May 27, 2011

The iPad Effect

Jay Yarow, Business Insider:

“Microsoft’s consumer PC sales growth has pretty much never declined. Not even when Microsoft released Vista. Not even when the economy went in the toilet. But suddenly, the growth of sales is about to go negative, says Citi analyst Walter Pritchard.”

Click through for the chart detailing Microsoft’s consumer operating system sales over the past several quarters. This is not a sign of good things to come.

Microsoft makes its big money from two products only: Windows and Office. The rest is pocket change. Their online services have lost money every quarter for several years. And what consumer computing product debuted just as Windows sales turned negative?

How much time does CEO Steve Balmer have left before the axe comes down? Some big investors are already calling for his head.

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