Bonum Certa Men Certa

Cutbacks at Microsoft, More Canceled Products Rumoured (Corrected)

Was: "Layoffs at Apple, Cutbacks at Microsoft, More Canceled Products Rumoured" (corrected to reflect on the age of the Apple article)

Apple keyboard
Commands to leave a function of reduction in business



Summary: Signs of the stagnating proprietary software business, as seen in Microsoft

THE LATEST NEWS about Novell brought to the discussion some Mac enthusiasts who perceive Apple as invincible (see BetaNews for details). This type of enthusiasm was short lived however. Apple is preparing for layoffs according to new reports [correction: this article is very old], so Microsoft's pains are not so unique now that countries like the UK are looking the other way (adoption of Free software and ODF).



LEAD: Apple Computer Inc. is expected to lay off 400 to 500 employees this week as part of an effort to control expenses, industry executives said. Apple's growth has slowed, partly because of an industry slump and partly because its product line lacks competitive inexpensive personal computers.


In addition to this, according to an isolated report, Microsoft's ESP platform is on the ropes right now, just like other services or divisions that Microsoft shut down.

Users of Microsoft's 3D simulation platform have been rocked by news that the company has laid off off or reassigned most of the of the platform's developers. However, Microsoft is refusing to comment on the future of the software.


A couple of days ago, reports began to surface where it's suggested that a 10% pay cut for temporary Microsoft employees is on its way. The only news arriving since then is that it's confirmed and Microsoft workers are protesting.

Microsoft may have just accomplished what the WashTech labor union tried to do for years -- motivating its workers to band together and fight for their common interests. At least, that's the aim of a new site called MSRateCuts.org, which objects to the pay cuts expected to result from Microsoft's decision to reduce the rate it pays the agencies that provide many of its temporary workers.


This friendly protest is covered here as well. It did no good.

Temp giant Volt informs workers it will make Microsoft pay cuts



[...]

Volt Workforce Solutions, believed to be the largest provider of Microsoft temporary workers, informed them tonight that it will be cutting their pay by 10 percent as a result of the Redmond company's decision to reduce the amount it pays employment firms. Volt joins most but not all of the other firms in deciding to pass some or all of the impact of the cuts on to their workers.


All the coverage above comes only from Seattle, which isn't terribly helpful. Eternal bias from the Seattle press (even blind acceptance of corruption) can be explained by the impact of Microsoft's demise on the local economy. Press coverage from there drips with agenda simply because of personal interests (selfishness), as opposed to motivation to inform.

Additional coverage (not from Seattle/Washington) can be found in:



From the Seattle P-I, which might be on its death throes:



Many of these temporary workers may also be foreign, i.e. those who are in essence cheaper because they don't receive benefits (no entitlement) and are not receiving any protection from workers' unions/regulations. it's the perfect prey for exploiters of labour -- get but hardly give.

Regardless, Microsoft continues to be scrutinised [1, 2, 3, 4] for being the top user of H-1B visas, as reported by IDG:

Microsoft Corp. was the top U.S.-based recipient of H-1B visas in 2008, receiving approval for 1,037 visas, slightly more than in 2007.


BusinessWeek wrote about this too:

Indian Firms, Microsoft Top H-1B List



Critics say the data show that the H-1B visa program is dampening U.S. wages and facilitating outsourcing, a critical problem as the U.S. unemployment rate continues to climb.


Several months ago, BusinessWeek also wrote about H-1B visas "fraud".

Microsoft is not only the #1 company when it comes to these shady practices. It is also the #1 lobbyist in its area, which is nothing to be proud of. In fact, corruption disguised as "lobbying" is how Microsoft obtained those allocations of H-1B visas in the first place, so there is a direct connection between the two activities.

Last but not least, the weakness of Microsoft is showing. Reuters reports on the stock's fairly rapid decline.

Microsoft says no new cost cuts, shares hit 11-year low



[..]

Microsoft Corp outlined plans to offset revenue declines as the PC market shifts to low-cost netbooks, but it failed to announce more cost cuts, sending its shares to an 11-year low.


That's despite massive buybacks.

Even pro-Microsoft sites like Barron's were unable to withhold the evidence.

Bellini writes that the company is not likely to take further expense reduction moves - the company basically said exactly that at the meeting yesterday - and adds that “Microsoft is braced for further deterioration of the macro environment but plans to invest in its products to realize leverage once the market turns around.”


