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Does Microsoft Need Yahoo Before Its Windows Shatter?



I almost titled this post "The Young & the Profitless Episode 2: Brad’s Trust Fund Drying Up" but realized you would have needed some background on what the heck I was talking about.

Instead, I went with a title that better reflects some news that Microsoft would rather not have discussed right now. You see, while Microsoft is trying to convince Yahoo’s investors that the company is on the ropes and only MSFT can save it, the Redmond software company is having a few issues of its own.

Calling the situation "untenable" and describing Windows as "collapsing," a pair of Gartner analysts yesterday said Microsoft Corp. must make radical changes to its operating system or risk becoming a has-been…Microsoft has not responded to the market, is overburdened by nearly two decades of legacy code and decisions, and faces serious competition on a whole host of fronts that will make Windows moot unless the software developer acts.

And what happens if Windows becomes moot? Microsoft loses the foundation of its success–your desktop. If we agree that Google is building its empire around your web browser, it’s fair to say that Microsoft has built its empire around your operating system. If Microsoft Windows takes a huge hit, the company loses that solid foundation. But, if Microsoft can acquire Yahoo, it will find itself with a back-up platform–your web browser.

Brad may well be close to convincing Stacey that he’s the only guy who wants her, but the last thing he needed was Garth (Gartner) telling the world that his trust fund might not be around for much longer. (OK, that last line won’t make any sense, unless you read this previous post).

(via)

  • http://www.searchengineoptimization.com Search Engine Optimization Journal

    Oh, the drama! Upon arriving to work this morning, we glanced over at the flatscreen TV in the lobby which shows stocks, news, etc. We saw a scrolling marquee at the bottom saying “Microsoft Deal Likely.” We laughed.

    It sure will be interesting to see what ultimately happens… Microsoft is losing its momentum for sure.

  • http://www.cybermarketingpro.com Rusty Campbell

    Come on. Microsoft has been in positions like this before. Remember when MS missed the internet? They turned the whole company on a dime and had it operational in less than 2 years.

    The legacy codebase is a problem, but there are some truly smart people working on it, and this dustup with Yahoo, google, and Gartner will wake up the sleeping giant. The fat lady ain’t even close to singing here.

  • Pingback: Gartner: Windows is "Collapsing" » PCMech()

  • http://www.greatpriceshere.com Nicole

    But what practical alternative do we have to the Windows OS? As bad as Windows may be, Linux isn’t really viable as an alternative OS coz it lacks user friendliness. What else?

  • http://www.tealmontgomery.com Steve Teal

    At the rate that Google is going… it is critical that Microsoft can get on board with Yahoo to compete in the web industry. Though this will only reinforce the “me too” stigma that Microsoft has received for not having its own innovation but this will prove to give Google a competitive fight. With Google starting to channel out to different marketshare such as healthcare information, developer apps, etc, it would be in Microsoft’s best interest to make Yahoo happy with a decent offer.

    Steve

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  • http://www.jet-computing.com DOUGman

    Nicole, et al. Linux is a viable solution, do yourself a simple favour. Download one the most current distribution LiveCDs, burn it and boot off it. Doing so will not effect your current OS at all, its a *VERY* clean way to try it out and learn how it works. I used this method for a few weeks, then purchased a spare drive for my laptop and swapped out when I felt like it. After a few months, I decided to go with a straight dual-boot, which I have now. It seems that over time, that I have progressively used windows less and less over time.

    D.

  • Steve Teal

    I’m so anti-Microsoft that I might just try your suggestions DOUGman. I dont care for the visual effects and splendor of the Windows OS. I need power and functionality. I think however that compatibility is an important concern.