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. Links 24/4/2018: Preview of Crostini, Introducing Heptio Gimbal, OPNsense 18.1.6

    Links for the day



  2. Patent Maximalists Step Things Up With Director Andrei Iancu and It's Time for Scientists to Fight Back

    Science and technology don't seem to matter as much as the whims of the patent (litigation) 'industry', at least judging by recent actions taken by Andrei Iancu (following a hearing before the Senate Judiciary Committee)



  3. Mythology About Patents in the East

    Misconceptions (or deliberate propaganda) about patent policy in the east poison the debate and derail a serious, facts-based discussion about it



  4. Patent Trolls Watch: Red River Innovations, Bradium Technologies/General Patent, and Wordlogic

    A quick look at some patent trolls that made the news this Monday; we are still seeing a powerful response to such trolls, whose momentum is slipping owing to the good work of the Patent Trial and Appeal Board (PTAB)



  5. Holding Benoît Battistelli Accountable After the EPO

    The many abuses and offenses committed by Mr. Battistelli whilst he enjoyed diplomatic immunity can and should be brought up as that immunity expires in two months; a good start would be contacting his colleagues, who might not be aware of the full spectrum of his abuses



  6. Links 23/4/2018: Second RC of Linux 4.17 and First RC of Mesa 18.1

    Links for the day



  7. The Good Work of the Patent Trial and Appeal Board (PTAB) and the Latest Attempts to Undermine It

    A week's roundup of news about PTAB, which is eliminating many bad (wrongly-granted) patents and is therefore becoming "enemy number one" to those who got accustomed to blackmailing real (productive) firms with their questionable patents



  8. District Courts' Patent Cases, Including the Eastern District of Texas (EDTX/TXED), in a Nutshell

    A roundup of patent cases in 'low courts' of the United States, where patents are being reasoned about or objected to while patent law firms make a lot of money



  9. The Federal Circuit's (CAFC) Decisions Are Being Twisted by Patent Propaganda Sites Which Merely Cherry-Pick Cases With Outcomes That Suit Them

    The Court of Appeals for the Federal Circuit (CAFC) continues to reject the vast majority of software patents, citing Section 101 in many such cases, but the likes of Managing IP, Patently-O, IAM and Watchtroll only selectively cover such cases (instead they’re ‘pulling a Berkheimer’ or some similar name-dropping)



  10. Patents Roundup: Metaswitch, GENBAND, Susman, Cisco, Konami, High 5 Games, HTC, and Nintendo

    A look at existing legal actions, the application of 35 U.S.C. § 101, and questionable patents that are being pursued on software (algorithms or "software infrastructure")



  11. In Maxon v Funai the High 'Patent Court' (CAFC) Reaffirms Disdain for Software Patents, Which Are Nowadays Harder to Get and Then Defend

    With the wealth of decisions from the Court of Appeals for the Federal Circuit (CAFC) wherein software patents get discarded (Funai being the latest example), the public needs to ask itself whether patent law firms are honest when they make claims about resurgence of software patents by 'pulling a Berkheimer' or coming up with terms like “Berkheimer Effect”



  12. Today's European Patent Office Works for Patent Extremists and for Team UPC Rather Than for Europe or for Innovation

    The International Association for the Protection of Intellectual Property (AIPPI) and other patent maximalists who have nothing to do with Europe, helped by a malicious and rather clueless politician called Benoît Battistelli, are turning the EPO into a patent-printing machine rather than an examination office as envisioned by the EPC (founders) and member states



  13. The EPO is Dying and Those Who Have Killed It Are Becoming Very Rich in the Process

    Following the footsteps of Ron Hovsepian at Novell, Battistelli at the EPO (along with Team Battistelli) may mean the end of the EPO as we know it (or the end altogether); one manager and a cabal of confidants make themselves obscenely rich by basically sacrificing the very organisation they were entrusted to serve



  14. Short: Just Keep Repeating the Lie (“Quality”) Until People Might Believe It

    Battistelli’s patent-printing bureau (EPO without quality control) keeps lying about the quality of patents by repeating the word “quality” a lot of times, including no less than twice in the summary alone



