Bookmark and Share

Is Microsoft on the road to Oblivion?

0 Comment

Microsoft arguably the most successful Technology Company ever

Microsoft has been a Technology Colossus over the course of  the last two decades with its ubiquitous Windows Operating System and Microsoft Office suite  lording over the Computer Software landscape.Microsoft has been much reviled for its monopolistic behavior – Buying out or Demolishing competition(Netware,Novell,Lotus,Hotmail etc.).Its Windows Operating System despite its  global popularity has been derided by software enthusiasts for its security vulnerabilities and other problems.However this has not stopped Microsoft from being one of the most Successful Technology companies ever with 80%+ Gross Margins and generating  Billions of Dollars of Free Cash Flow every year.

Nemesis in the shape of Google

Google was the first Technology company to challenge Microsoft successfully through a superb Internet Search Product that it monetized ingeniously through Advertisements.Microsoft which had squashed competition earlier through free product offerings found itself with no answer to this brilliant strategy.Google grew from strength to strength and is now challenging Microsoft in its core Operating System and Office segments through a  “Free Strategy” .This is the same strategy that Microsoft used against its competitors and is now getting a taste of its own medicine.Microsoft also faces irrelevance in other segments that it used to dominate like Smartphone Operating System and Internet Browsers .

Never Successful in Diversifying

Microsoft’s strategy of diversifying has never really paid off as it continues to lag behind market leaders in the new segments.It trails both Sony and Nintendo in Game Consoles while its Zune music player was never  a match for the iconic Apple iPod .It  has always been a also-ran in the Internet segment (Search,E-Mail,Portals,News etc.) despite massive advantages conferred by its dominant PC Operating System position.

Is it on the Road to Oblivion

Even as Microsoft continues to defend its core markets from Google , the Technology sector has seen new successful entrants like Facebook and Twitter.Apple through its brilliant products and marketing has also overtaken Microsoft in terms of the Biggest Technology company by Market Capitalization.In the new Tablets and Smartphones segments , Microsoft is not even a top 5 player . Its forte the PC is fast giving way to newer,sleeker  devices most of which have no Microsoft software/hardware.Under Steve Ballmer,Microsoft has lacked the ruthlessness and killer instinct of  Bill Gates Microsoft.The latest changes in Management and other half hearted attempts at regaining its lost leadership does not inspire confidence in its rejuvenation.


Sneha Shah

I am Sneha, the Editor-in-chief for the Blog. We would be glad to receive suggestions, inputs & comments on GWI from you guys to keep it going! You can contact me for consultancy/trade inquires by writing an email to

No Responses so far | Have Your Say!