Bonum Certa Men Certa

Microsoft More Likely to Split Than to Merge With Adobe

Adobe binary



Summary: A reality check amid rumours that Microsoft may be interested in Adobe's assets and more bad news about Vista Phone 7 [sic]

Due to some reports like this one, people have begun to speculate that Microsoft might buy Adobe, which is extremely unlikely for reasons that were brought up in IRC. If Microsoft ever thought about buying Adobe, then it confirms yet again it has an identity crisis (as new internal documents appear to suggest). The article from the New York Times begins as follows:



Steven A. Ballmer, Microsoft’s chief executive, recently showed up with a small entourage of deputies at Adobe’s offices to hold a secret meeting with Adobe’s chief executive, Shantanu Narayen.

The meeting, which lasted more than an hour, covered a number of topics, but one of the main thrusts of the discussion was Apple and its control of the mobile phone market and how the two companies could team up in the battle against Apple. A possible acquisition of Adobe by Microsoft were among the options.


Microsoft has been poaching Adobe employees for a while, it has products that compete directly with Adobe (hello redundancy and antitrust), and it does not have money to buy Adobe. These are just some of the many reasons why an acquisition is not going to happen. Rather than Microsoft growing through stealthy deals it appears as though it may shrink by splitting up, just like it was supposed to after antitrust violations in the 90s. Such a 'radical' suggestion came from Goldman Sachs a few days ago and here it is in the news again:

Goldman Sachs, at one time the most respected Wall Street investment bank in the world, is urging Microsoft to shed its Xbox (and the entire entertainment division, actually) branch into its own company, and for Microsoft proper to just focus on the business, operating system and office software stuff.


Goldman Sachs has also expressed dissatisfaction with Microsoft's next attempt at the mobile market. It was not alone. As IDG puts it:

Windows Phone 7 Buzz Muted by Naysayers



[...]

In fact Microsoft is facing a wall of naysayers leading up this Monday when it will introduce its first batch of Windows Phone 7 phones. Analysts and investors are wary about Windows Phone 7's prospects. Third-party application developers are giving mixed reviews about the new smartphone platform. And average Joes and Janes are just making wisecracks.

Here's a look at what people are saying about Microsoft.

Microsoft Downgrade

Market research firm Gartner on Wednesday predicted that Microsoft's forthcoming Windows Phone 7 will not buoy the company's sagging mobile handset fortunes. Instead, Gartner predicts, Microsoft's global market share will drop from 4.7 percent in 2010 to 3.9 percent by 2014, according to Information Week.

Gartner's prediction follows Goldman Sachs downgrade of Microsoft's stock on Monday from "buy" to "neutral." The investment firm dinged Microsoft for its failure to gain "a firmer foothold in the growing migration to mobile devices," according to Bloomberg.

It's not hard to see where that criticism comes from. Apple's iPad, for example, has become the tablet device to beat and inspired a slew of competitors, and this has all happened in less than a year. Microsoft, meanwhile, has been trying to inspire tablet PC adoption for years without much success.


It may not take long for Vista Phone 7 to die and join this list, at which point buyers of such phones will be greeted by messages like this one:

Customers can continue to enjoy the full benefits of MSN Direct, along with service and support, up until that date. Pro-rated refunds for unused portions of existing One-Time Payment and 12 month subscription plans will be automatically credited after January 1, 2012. Customers may cancel service at any point prior to that date and receive a pro-rated refund for any unused portion of their subscription. Microsoft customer support is available to answer any questions about existing subscriptions or refund eligibility at 1-866-658-7032.


Why would Microsoft bury about 40 products only to spend ~15 billion dollars buying Adobe (the company's market cap is around $14.3 billion at the moment)? Microsoft hardly even makes acquisitions anymore. It just makes no sense.

