Stephen Smith's Blog

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Bad Day for Microsoft, IBM and Intel

with 2 comments

Microsoft, IBM and Intel reported quite bad earnings today. In contrast Google and Apple reported exceptional earnings. Microsoft once had an iron clad monopoly on the operating system market. No more. With all the problems with Vista, MS is losing market share to Apple and Linux (via NetBooks) in droves. Its not just a matter of slightly denting MS’s growth anymore. Vista sales actually dropped 8% last quarter. Truly exceptional. This really indicates a turn around in the PC market. Meanwhile Red Hat’s market capitalization in about to pass Sun’s. And Red Hat is just one of dozens of Linux companies.

I think this really marks the beginning of the Internet defining PC purchases. People mostly just need a viable browser (like Chrome, Safari or FireFox). What the operating system is, really doesn’t matter as long as they can connect to GMail, Facebook, LinkedIn, WordPress, etc. Office programs are all pretty much the same whether from MS or OpenOffice, and for that matter people can just use Google Apps with all its collabaration features.

I think this is going to lead to very interesting days ahead as the market changes and there will be many major corporate upheavals, not just GM and Bank of America.

Written by smist08

January 23, 2009 at 3:37 am

Posted in Business

2 Responses

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  1. Interesting comments. I have been hearing about the Unix takeover since Microsoft dominated the market. Is it eventually going to happen?


    March 11, 2009 at 10:14 pm

  2. Hard to say. Seems like everyone is trying to displace Windows XP, but even MS hasn’t been very successful. Everyone else is using Unix now, Mac OX is Unix, Linux is there, especially in devices and servers. Will have to see if Windows 7 turns it around for MS.


    March 12, 2009 at 3:59 am

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