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. Team UPC Calls Critics of the UPC Idiots, Deletes Their Comments, and Blocks Them

    A new low for Team UPC, which is unable to cope with reality and has begun literally mocking and deleting comments of people who speak out truths



  2. How the Opposition to CRISPR Patents at the EPO Sent Shockwaves Through the Industry

    Additional reports/coverage on the EPO (European Patent Office) revoking Broad Institute's CRISPR patent show that the issue at hand isn't just one sole patent but the whole class/family of patents



  3. Unified Patents Says That RPX, Which Might Soon be Owned by Patent Trolls, Paid Patent Trolls Hundreds of Millions of Dollars

    Unified Patents, which helps crush software patents, takes note of RPX’s financial statements, which reveal the great extent to which RPX actually helped trolls rather than stop them



  4. IAM Together With Its Partner, IIPCC, is Lobbying the USPTO to Crush PTAB and Restore Patent Chaos

    Having handled over 8,000 petitions (according to Professor Lemley's Lex Machina), PTAB champions patent quality at the USPTO, so front groups of the litigation 'industry' creep in and attempt to lobby the likely next Director of the USPTO (inciting him against PTAB, as usual)



  5. Software Patents Are Still Dropping Like Flies in 2018, Thanks to Alice v CLS Bank (SCOTUS, 2014) and Section 101 (USPTO)

    Section 101 (§ 101) is thriving in the sense that it belatedly throws thousands of patents -- and frivolous lawsuits that depend on them -- down the chute; the patent trolls and their allies in the patent microcosm are very furious and they blame PTAB for actually doing its job (enforcing Section 101 when petitioned to do so)



  6. Patent Troll Finjan Looks Like It's About to Collapse, But Patent Maximalists Exploit It for Software Patents Promotion

    Patent trolls are struggling in their use of software patents; few (if any) of their patents are upheld as valid and those that miraculously remain in tact become the subject of fascination if not obsession among trolls' advocates



  7. The Attacks on PTAB Are Slowing Down and Attempts to Shield Oneself From Inter Partes Reviews (IPRs) Are Failing

    The Patent Trial and Appeal Board (PTAB) reapplies patent eligibility tests/guidelines in order to squash likely invalid patents; The litigation 'industry' is not happy about it, but its opposition to PTAB is also losing steam



  8. Links 21/1/2018: Wine 3.0 Coverage, KaOS 2018.01, Red Hat Among 'Admired Companies'

    Links for the day



  9. Blockchain Patents Are a Catastrophe in the Making as Trolls and Aggressors Accumulate Them

    As patents pertaining to blockchains continue to be granted -- even in defiance of Alice/Section 101 -- it seems likely that patent wars will sooner or later erupt, involving some large banks, IBM, and patent trolls associated with the notorious Erich Spangenberg



  10. Qualcomm/Broadcom/NXP Combination Would Become a Disastrous Patent Thicket Which Benefits Nobody

    Worried by the prospect of mega-mergers and takeovers which would put far too much market power (and monopoly through patents) in one place, governments and corporations speak out



  11. Patent Litigation in East Asia: Huawei, Samsung, HTC, Nintendo and COLOPL

    A quick look at some high-profile cases in which large Asian firms are embroiled; it seems clear that litigation activities have shifted eastwards (where actual production is done)



  12. Patent Litigation in the US is Down Sharply and Patent Trolls' Demise Has Much to Do With It

    Docket Navigator and Lex Machina both show a significant decline in litigation -- a trend which is likely to carry on now that TC Heartland is in tact (not for just half a year but a whole year) and PTAB completes another record year



  13. Cheating the US Patent System is a Lot Harder After TC Heartland

    Some new examples of tricks (and sometimes cheats) attempted by patent claimants and their representatives; it does not go as well as they hoped



  14. RPX Might Soon be Owned by Patent Troll Erich Spangenberg

    RPX, whose top executives are leaving and business is gradually dying, might end up as another 'asset' of patent trolls



