EditorsAbout the SiteComes vs. MicrosoftUsing This Web SiteSite ArchivesCredibility IndexOOXMLOpenDocumentPatentsNovellNews DigestSite NewsRSS

01.22.09

Microsoft Cuts Contractors Spendings by Almost 15%

Posted in Microsoft at 5:17 pm by Dr. Roy Schestowitz

Layoff figures only half the picture

MOST people have already heard about Microsoft's layoffs, but there are related aspects that Microsoft is pretty much concealing, such as those who are on contract (c.f. Abramoff visas fiasco).

Beneath or between the lines, people can find that up to 15% of the contractors (or vendors) might be cut, so the headcount mentioned in the headlines does not tell the full story.

The software maker is trimming costs for travel, freezing wages, scaling back a massive expansion to its Redmond campus and looking to cut what it spends on contractors and vendors by up to 15 percent.

It’s interesting and worth noting that a high executive from Microsoft denied layoffs (in the on-line media) about 2 months ago. He seems to have lied and it’s worth bearing in mind now that Microsoft denies investing in a lawsuit against IBM. In general, Microsoft makes it very hard to trust what it tells the public.

“…Microsoft wished to promote SCO and its pending lawsuit against IBM and the Linux operating system. But Microsoft did not want to be seen as attacking IBM or Linux.”

Larry Goldfarb, Baystar, key investor in SCO

Share this post: These icons link to social bookmarking sites where readers can share and discover new web pages.
  • Digg
  • del.icio.us
  • Reddit
  • co.mments
  • DZone
  • email
  • Google Bookmarks
  • LinkedIn
  • NewsVine
  • Print
  • Technorati
  • TwitThis
  • Facebook

If you liked this post, consider subscribing to the RSS feed or join us now at the IRC channels.

Pages that cross-reference this one

8 Comments

  1. mpz said,

    January 22, 2009 at 5:45 pm

    Gravatar

    Well, as the recent high-profile, extreme company collapses have shown – lying about a public company’s state is no longer a punished crime. And even if a few of those involved in the bigger ones are held to account, the later and smaller ones will probably never be pursued, if only because of lack of resources.

    I can’t get over that some of the reports are claiming it was a ‘shock’ that they didn’t make earnings forecasts – aren’t these people paid to have at least half a clue? All this giving away of windows has to hurt revenue.

    Oh, and in addition to the cuts, a hiring freeze will probably mean the employee headcount will be even lower at the end of the year, even if they don’t announce them as cuts. Although why they wouldn’t is beyond me – the stock market simply loves when a company slashes the slaves head’s off.

  2. Roy Schestowitz said,

    January 22, 2009 at 5:50 pm

    Gravatar

    It fell down to $17.

    By the way, they missed already muchly-lowered estimates.

  3. Gentoo User said,

    January 22, 2009 at 5:53 pm

    Gravatar

    so the headcount mentioned in the headlines does not tell the full story.

    They also said they are going to hire in some divisions, IIRC.

    It’s interesting and worth noting that a high executive from Microsoft denied layoffs (in the on-line media) about 2 months ago.

    It’s also interesting to note that you have no proof that he was lying, as opposed to simply not being aware that what happened today would happen. Was it Ballmer? Who? Why are not linking to that bit of news?

    and it’s worth bearing in mind now that Microsoft denies investing in a lawsuit against IBM

    That has nothing to do with anything, just in case you are using it as some sort of “Microsoft lies” argument. You recently lied about people working on behalf of Microsoft to “censor” Wikipedia, which that was revealed as nothing more than a smear, so does that invalidate everything you’ve said since then?

    And more importantly, you have no proof that Microsoft is indeed behind the IBM lawsuit, do you? If you do, then why didn’t you provide it in the post you linked to?

    Microsoft makes it very hard to trust what it tells the public

    In general, no different than most of what you say.

    (Note: The lame disclaimer text below is pasted by someone who spends massive amounts of time criticizing software he doesn’t even use)

    Note: comment arrived from a witch hunter that does not even use GNU/Linux.

