Bonum Certa Men Certa

Microsoft's Phone Business as Dead as Zune, But Apple Too Loses Its Mind

Kin is the new Zin

Zune logo in black



Summary: How Microsoft failed -- quite utterly in fact -- to reignite interest in its mobile business; a leak of an Apple iPhone prototype leads to criminal investigation at the behest of Chairman Jobs and his morbidly-vain group

OUR previous two posts helped expose Microsoft's rather abysmal financial situation and systematic tax evasion (which it can pretend not to be an evasion because it controls the law through former employees and lobbyists). One area where Microsoft is/was losing billions of dollars would be the whole mobile business, whose losses Microsoft was trying to hide over the years using tricks that Microsoft Watch explained about 3 years ago (before it became a Microsoft PR outlet, post-morphing). More recently, the SEC started probing Microsoft about this allegedly inappropriate reporting of cash flow. People will hopefully be allowed to know what's going on inside Microsoft (press releases are spin; they are rarely connected to reality, but reporters rely on them).



“More recently, the SEC started probing Microsoft about this allegedly inappropriate reporting of cash flow.”Pogson continues to write about the true impact of GNU/Linux on the price of Windows (and thus Microsoft's financial performance). Sub-notebooks are an area where Microsoft's competition is so great that Windows is given away almost for free and some sources say that Microsoft even pays OEMs to preinstall Windows (instead of charging for it).

Another area where Microsoft faces overwhelming competition is phones and as we showed last week, Microsoft stands not a chance with "Kin". It's just too far behind and the South African press seemingly agrees.

I just think that the company should be focusing its energies on getting Windows Mobile 7 out the door. The longer that OS is delayed the more customers Microsoft will lose and the more people will speculate that Microsoft doesn't actually have a product to match the iPhone or Android.


More importantly, Microsoft can hardly charge for it, so what is its business model? Selling mobile phones as hardware? With designs like that (it seems like a Palm ripoff from ages ago), Microsoft's mobile reality is a really gloomy one. Kin is nothing. It's probably just another Zune (Microsoft can't use this name for the phone because it's tarnished just like "Vista" or "Live"), but this "Zune phone" enjoys far less hype than the Zune. A few days ago, Dvorak pointed out that:

We hear very little from [Microsoft's] outside agencies and almost nothing from the inside PR department.

Where are the exciting news stories about what the company is doing? This can't be good for the company, it has always relied on a blanket of often obfuscating PR, especially when leading into the next generation cash cow.


Given Microsoft's enormous debt, maybe it's just not renewing contracts with PR agencies. The lack of buzz generated about Kin sure surprised us last week (we expected a massive blitz and journalists did too). Is this another sign of Microsoft's demise?

Forbes has this new article which is titled "Microsoft's Dismal Future" (it mostly speaks about phones, operating systems, and search).

Instead, since 2008 Microsoft has busied itself launching two very expensive operating system upgrades, Windows Vista and 7, in an effort to defend and protect its historical PC operating system business. They've been a huge investment, but both have won a less than enthusiastic response from the vast majority of users. Microsoft has turned to forcing new computer buyers to purchase them, since almost no one chooses to buy them. Additionally, it is in the midst of planning Office 2010, an enormously expensive upgrade of Office 2007, even though a huge number of customers still use Office 2003, completely ignoring or rejecting 2007 since it came available.

Instead of working hard to get into new growth markets, Microsoft, in the tradition of Xerox and Kodak, pours its talent, energy and money into trying to defend its PC operating system and office products markets, which have much slower growth and are under attack from new mobile devices.

[...]

Apple broke out of defending and extending the Macintosh platform, and Google avoided falling into merely defending the search business (unlike Alta Vista and AskJeeves). They did so by strategically using white space, meaning they've supported unfettered, unencumbered opportunities to pursue entirely fresh ideas and move them into solutions and then to the market quickly and effectively. Fundamentally, both companies are very different from Microsoft, because Microsoft hasn't learned to use white space teams.


We are not proponents of Google or Apple. Both companies sell products and services that are proprietary (and sometimes painted as "open"). A few days ago Apple was sued yet again for its arrogant behaviour and shoddy products. This week we also learned that a police probe (no kidding!) was launched because secrecy was not honoured by Apple employees/partners.

Silicon Valley police are investigating what appears to be a lost Apple iPhone prototype purchased by a gadget blog, a transaction that may have violated criminal laws, a law enforcement official told CNET on Friday.


Apple is all about fake hype. It adds to the allure. It's just hilarious when Apple has the police involved because its hype machine failed. If the "alien test" was applied (hypothetical extraterrestrials watching from above), Apple's behaviour would make it akin to China's [1, 2].

