7 Things Microsoft Must Do In 2010
The year 2009 was a tough one for Microsoft. Overall sales slumped, and core franchises like Office and Windows were hit doubly hard. Sure, the economy was bad, but a handful of other tech vendors managed to hold up significantly better.
Redmond’s problem is that CEO Steve Ballmer and other top executives continued to operate as though it were 1989 — when the personal computing industry was new and Microsoft could dictate prices and practices. In reality it’s two decades later, and Microsoft has numerous new rivals, computing is moving from the desktop to the Internet, and the company is having trouble keeping up.
Here’s what Microsoft must do over the next year to get back in the game.
1. Cut Windows Prices
Windows has gotten too expensive to compete with virtually free offerings from Linux vendors like Ubuntu, which is gaining ground in the ultra low-cost netbook space.
Dell, for instance, now offers the Ubuntu-based Inspiron Mini netbook starting at $299 — a price that is less than what one copy of Windows 7 Ultimate costs. The fact is, most consumers no longer care what OS their PC uses, as long it’s priced right and they can reliably send e-mail, surf the Web, and get to their Facebook page. Meanwhile, nascent powerhouse Google appears willing to use its use Android OS as a loss leader to establish a beachhead in the netbook market.
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