Mui, conducted postmortems on some of the most famous business failures, and is based on research into 2,500 enterprise flops. Devil’s Advocate, meanwhile, is an alliance of experts who help corporations evaluate strategy shifts.”

What shifts of strategy have been seen in Microsoft? That has been mostly PR. The real business was the illegal monopoly on formats and a common carrier, Windows, which is rotting because of form factors diversity that even bribes cannot make up for.

We recently wrote about Dell‘s resistance to Vista 8 and now we witness resistance to Microsoft as a whole, accompanying news about the company’s shares collapsing shortly after ‘reorg’. Well, here is what Pogson makes of the ‘reorg’ and here is a noteworthy observation about OEMs walking away from Microsoft, one recent example being Microsoft’s partner Samsung (older news from this year) and a new example being Lenovo, which has some former Microsoft staff at the top. Here is the news:

Microsoft has been having a rough time with its fledgling Windows RT operating system. Devices using the tablet-centric operating system, have sold poorly since the operating system was introduced last year. The flagship tablet running the operating system from Microsoft, Surface RT, recently received a significant price cut in an effort to spur sales.

Note that Microsoft takes almost a billion-dollar charge on Surface (way to hide the losses). This is ruining Microsoft’s relationship with OEMs. To quote this one article: “Less than a year after Microsoft entered the tablet computer market with the Surface, the cracks are starting to show.”

“he NSA scandals definitely won’t help Microsoft this year.”Just starting to show? No, people pointed them out just weeks or months after the debut. Here is coverage from IDG which is not really shocking. It says that days ago Microsoft “booked a large write-off to its Surface RT business after it slashed prices on the tablets to stimulate demand this week. Its quarterly earnings results also showed that Windows 8, an operating system designed to bridge the divide between PCs and tablets, has been so poorly received that it contributed to a revenue drop in its operating system software unit.”

This Vista 8 stunt is similar or reminiscent of how Microsoft previously hid massive losses. Some coverage is filled with understatements. These financial tricks are nothing new and the scams begin. As Will Hill put it:

Microsoft took an 11% decline in value, $32 Billion, on their latest earnings report. No one is buying Vista H8, Microsoft’s crappy tablets, which had $900 million in unsold inventory, or Nokia’s crippled phones. The reorg fooled no one.

https://plus.google.com/u/0/113117251731252114390/posts/it9853xDVVC

As usual, the Microsoft press and Warren Buffet say, Buy some Now! Even the CNN article claims “decent numbers”. What fraud.

http://www.forbes.com/sites/dividendchannel/2013/07/19/microsoft-corporation-enters-oversold-territory-msft/

Here is a report which calls it the biggest sell off in 13 years. To quote: “Shares suffer biggest one-day percentage sell-off since 2000 as investors fret over weak demand for Microsoft’s latest Windows operating system and Surface tablet.”

Following many high-level departures, including those two CFOs who got extra money just to keep their mouth shut, something big is happening here. The NSA scandals definitely won’t help Microsoft this year.

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. Links 27/8/2014: GNU/Linux in Space, China, LinuxCon

    Links for the day



  2. FUD Against Google and FOSS Security Amid Microsoft Windows Security Blunders

    In the age of widespread fraud due to Microsoft Windows with its back doors there is an attempt to shift focus to already-fixed flaws/deficiencies in competitors of Microsoft



  3. Microsoft Spin Watch: IDG Turns to More Microsoft Propaganda, Hires Microsoft Boosters

    Media in Microsoft's pocket is telling Microsoft's lies and deceives the public for Microsoft's bottom line



  4. Microsoft's Massive Tax Evasion Becomes Better Known

    A new report about Microsoft's admission that it plays dirty tricks with tax (sometimes using moles in government) is increasing awareness of Microsoft's criminal aspects



  5. Links 25/8/2014: China's Linux Revolution Imminent

    Links for the day



  6. Links 24/8/2014: GNU/Linux Specialisation and Benchmarks

    Links for the day



  7. Links 23/8/2014: GNU/Linux Growth

    Links for the day



  8. Microsoft-Funded Attacks on Android Security and Patent/Copyright

    A look back at examples of people who smear Android and are receiving (or received) money from Microsoft