  15. Shelston IP Keeps Pressuring IP Australia to Allow Software Patents and Harm Software Development

    Shelston IP wants exactly the opposite of what's good for Australia; it just wants what's good for itself, yet it habitually pretends to speak for a productive industry (nothing could be further from the truth)



  16. Is Andy Ramer's Departure the End of Cantor Fitzgerald's Patent Trolls-Feeding Operations and Ambitions?

    The managing director of the 'IP' group at Cantor Fitzgerald is leaving, but it does not yet mean that patent trolls will be starved/deprived access to patents



  17. EPO Hoards Billions of Euros (Taken From the Public), Decreases Quality to Get More Money, Reduces Payments to Staff

    The EPO continues to collect money from everyone, distributes bogus/dubious patents that usher patent trolls into Europe (to cost European businesses billions in the long run), and staff of the EPO faces more cuts while EPO management swims in cash and perks



  18. Short: Calling Battistelli's Town (Where He Works) “Force for Innovation” to Justify the Funneling of EPO Funds to It

    How the EPO‘s management ‘explained’ (or sought to rationalise) to staff its opaque decision to send a multi-million, one-day ceremony to Battistelli’s own theatre only weeks before he leaves



  19. Short: EPO Bribes the Media and Then Brags About the Paid-for Outcome to Staff

    The EPO‘s systematic corruption of the media at the expense of EPO stakeholders — not to mention hiring of lawyers to bully media which exposes EPO corruption — in the EPO’s own words (amended by us)



  20. Short: EPO's “Working Party for Quality” is to Quality What the “Democratic People's Republic of Korea” is to Democracy

    To maintain the perception (illusion) that the EPO still cares about patent quality — and in order to disseminate this lie to EPO staff — a puff piece with the above heading/photograph was distributed to thousands of examiners in glossy paper form



  21. Short: This Spring's Message From the EPO's President (Corrected)

    A corrected preface from the Liar in Chief, the EPO's notoriously crooked and dishonest President



  22. Short: Highly Misleading and Unscientific Graphics From the EPO for an Illusion of Growth

    A look at the brainwash that EPO management is distributing to staff and what's wrong with it



  23. Short: EPO Explains to Examiners Why They Should and Apparently Can Grant Software Patents (in Spite of EPC)

    Whether it calls it "CII" or "ICT" or "Industry 4.0" or "4IR", the EPO's management continues to grant software patents and attempts to justify this to itself (and to staff)



  24. Links 21/4/2018: Linux 4.9.95, FFmpeg 4.0, OpenBSD Foundation 2018 Fundraising Campaign

    Links for the day



  25. As USPTO Director, Andrei Iancu Gives Three Months for Public Comments on 35 U.S.C. § 101 (Software Patenting Impacted)

    Weeks after starting his job as head of the US patent office, to our regret but not to our surprise, Iancu asks whether to limit examiners' ability to reject abstract patent applications citing 35 U.S.C. § 101 (relates to Alice and Mayo)



  26. In Keith Raniere v Microsoft Both Sides Are Evil But for Different Reasons

    Billing for patent lawyers reveals an abusive strategy from Microsoft, which responded to abusive patent litigation (something which Microsoft too has done for well over a decade)



  27. Links 20/4/2018: Atom 1.26, MySQL 8.0

    Links for the day



  28. Links 19/4/2018: Mesa 17.3.9 and 18.0.1, Trisquel 8.0 LTS Flidas, Elections for openSUSE Board

    Links for the day



  29. The Patent Microcosm, Patent Trolls and Their Pressure Groups Incite a USPTO Director Against the Patent Trial and Appeal Board (PTAB) and Section 101/Alice

    As one might expect, the patent extremists continue their witch-hunt and constant manipulation of USPTO officials, whom they hope to compel to become patent extremists themselves (otherwise those officials are defamed, typically until they're fired or decide to resign)



  30. Microsoft's Lobbying for FRAND Pays Off as Microsoft-Connected Patent Troll Conversant (Formerly MOSAID) Goes After Android OEMs in Europe

    The FRAND (or SEP) lobby seems to have caused a lot of monopolistic patent lawsuits; this mostly affects Linux-powered platforms such as Android, Tizen and webOS and there are new legal actions from Microsoft-connected patent trolls


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