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May 02, 2006 | Comments: (0)
Ballmer the betting man
Microsoft's chief executive officer, Steve Ballmer, defending company spending plans that have triggered a 12 percent stock price drop since last Thursday, wrote to employees in an e-mail: "Throughout our history, Microsoft has won by making big, bold bets."
"I believe that now is not the time to scale back the scope of our ambition or the scale of our investment," Ballmer wrote. "While our opportunities are greater than ever, we also face new competitors, faster-moving markets and new customer demands."
The Seattle Post-Intelligencer ran excerpts on of the e-mail on its Web site.
Core in his appeal that spending was on target, Ballmer said Google was the reason behind some of the spending, taking aim at Google's revolutionary AdSense. "Further development of [our response] adCenter is key -- our goal is to create the Web's largest advertising network, giving us an engine that will enable us to monetize our services and compete against Google."
Where's the big, bold bet? Google is betting on its talent pool, and backing it with generous time to innovate. Question is, when will Microsoft stop chasing Google and start innovating? (See PC World's Full Disclosure: Microsoft Innovation--An Oxymoron). Let's hope after it catches up...
Posted by Mike Barton on May 2, 2006 02:51 PM
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Why innovate (except in the legal department) when claim jumping works so well?
Posted by: Roger at May 3, 2006 01:47 PMHasn't Microsoft Innovation always been a bit of an oxymoron? (wink)
Posted by: Rick at May 4, 2006 07:12 AMIt's sad that Microsoft still doesn't spend enough time innovating. They still hold the same predatory pattern, influence, buy or rebrand. On the positive side, it's healthy Google gets a little competition but not surprising Microsoft offers close to no innovation and only wants to have the same type of product with only muscling in more money.
The strength Google has over Microsoft is a pool of talents let lose to innovate. I wish Microsoft would get a cue from that instead of its tried and true predatory position it takes over anything it sees. I wish they would spend their money inventing more and less copying and buying out.
Just my two or three cents.
Posted by: Nick at May 4, 2006 08:32 PMThey still don't get it! Gates and Ballmer are ALWAYS looking to "copy the new guy's stuff". If we only had Microsoft, we'd STILL be looking at a black screen with a C:\ prompt - and they bought THAT ! RealPlayer, Apple, Netscape - THEY were innovators! Maybe Gates and Ballmer ought to read this past week's Barron's. They're always making a product that they can "make money on" without regard for what the users want. Give the users what they want and they'll sell a lot of it. They both want to be "head techy" and no one is running the business? The stock has gone from 50 to 22 - you would think that someone over there would FINALLY catch on and wise up. They've personally lost a grand fortune in the past few years.
Posted by: Bobb at May 24, 2006 08:53 PMTOP STORIES
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