  15. Patent Quality (Not Numbers) as an Asset: Oppositions, Appeals and Rejections at the EPO

    Benoît Battistelli wants a rubber-stamping operation (like INPI) rather than a functional patent office, but oppositions at the Office prove to be fruitful and many erroneously-granted patents are -- by extrapolation -- already being revoked (affecting, in retrospect, Battistelli's so-called 'results')



  16. Links 19/1/2018: Linux Journalism Fund, Grsecurity is SLAPPing Again

    Links for the day



  17. The EPO Ignores This Week's Decision Which Demonstrates Patent Scope Gone Awry; Software Patents Brought Up Again

    The worrisome growth of European Patents (EPs) — a 40% jump in one year in spite of decline in the number of patent applications — is a symptom of the poor judgment, induced largely by bad policies that impede examiners’ activities for the sake of so-called ‘production’; this week's decision regarding CRISPR is another wake-up call and software patents too need to be abolished (as a whole), in lieu with the European Patent Convention (EPC)



  18. WesternGeco v ION Geophysical (at the US Supreme Court) Won't Affect Patent Scope

    As WesternGeco v ION Geophysical is the main if not sole ‘major’ patent case that the US Supreme Court will deal with, it seems safe to say that nothing substantial will change for patent scope in the United States this year



  19. Links 18/1/2018: MenuLibre 2.1.4, Git 2.16 Released

    Links for the day



  20. Microsoft, Masking/Hiding Itself Behind Patent Trolls, is Still Engaging in Patent Extortion

    A review of Microsoft's ugly tactics, which involve coercion and extortion (for businesses to move to Azure and/or for OEMs to preload Microsoft software) while Microsoft-connected patent trolls help hide the "enforcement" element in this whole racket



  21. Patent Prosecution Highway: Low-Quality Patents for High-Frequency Patent Aggressors

    The EPO's race to the bottom of patent quality, combined with a "need for speed", is a recipe for disaster (except for litigation firms, patent bullies, and patent trolls)



  22. Press Coverage About the EPO Board Revoking Broad's CRISPR Patent

    Even though there's some decent coverage about yesterday's decision (e.g. from The Scientist), the patent microcosm googlebombs the news with stuff that serves to distract from or distort the outcome



  23. Links 17/1/2018: HHVM 3.24, WordPress 4.9.2

    Links for the day



  24. No Patents on Life (CRISPR), Said EPO Boards of Appeal Just a Few Hours Ago

    Broad spectacularly loses its key case, which may soon mean that any other patents on CRISPR too will be considered invalid



  25. Only Two Weeks on the Job, Judge Patrick Corcoran is Already Being Threatened by EPO Management

    The attack on a technical judge who is accused of relaying information many people had already relayed anyway (it was gossip at the whole Organisation for years) carries on as he is again being pushed around, just as many people predicted



  26. EPO Board of Appeal Has an Opportunity to Stop Controversial Patents on Life

    Patent maximalism at the EPO can be pushed aback slightly if the European appeal board decides to curtail CRISPR patents in a matter of days



  27. Links 16/1/2018: More on Barcelona, OSI at 20

    Links for the day



  28. 2018 Will be an Even Worse Year for Software Patents Because the US Supreme Court Shields Alice

    The latest picks (reviewed cases) of the Supreme Court of the United States signal another year with little or no hope for the software patents lobby; PTAB too is expected to endure after a record-breaking year, in which it invalidated a lot of software patents that had been erroneously granted



  29. Patent Trolls (Euphemised as “Public IP Companies”) Are Dying in the United States, But the Trouble Isn't Over

    The demise of various types of patent trolls, including publicly-traded trolls, is good news; but we take stock of the latest developments in order to better assess the remaining threat



  30. EPO Management and Team UPC Carry on Lying About Unified Patent Court, Sinking to New Lows in the Process

    At a loss for words over the loss of the Unitary Patent, Team UPC and Team Battistelli now blatantly lie and even get together with professional liars such as Watchtroll


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