  4. Roy Schestowitz said,

    January 22, 2009 at 7:53 pm

    Gravatar

    Update:

    “Just how many contractors who work for Microsoft will lose their jobs? Microsoft will not comment. But the tally is probably close to if not more than 5,000.”

    http://blog.seattlepi.nwsource.com/microsoft/archives/160115.asp?source=rss

    That makes a total that may exceed 10,000 people who lost their job at/for Microsoft, so it aligns with some early estimates.

  5. The Mad Hatter said,

    January 22, 2009 at 10:12 pm

    Gravatar

    The problem is that Microsoft, and Microsoft employess continually lie, and both appear constitutionally incapable of not lying. Consider all of the vapor ware that has been announced over the last 25 years where no product was ever released, or the product was released without many of the promised features, and tell me why we should believe them?

  6. Roy Schestowitz said,

    January 22, 2009 at 10:39 pm

    Gravatar

    Microsoft has no new projects/products to facilitate a turnaround. Its latest products that are few (Surface, Zune, Vista) are a total disaster.

    As for those people whom Microsoft sacked just now… do they receive a complimentary Surface to take home? I mean, they sit there in the warehouse and nobody touches them anyway. They cost over $13,000 each.

    “We feel a huge threat from Linux” — Jim Allchin

    “I am Scared [of GNU/Linux]” — Jim Allchin

    Replying to “who is Microsoft’s biggest competitor now, who would it be?” said Ballmer: “Open…Linux. I don’t want to say open source. Linux, certainly have to go with that.”

    Ozzie made a similar remark some months ago.

  7. Jose_X said,

    January 23, 2009 at 9:07 am

    Gravatar

    >> > Microsoft makes it very hard to trust what it tells the public

    >> In general, no different than most of what you say.

    Yes, whatever the motives for any particular circumstance, both of these two mentioned (and myself and …) make mistakes and say things that end up being incorrect.

    Microsoft should be held to a higher standard for very good reasons, many people pay them very good money, in part, to be precise and provide a certain quality of service to investors and to customers. The standard they are held to is understood to be greater than what applies to BN. The markets and federal authorities treat what is said on BN and what Microsoft say a little differently. Plus, you can usually verify what is discussed on BN as well as BN can, while many of these items discussed that come from Microsoft cannot be confirmed as easily by third parties.

    That said, every company is going to have problems, but this should be corrected as quickly as resources will allow — so maybe Microsoft really is having a cash problem. Their stockholders don’t want to leave any behind to run the show at the standards consumers and various government authorities would like.

    BN would probably consider it a victory if Microsoft was seen just as faulty as some seem to view BN. I’m also sure that if a billion or two was injected into BN, the quality and polish would definitely rise.

    [Don't take this as an insult, Roy. I think you recognize that BN is not polished. It's a "best effort" given the resources available, time pressures, and the goals for the site. I find it extremely valuable, btw. Reading this site is a bit like digging for gems in a muddy field that has them. You will get dirty, but the effort is worthwhile. Anyone upset with any info on any blog posting can complain in the comments section.]

    >> You recently lied about people working on behalf of Microsoft to “censor” Wikipedia, which that was revealed as nothing more than a smear, so does that invalidate everything you’ve said since then?

    I don’t think anyone proved that either of those individuals did not work for Microsoft (“Jimmi” apparently did claim he worked for someone else — is that his real name, btw?), were not associated with Microsoft, or, more accurately, that Microsoft was not behind their work products in some way.

    However, you are correct in saying that Roy didn’t prove the connection did exist and that apparently he was mistaken as to the precise details about who did which edit on that ACPI page.

    Some of the errors have been corrected on that entry. I’m not sure if all have, but the comment section is there for anyone to review and this is mentioned at the top. Is someone willing to pay BN, $50, $100, or more to homogenize that blog posting with the comments more accurately than it stands now. Part of that cash would go so that a BN rep (or Roy since he wrote that piece) review all the comments carefully (and follows the links and does whatever other work is necessary). $100 may be too little to justify the distraction since the comments there already speak for themselves, but I’m just suggestion a figure to get the ball rolling.