  9. Blowback in Chile and Munich After Microsoft Intervention

    Microsoft's attacks on the digital sovereignty of countries involves lobbying, corruption, an attack on standards (e.g. ODF), an attack on FOSS policies, and even an attack on accurate reporting (truth itself)



  10. The End of Microsoft is Nigh

    A look back at a tough year for Microsoft and a not-so-promising future



  11. Links 22/8/2014: Linux Foundation LFCS, LFCE

    Links for the day



  12. UPS Burned by Microsoft Windows, Gives Away Massive Number of Credit Card Details

    UPS is the latest victim of Microsoft's shoddy back door with software on top of it (Windows); attempts to blame FOSS for data compromise actually divert attention from the real culprit, which is proprietary software



  13. Microsoft's Funding of ALEC and Other Systemic Corruption

    Microsoft role in writing of laws by proxy, via groups such as ALEC



  14. Microsoft is Still Preying on British Taxpayers, Playing Politics

    Some news from the UK showing how Microsoft uses politics to extract money out of taxpayers, irrespective of their preferences



  15. Microsoft's Patent Troll Intellectual Ventures is Collapsing as 20% of Staff Laid Off

    More good news regarding the demise of patents as Microsoft's leading patent proxy is collapsing more rapidly than anyone ever imagined and software patents too are collectively doubted



  16. Links 21/8/2014: Conferences of Linux Foundation, Elephone Emerges

    Links for the day



  17. Links 20/8/2014: Linux Event, GNOME Milestone

    Links for the day



  18. Corruption Watch: Microsoft Lobbying Designed to Kill Chile's Free Software Policy and Promote Microsoft With Subsidies, More Dirty Tricks Emerge in Munich

    icrosoft is systematically attacking migrations to GNU, Linux and Free software, using dirty tricks, as always



  19. Vista 8 Such a Disaster That Even Microsoft Cannot Cope With It, Vapourware Tactics Start Early

    Microsoft's Windows-powered services are failing and Windows gets bricked by Microsoft patches, whereupon we are seeing yet more of Microsoft's vapourware tactics (focusing in imaginary, non-existent versions of Windows)



  20. On BlackBerry and Other Patent Trolls

    A roundup regarding patent trolls, starting with the bigger and latest joiner, BlackBerry's new patents apparatus



  21. Links 19/8/2014: Humble Jumbo Bundle 2 Betrayal, Mercedes-Benz Runs GNU/Linux

    Links for the day



  22. BlackBerry -- Like Microsoft Nokia -- Could be the Next Patent Proxy Troll

    BlackBerry is restructuring for patent assertion (i.e. trolling) in the wake of some alliances with Microsoft



  23. After Microsoft's Soft Bribe Some Non-Technical Deputy Does Not Like Free Software, Microsoft-Linked Media Responds to This Non-News by Making Bogus Claims of Munich Leaving GNU/Linux (Updated)

    The subversive forces that have secretly been attacking Munich over its migration to GNU/Linux (Microsoft press, Gartner, and even HP) are back to doing it while China and Russia follow Munich's lead



  24. Gates Foundation CFO Quits and Debate About Revolving Doors Recalled Amid Systematic and Shrewd Bribery of Public Officials

    More officials step out of the Gates Foundation and their destination is not known yet; Gates continues to corrupt the public sector with his money so as to increase personal gain at taxpayers' expense



  25. Links 19/8/2014: GNU/Linux Raves and Alternative to Proprietary Voice Chat

    Links for the day



  26. Links 18/8/2014: Linux 3.17 RC1, Escalation in Ferguson

    Links for the day



  27. Gartner Group Advocates Using Defective Software With Back Doors

    Despite strong evidence that Microsoft has been complicit in illegal surveillance, Gartner continues to recommend the use of Windows and other espionage-ready Microsoft software



  28. The Microsoft Patent Trolls: Android Extortion, Vringo Versus Google, and Intellectual Ventures

    Roundup of news about patent aggression by Microsoft and some of its proxies



  29. Links 16/8/2014: Microsoft Linux, US Government Turns to Free Software

    Links for the day



  30. Links 15/8/2014: Reiser4 in Headlines Again, GNOME and KDE Events Finish

    Links for the day


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