Bonum Certa Men Certa

Behind the Microsoft Losses, Inability to Evolve

Microsoft ZUN



In previous coverage of Microsoft's financial troubles we included plenty of references and new stories that continue to come to light, such as the tax breaks. In case you did not know this, Microsoft is bluffing. The expensive Novell deal, as well as the software patents-oriented strategy, is sign of this also.

Over at ZDNet, Dana Blankenhorn seems to have become aware of this. He writes about Microsoft's Liddell, who is the man that probably massages the number (see previous references for detailed information). To quote some fragments:

Ironically the $45 billion bet on Yahoo, partly funded by debt, comes just as Microsoft is finally starting to make good on its decade-old promise of earning money beyond Office and Windows.

[...]

In the end (returning to this blog’s ostensible subject) this is a very good deal for open source. It takes Microsoft’s eye off the competitive ball. It tells everyone inside Big Green to forget about intrapreneurship. It eats up the cash Microsoft had to threaten Linux with.

But this is going to end as all tragedies must, with tears. Steve Ballmer is getting taken for the biggest ride of his life, and one day he’s going to find himself dumped out of the limo by the side of the road wondering what happened.


Days ago in Reuters the following article appeared with interesting and somewhat bizarre information about the professional background of Microsoft's Chief Financial Officer.

Microsoft's (MSFT.O: Quote, Profile, Research) decision in 2005 to hire Chris Liddell, a New Zealander working in the paper industry, to fill the company's open job of chief financial officer seemed like an odd choice.


It would be interesting to find out what happened to the previous CFO. Did s/he leave? Was s/he sacked? What did s/he see and how does this relate to Bill Gates' resignation as CEO at times when the company had lost $18 billion dollars. Don't let the press hypnotise you. Microsoft has serious problems (the recession does not help), but too many people out there still drink Liddell's Kool-Aid.

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