Although Microsoft just posted record revenues, the company’s future appears cloudy at best as young users overwhelmingly choose not just the Mac, but also to eschew Redmond’s bread and butter office productivity suite. The age old lesson, “get ‘em when they’re pups,” seems to have been utterly lost on the software giant.
SeattlePi reports that shares in Microsoft dipped on Wednesday following a scathing research note from Global Equities analyst Trip Chowdhry, who downloaded the company’s stock. His reasoning for doing so was direct and hard to argue with: 1.) Office 2010 attachment rates have fallen in the important public and education sectors; and 2.) college freshman have nearly forsaken Windows, with 70 percent choosing to enter university with Macs in their bags.
Thereupon, Chowdry’s analysis is damning, “Our research is indicating that Microsoft is unable to connect with the new generation of users,” leading him to conclude that there’s no upside for the company for the next 12 to 18 months. Measured in internet time, that’s about 10 years of bad news.
Lastly, and this hits Redmond where it lives right now, Chowdhry adds that enterprise IT departments are increasingly giving employees a choice of Windows and Mac computers, and, you guessed it, cubicle dwellers are picking the Mac more and more often.
So, why does Steve Ballmer still have a job?
via Daring Fireball