Is Microsoft skirting the issue?

TalkBack 42 of 55:: Next »; « Previous

Thread View
Flat View

The latest MS SEC filing: Available [url="http://www.sec.gov/Archives/edgar/data/
789019/000119312505174825/d10k.htm"]here[/url]

"We are targeting broad availability of this operating system
[Vista] for the first half of fiscal year 2007."

So must be very late 2006 if at all, slipping?

"During fiscal years 2003, 2004, and 2005, research and
development expense was $6.60 billion, $7.78 billion, and
$6.18 billion respectively."

Mind blowing that the amount could be spent with very little
nothing to show for it. At least the last year producing nothing
cost them less.

"While we believe our products provide customers with
significant advantages in security and productivity, and generally
have a lower total cost of ownership than open source software,
the popularization of the non-commercial software model
continues to pose a significant challenge to our business model,
including recent efforts by proponents of open source software
to convince governments worldwide to mandate the use of open
source software in their purchase and deployment of software
products. To the extent open source software gains increasing
market acceptance, sales of our products may decline, we may
have to reduce the prices we charge for our products, and
revenue and operating margins may consequently decline."

Open source = non-commerical software model. Maybe RedHat,
Novell, MySQL should learn of this MS insight.

"Security vulnerabilities in our products could lead to reduced
revenues or to liability claims...
While our license agreements typically contain provisions that
eliminate or limit our exposure to such liability claims, there is
no assurance these provisions will be held effective under
applicable laws and judicial decisions."

I believe this is the first time they've recognised they might
actually be liable for their code quality, or lack of.

"The Commission ruling obligates Microsoft to make available
specifications for certain Windows communications protocol
technologies on licensing terms that are closely regulated by the
Commission. The availability of these licenses may enable
competitors to develop software products that better mimic the
functionality of Microsoft?s own products which could result in a
reduction in sales of our products."

Competition, the nemesis of the abusive monopolist.

"On July 20, 2004, our Board of Directors approved a plan to buy
back up to $30 billion in Microsoft common stock over four
years."

I calculate that MS repurchased 312,201,104 shares in the
twelve months to 30 June 05, or 3% of shares. The end of year
buying spree appears to have stopped the slid around two year
lows.

"We are a defendant in more than 35 patent infringement cases
that we are defending vigorously."

And Open source has patent problems?

Interesting read. Revenue's reflective of hardware growth, only
FOSS products appear to be outgrowing hardware revenues.; Posted by: Richard Flude Posted on: 08/30/05 You are currently: a Guest | Members login | Terms of Use