    Maybe we can also chip in $50 to Microsoft so that they tighten up the quality of the accuracy and clarity of the information they provide the market.

    Anyone else think this is a great idea?

  8. Roy Schestowitz said,

    January 23, 2009 at 9:26 am

    Gravatar

    Microsoft was actually sued for deceiving.

What Else is New


  1. The European Patent Office “is Acting as Though the Law Does Not Apply to It.”

    An article from Nieuwsuur which provides the words of Liesbeth Zegveld (for SUEPO) and Guillaume Minnoye (for the European Patent Office), reaffirming the EPO's bizarre notion that it is above the law, even in the face of human rights violations and a court ruling against the EPO



  2. Microsoft-Connected FRAND Lobbying (Software Patents Against Free/Open Source Software) in Brussels

    Anti-Free/Open Source software (FOSS) talking points and FRAND (anti-FOSS) lobbying groups in Brussels as seen by proponents of FRAND, who also worked for Microsoft



  3. Latest Propaganda From the EPO's Management an Effort to Make the EPO the Tool of Megacorporations

    A quick roundup of some of the latest spin and paid-for (bought) coverage that helps introduce a distorted patent system whose beneficiaries are not European (or even people)



  4. 'Aversion to Change' Propaganda From the EPO Echoes or Parrots Lenin and Stalin

    The out-of-control EPO management is trying to fool the media by blaming staff representatives for getting fired, simply because they stood up to a highly abusive and megalomaniacal dictator



  5. The Gates Foundation Subjected to Criticism, But Over a Decade Too Late

    Reckoning and accepting the fact that even some in the media now openly speak about Bill Gates' corrupting influence in everything, including politics



  6. Links 8/2/2016: Zenwalk 8.0 Beta 2, Q4OS 1.4.7

    Links for the day



  7. SIPO (China's Patent Office) Taken Over by Patent Maximalists

    A look at China's race to the bottom (decline in quality) when it comes to patents, assuming quite wrongly that quantity is more important than quality and severe penalties for perceived infringement will spur innovation



  8. The Alice Case Continues to Smash Software Patents (This Time OpenTV's); Will the EPO Ever Pay Attention?

    The potency or the grip of software patents in the United States is quickly eroding, but the EPO continues to act as though software patents are legitimate



  9. EPO Staff Responds to Team Battistelli's Expansion to Include French Economic Propagandist on the Payroll

    With strings attached (like string puppets of Battistelli in various units including the Investigative Unit), can the new Chief Economist, who is French and paid by Battistelli, ever be trusted?



  10. UPC: To Understand Who Would Benefit From It Just Look at Who's Promoting It (Like TPP)

    The UPC, which is designed to aid patent trolls and aggressors (and their lawyers), is still being advanced by the EPO and some misinformed (but loyal to these former groups) politicians



  11. Trolls Molestos: Rovi (del famoso Angry Birds) Ayuda al Más Largo Troll de Patentes de Microsoft Intellectual Ventures (Corregido)

    Alguna vez conocido como hacedor de juegos y más tarde como vigilancia en masa en jugadores, Rovi ahora se ESTA ALIANDO CON EL MÁS GRANDE TROLL DE PATENTES



  12. Estadísticas de Invalidación de Patentes y Costos de Litigación de Patentes (incluso si son falsas) Muestran que la Esfera de Patentes y los Estándares de Examinación son un Probleman, No Sólo en Los Estados Unidos

    Demasiadas falsas patentes que no deberían haber sido otorgadas en primer lugar y fraudulentes jucios de patentes que terminan en favor del acusado sirve para mostrar el costo externo (o externalidad) cuando set trata de un bajisímo sistema de patentes que se esfuerza en otorgar muchas patentes irrespectivamente de su mérito.



