"Overlooked in the Microsoft announcement about its layoffs of 5,000
people over the next 18 months is this startling revelation: The
company's revenue decline is due, in large part, to the growth in the
sales of netbooks."
"While overall growth was 2%, Microsoft took a big hit with its client
software, and a big reason for that was netbooks. Here's what the
"Client revenue declined 8% as a result of PC market weakness and a
continued shift to lower priced netbooks."
"Netbook Digest calculated approximately how much Microsoft lost in the
netbook market. Linux as its competitor was responsible for about $75
million in losses, not terribly scathing for Microsoft. But the figures
begin to mount significantly when you consider the cost incurred for
XP's lingering domination instead of the hoped for Vista (which
accounted for less then two percent of the netbook market). Netbook
Digest's calculation was based on a per unit loss of $36 due to XP,
multiplied by 10 million netbooks sold in 2008, making $360 million. Add
to that the $75 million lost to Linux and you get the $435 million."
"Microsoft blames netbook appeal, marketing costs for Windows drop"
"For the three months ending December 31, 2008, client revenue was down
eight percent, compared to the same quarter a year ago. OEM revenue --
the money Microsoft earns by charging its PC maker partners a set amount
for each copy of Windows they preload on new systems -- was down $465
million, or 12 percent. OEM license units were down one percent,
according to the company."
Ezekiel apparently disagrees with Microsoft itself, as this is what he
had to say about it:
"Big losses - LOL. What a fool you are. Microsoft was selling an OS that
they already wrote 8-10 years earlier for $50 a copy. Basically they had
some computer churning out millions of WinXP license keys for $50 a pop
and you think they were taking "big losses.""
"Of course you have some links/proof/evidence for your "big losses"
claim don't you? Of course not - you're just another "advocate" who
makes up nonsense then runs away like a coward."