Comments

Recent Techrights' Posts

Maria Glukhova, Dmitry Bogatov & Debian Russia, Google, debian-private leaks
Reprinted with permission from disguised.work
Who really owns Debian: Ubuntu or Google?
Reprinted with permission from disguised.work
Keeping Computers at the Hands of Their Owners
There's a reason why this site's name (or introduction) does not obsess over trademarks and such
In May 2024 (So Far) statCounter's Measure of Linux 'Market Share' is Back at 7% (ChromeOS Included)
for several months in a row ChromeOS (that would be Chromebooks) is growing
Links 03/05/2024: Microsoft Shutting Down Xbox 360 Store and the 360 Marketplace
Links for the day
Evidence: Ireland, European Parliament 2024 election interference, fake news, Wikipedia, Google, WIPO, FSFE & Debian
Reprinted with permission from Daniel Pocock
Enforcing the Debian Social Contract with Uncensored.Deb.Ian.Community
Reprinted with permission from Daniel Pocock
Gemini Links 03/05/2024: Antenna Needs Your Gemlog, a Look at Gemini Get
Links for the day
IRC Proceedings: Thursday, May 02, 2024
IRC logs for Thursday, May 02, 2024
Over at Tux Machines...
GNU/Linux news for the past day
Jonathan Carter & Debian: fascism hiding in broad daylight
Reprinted with permission from disguised.work
Gunnar Wolf & Debian: fascism, anti-semitism and crucifixion
Reprinted with permission from disguised.work
Links 01/05/2024: Take-Two Interactive Layoffs and Post Office (Horizon System, Proprietary) Scandal Not Over
Links for the day
Over at Tux Machines...
GNU/Linux news for the past day
IRC Proceedings: Wednesday, May 01, 2024
IRC logs for Wednesday, May 01, 2024
Embrace, Extend, Replace the Original (Or Just Hijack the Word 'Sudo')
First comment? A Microsoft employee
Gemini Links 02/05/2024: Firewall Rules Etiquette and Self Host All The Things
Links for the day
Red Hat/IBM Crybullies, GNOME Foundation Bankruptcy, and Microsoft Moles (Operatives) Inside Debian
reminder of the dangers of Microsoft moles inside Debian
PsyOps 007: Paul Tagliamonte wanted Debian Press Team to have license to kill
Reprinted with permission from disguised.work
IBM Culling Workers or Pushing Them Out (So That It's Not Framed as Layoffs), Red Hat Mentioned Repeatedly Only Hours Ago
We all know what "reorg" means in the C-suite
IBM Raleigh Layoffs (Home of Red Hat)
The former CEO left the company exactly a month ago
Paul R. Tagliamonte, the Pentagon and backstabbing Jacob Appelbaum, part B
Reprinted with permission from disguised.work
Links 01/05/2024: Surveillance and Hadopi, Russia Clones Wikipedia
Links for the day
Links 01/05/2024: FCC Takes on Illegal Data Sharing, Google Layoffs Expand
Links for the day
Links 01/05/2024: Calendaring, Spring Idleness, and Ads
Links for the day
Paul Tagliamonte & Debian: White House, Pentagon, USDS and anti-RMS mob ringleader
Reprinted with permission from disguised.work
Jacob Appelbaum character assassination was pushed from the White House
Reprinted with permission from disguised.work
Why We Revisit the Jacob Appelbaum Story (Demonised and Punished Behind the Scenes by Pentagon Contractor Inside Debian)
If people who got raped are reporting to Twitter instead of reporting to cops, then there's something deeply flawed
Free Software Foundation Subpoenaed by Serial GPL Infringers
These attacks on software freedom are subsidised by serial GPL infringers
Red Hat's Official Web Site is Promoting Microsoft
we're seeing similar things at Canonical's Ubuntu.com
Enrico Zini & Debian: falsified harassment claims
Reprinted with permission from disguised.work
European Parliament Elections 2024: Daniel Pocock Running as an Independent Candidate
I became aware that Daniel Pocock had decided to enter politics
Publicly Posting in Social Control Media About Oneself Makes It Public Information
sheer hypocrisy on privacy is evident in the Debian mailing lists
Over at Tux Machines...
GNU/Linux news for the past day
IRC Proceedings: Tuesday, April 30, 2024
IRC logs for Tuesday, April 30, 2024