  13. The 'Offenses' of EPO Staff Representatives Boil Down to Truth-Telling

    Dutch television examined the documents of the mock 'trials' against SUEPO leaders and concluded that whistle-blowing (i.e. exposing abuses by EPO management), not misconduct, is the reason for overzealous dismissals



  14. Rumours About Dismissal of Benoît Battistelli and New Letter From Union Syndicale Federale Blasting Battistelli's Behaviour

    hings have been heating up since the dismissal of staff representatives at the European Patent Office (EPO) and some even spread rumours about withdrawal/dismissal of the EPO's President



  15. VirnetX Case Against Apple Shows Not the Problem With Patent Trolls But With Software Patents

    What the media really ought to be talking about after the high-profile VirnetX case, rather than obsess about the status of Apple or patent trolls in the Eastern District of Texas



  16. Diápositivas de Nueva Charla Explican la Connección Entre la Corte De Patentes Unitarias (UPC) y Patentes de Software

    Benjamín Henrion habló el pasado Domingo acerca de las patentes de software europeas -una presentación que habla de la Corte Unitaria de Patentes, por la que la OEP aboga sin cesar y que es lo que significa para las patentes de software.



  17. Las Políticas de Microsoft Alienan Incluso a los Hinchas Más Acérrimos de Microsoft, Incluyendo Pro-Microsoft Web Sites

    El agresivo comportamiento de Microsoft y su BAJA CALIDAD DE PRODUCTOS dejan algunos de sus últimos restos de ´hinchas´ descorazonados y molestos.



  18. Links 6/2/2016: CoreOS Rocket 1.0, Scientific Linux 7.2

    Links for the day



  19. Maybe It's Time for Class Action Lawsuits Against Microsoft for Forced Vista 10 'Upgrades', Which Were Definitely No Accident

    The sheer arrogance of Microsoft, which silently changes the operating system on people's computers (without their consent), makes lawsuits imperative, not just a possibility



  20. Readers' Article: A Strange Conspiracy of Silence in the German Media (Part II)

    Željko Topić's allegedly dark background, which includes a suicide, a retreat of potential witnesses, German funds in Topić's private bank account and several more interesting bits



  21. Links 5/2/2016: Wine 1.9.3, Slackware 14.2 Beta 2

    Links for the day



  22. Links 4/2/2016: Red Hat Upgraded, Ubuntu Tablet

    Links for the day



  23. The Siege Continues: Patent Lawyers Want More Patents, Including Software Patents, In Spite of Alice

    Lawyers who make money from patent disputes make rather apparent their aspirations, which include patent saturation even in domains that are patents-exempt



  24. European Patent Office Pretends It's Business as Usual and Prepares New Vanity Pieces

    The PR strategy of the EPO, whose destructive patent strategy continues unabated (for now), latches onto Colombia and strives to manufacture mythology wherein the public, patent examiners and patent applicants are all very happy with the EPO



  25. The 'International' Trade Commission Imposes/Reinforces Software Patents to Establish Another Embargo

    The International [sic] Trade Commission is meddling in competition and allowing a US giant, Cisco in this case, to potentially block rivals (no imports from abroad) using software patents



  26. Readers' Article: A Strange Conspiracy of Silence in the German Media (Part I)

    The views of some of our readers regarding reluctance in the German media to challenge the EPO's violations of German law, probably because Germany benefits from being a host nation of the EPO



  27. Benoît Battistelli's EPO: From Show Trials and Mock Trials to a Self-Aggrandising Propaganda Event Later Today in Rijswijk

    A headsup from a reader regarding today's highly misleading event in Rijswijk (e.g. to mislead the media or seed positive media coverage in the Netherlands) and how it was set up



  28. Caricature of the Day: EPO President

    New caricature about Benoît Battistelli, his bodyguards, and the assault on free speech at the European Patent Office



  29. Company Known as European Patent Office Provides Tips on How to Patent Software in Europe

    The European Patent Office (EPO) uses its attendance at CeBIT, which is a corporate expo, to promote software patents in spite of the European Patent Convention (EPC)



  30. Links 3/2/2016: Dell GNU/Linux Laptop, Wine 1.8.1

    Links for the day


CoPilotCo

RSS 64x64RSS Feed: subscribe to the RSS feed for regular updates

Home iconSite Wiki: You can improve this site by helping the extension of the site's content

Home iconSite Home: Background about the site and some key features in the front page

Chat iconIRC Channel: Come and chat with us in real time

CoPilotCo

Recent Posts