Microsoft looks beyond Gates for new ideas

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Maturity: There's a difference between recognizing a temporary, unprofitable fad and being reluctant to respond to real changes in the environment. Both result in inaction, but one is the right decision.

Despite some waste in R&D, Microsoft has made the right decisions for decades about what efforts will be profitable.

Here's a quote from Charles Cooper about the wrong decisions Microsoft has made:

"The strategies that spelled success in the 1980s and 1990s no longer packed the same punch in the Internet era. While the computing world embraced technologies that depended less on proprietary desktop applications, Microsoft too long remained in a world of its own. To wit: No, Linux isn't a threat, software offerings delivered over the Internet like Salesforce.com have no future, and Web-based browsers are a poor substitute for robust applications suites."

If Mr. Cooper were in charge of Microsoft and if I owned shares in the company, I'd be worried.

Microsoft did play catch-up on the internet, successfully. Microsoft decided to become predominant in Office software, and did. Which is why the company is one of history's great profit machines.

I wonder how many futures were predicted by reporters which Microsoft should safely ignore, and did.

Bill Gates also made mistakes. But he still knew what to pursue and what was a waste of effort.

Mr. Cooper leaves out the real Microsoft mistake: advertising from search. The company isn't making all the revenue it could. But being Microsoft the company has invested to catch up. Probably will.

Every factor Mr. Cooper does mention can and should be resisted in a sophisticated way by a company determined to make substantial profits. Microsoft has decided to take a chance, with the maturity to know the right answer has been found.; Posted by: Anton Philidor Posted on: 06/19/06 You are currently: a Guest | Members login | Terms of Use