Chairman Jobs

Comments

Recent Techrights' Posts

Web Developers in the US Can Already Disregard Mozilla, Firefox, and Firefox Users
"Last month, Firefox turned 21"
 
Within Weeks, Clownflare Has Collapsed Again, Time to Dump Clownflare
It's run by amateurs who, even if you maintain your site perfectly well, will render it inaccessible without prior notice
Cars Getting Worse and More Lethal
Who will be held accountable?
To "Take Back Control" Start With Actions Against 'Tech' (Mass Surveillance, Mass Censorship, Mass Control) Monopolies
collusion, price-fixing, a "cartel" of sorts
Beyond the Hype: Almost Nobody Uses Chatbots, Not Even 1% of Activity Online
3 years ago when Scam Altman (Microsoft) acted as if Google (search) was doomed a lot of the press got paid to pretend this was true
Rumour That Another IBM Round of Mass Layoffs (RAs) in Preparation Before the Current One is Even Completed
IBM still has strong brand recognition (because of its age and past might), but that won't last forever
Techrights Publication Pace to Increase Next Year
one is encouraged to stay indoors
Upgrading the Site
Debugging might be needed, so feedback helps
Why Microsoft is Panicking
Keep advocating (or "marketing") GNU/Linux to Vista 10 (or Vista 7) users... there are still over a billion of them "out there".
The Fate of "Blockchains" and "Metaverse" as a Sign of Things to Come for Slop ("AI")
Doesn't that tell us a lot about the modus operandi of these companies?
A Year After the Owner of X (Twitter) Performed Several Nazi Salutes on Stage the Germany-Based and Microsoft-Funded 'FSFE' Decides to Exit X (Twitter)
Will the real Free Software Foundation (FSF) follow suit?
EPO: What Comes Next
European media seems to have been sedated by soft bribes from cocaine addicts
Slopwatch: The Volume of Slop Has Certainly Gone Down a Lot Lately, Slop Image Providers Abandoned/Changed
It's a big improvement compared to past months
Thousands Laid Off at IBM, "Last Day" Yesterday
IBM is a dying company. This is a problem for Red Hat.
Over at Tux Machines...
GNU/Linux news for the past day
IRC Proceedings: Thursday, December 04, 2025
IRC logs for Thursday, December 04, 2025
Gemini Links 05/12/2025: Espressif ESP32-C5 UEXT Module, Pixelfed, and the Web Getting Much Worse
Links for the day
Links 04/12/2025: "People Hooked on [Slop] Far Are More Likely to Experience Mental Distress", Monopolies in Europe, and "Blogging Makes Me Feel Like A Worse Writer"
Links for the day
Dr. Andy Farnell: Can we regain control (of technology)?
"Technology as spiralling mass hysteria has the unsettling potential to draw even rational sceptics like myself into disaffection"
Links 04/12/2025: "Hey Hi" Implosion and Half of Europeans See Cheeto Trump as Enemy of Europe
Links for the day
Communication Needs Open Standards and Open Data
Standards are imperative
The "Hey Hi" House of Cards
The "Hey Hi" bubble is living on borrowed time (days or weeks) and it can implode any time now
Supporting the Free Software Foundation (FSF) Also Supports GNU Development
The FSF is mostly raising money to pay salaries
IBM's "AK Sez" Campaign
In today's media, to be characterised as important and smart one needn't be important and smart
Microsoft's Vista 11 Not Gaining, Just Plateauing or Even Going Down (Over Time)
"Desktop Windows version Market Share Worldwide"
Bubbles Popping, "Hey Hi" (AI) a Passing Fad
"Microsoft slides amid report it's cutting software sales quotas tied to AI"
At The Register MS, "Exclusive Webinar" Means Sponsored Video Ad Disguised as an Article
Why would one choose to watch these?
IBM Forces Staff to Sign an NDA If They Want Severance Package, in Effect Bribing Them or Denying Them Money They're Entitled to If They 'Disparage' IBM
We wrote about the legality or illegality of this in relation to Microsoft two years ago
IBM and Red Hat Not Done With 2025 Layoffs ("RAs") Yet
IBM isn't quite done laying off people this year, with only 3 weeks till Christmas
Gemini Links 04/12/2025: Christmas Looms, Devuan, and Programming
Links for the day
Over at Tux Machines...
GNU/Linux news for the past day
IRC Proceedings: Wednesday, December 03, 2025
IRC logs for Wednesday, December 03, 2025
Loads of People Exit IBM Tomorrow
Way to slam the door on on those who march or walk on
Slopwatch: It's Blowing, Jim (Gym), the Bubble is Blowing Up
Let's race to "zero GPT"
At IBM, "Last Day" Can be Same as Layoffs ("RAs"), Might be Euphemism Advanced by PR/HR Under NDA-Tied Conditions
They try to act all happy cheerful (in public) about becoming unemployed
Links 03/12/2025: "Disastrous Hey Hi (AI)", Breaches of Confidentiality, and "Global Democratic Recession"
Links for the day
Fake Security and 'Free' Certificates as a Trap of Planned Obsolescence and Top-Down Centralisation
The boiling frogs
Links 03/12/2025: UK Budget Leak and Criticism of Peace Posturing Over Ukraine
Links for the day
So Far Rust in Ubuntu Has Turned Out to be an Expensive Mistake
it is certainly seeming or feeling like the wrong people are in charge and they make bad decisions based on false reasoning
Gemini Links 03/12/2025: Obsession, Ubuntu, and Programming With Scheme
Links for the day
The Next Stages of EPO Coverage (and Why That Matters)
What's at stake here?
Wayland Rejection Is Not Racist
We need to collectively reject that
Reflections on a Month of Techrights Search
it looks like we've survived nearly a month without the search functionality being leveraged to stage DDoS attacks
New Year's Resolutions 4 Weeks Ahead of 2026
the main New Year's Resolution was... sleep
IBM Layoffs: It's Like They Read From a Script, Like They've Signed a Non-Disparagement Agreement/Clause
Some new departures
Over at Tux Machines...
GNU/Linux news for the past day
IRC Proceedings: Tuesday, December 02, 2025
IRC logs for Tuesday, December 02, 2025