Microsoft is not so accustomed to having its estimates cut or the stock downgraded. For many years it has been faking infinite wealth when it reality it may have lost billions. There is a lot more to be said about Microsoft's financial situation. The party was over a long time ago.

Comments

Recent Techrights' Posts

Our Case is a Very Easy Win, the SLAPPs From Microsofters Were a Grave Error, and Censoring Information Won't Work (It'll Only Ever Backfire)
Censoring is what people do when they lose the argument
 
Over at Tux Machines...
GNU/Linux news for the past day
IRC Proceedings: Wednesday, June 04, 2025
IRC logs for Wednesday, June 04, 2025
Slopwatch: Mindless Slop Pieces, Fake Images and Text, Linux FUD on the Cheap
spewed out by Microsoft-controlled LLMs
Links 04/06/2025: Workers' Strikes, Sudan Exodus
Links for the day
Links 04/06/2025: Linux Foundation PR Spam and Lee Jae-myung Wins Election
Links for the day
Gemini Links 04/06/2025: Future Leaders of the World and Platforming Jordan Peterson
Links for the day
Links 04/06/2025: WSL Backfiring on Microsoft and "Disney, Microsoft Announce Massive Layoffs"
Links for the day
Say the Truth, the Rest Will Follow
There's no guarantee that writing the truth will result in an audience (or readership), but over time - in the long run - people generally gravitate towards what they know or feel to be crude truth, not just what's comforting (albeit false or self-deluding, usually groupthink dictated from above)
How to Expose High-Level Corruption Without Getting in (Too Much) Trouble
Democracy depends on free press and freedom of the press depends on being able to safely publish (and keep available) material that bad people don't want to be known to anybody
In-Depth EPO Coverage at Techrights Turns Eleven
11 years is a very long time
Windows Measured Below 10% in Afghanistan, GNU/Linux Gaining a Lot
about 80% are Android (Linux) users, compared to only about 10% for Windows
Poland's Political Predicament and Social Control Media
Democracy and fake "tech" don't mix well; the latter tends to interfere with the former and that's why we get more "Putins" out there
EPO: Taking Away From the Staff to Give More to the Rich
The Central Staff Committee (CSC) wrote to EPO staff earlier this week
Over at Tux Machines...
GNU/Linux news for the past day
IRC Proceedings: Tuesday, June 03, 2025
IRC logs for Tuesday, June 03, 2025
Abuse Inside the Polish Patent Office (UPRP) - Part I: It's a Lot Like the EPO
we can commence a series soon
Gemini Links 04/06/2025: Inescapable Questions and Quitting All "Oligarch Tech"
Links for the day
Slopwatch: Linux FUD From Slopfarms, Blaming Linux for Microsoft Issues; Even WebProNews Has Become a Slopfarm (Googlebombing "Linux" With Slop Images and Fake/Plagiarised Text)
The Web is really getting bad; it's also overwhelmed by fake material or plagiarised material, wherein the plagiarism gets disguised/hidden by LLM sausage factories
Links 03/06/2025: Tiananmen Square Massacre Censorship and Growing Military Activities Around Taiwan
Links for the day
Linux is Already Dominant (Android), Let's Make GNU/Linux Dominant in Desktops/Laptops as Well
"Dr. Stallman recently warned everybody about Microsoft."
The Loyalty to Microsoft and the Salaries From Microsoft (Funding SLAPPs Against Techrights and Tux Machines)
Garrett always knows better. He knows everything best.
Windows Falls in Italy as GNU/Linux Jumps to 5%
Italy knows a thing or two about digital autonomy
Nigeria is All Android and Google
Windows down to almost nothing in Africa's largest population
Mass Layoffs at Microsoft (Second Wave) Not Limited to Redmond
"More layoffs at Microsoft as axe falls in Washington and California"
Gemini Links 03/06/2025: Forth System and "Common Lisp is a Dumpster"
Links for the day
The Leaks Were Right: Mass Layoffs at Microsoft in May, Then Another Wave in June
Just as we've been saying for over a month
Over at Tux Machines...
GNU/Linux news for the past day
IRC Proceedings: Monday, June 02, 2025
IRC logs for Monday, June 02, 2025