Microsoft
Microsoft continues its domination of the system software market thanks to the launch of Vista OS. But the rest are girding up as well
Shashwat DC
The Giant from Redmond might be under some pressure across the advanced markets due to a variety of reasons ranging from anti-trust to free software; nonetheless it continues to rule the Indian software market. Though there was a single percent drop in Microsofts market share, much like last year, it continues to command more than double of all Linux strains put together. The crucial factor in continuing reign is the arrival of Vista in India.
The Indian consumers have lapped up the operating system. Since the consumer launch in January 2007, nearly 180 mn Windows Vista licenses have been sold worldwide, and the adoption of the OS in India has already crossed over 2 mn units (consumer + enterprise) and growing at quite a high rate.
The reasons are not hard to guess. With every launch, Microsoft keeps enlarging its reach and even though it has over 13 offices across India; it has set up a distribution network that spans across the country. In fact one of its major focus is the SMSP (Small and Mid-Market Solution and Partners) space, for instance in India, Microsoft is working with over 3,500 partners only for the SMBs.
And even though it might have a robust channel strategy in place, it is constantly exploring new ways to reach out to the consumers, be it LFRs (large format retails) or online. Slashing prices for retail packs of Vista consumer editions was another strategy to attract traction. This benefited individuals purchasing Vista stand-alone copies. The price reduction varied from 13% to 39% and was applicable only for Vista Home Basic, Home Premium and Ultimate editions.
System Software: Top Players
Systems Software Revenue (in Rs crore) Growth
(%)
FY 08 FY 07
Microsoft Windows *1 568 454 25%
Linux *2 237 205 16%
Sun Solaris 180 150 20%
Novell Netware 117 60 95%
HP Unix 110 73 51%
Others 30 18 67%
Total 1242 960 29%
Others include IBM Unix, SCO Unix etc. Source: DQ Estimates
*1 (includes Windows Vista, XP, Windows Mobile)
*2 (includes Red Hat, Novell SuSe, Ubuntu and others)
Windows is still tightly fastened on the growing aspirations of competing operating systems, especially now that Vista too has found more than 2 mn takers in India. Albeit, there is a Linux challenge (read Red Hat), but what would please some old timers is that India remains a happy Unix-land with flavors like Solaris, HP-UX and IBM enjoying a good revenue share
By 1993 Microsoft's windows computer programming function became the most widely used operating system in the world. When Microsoft was still an idea, Bill Gates led Apple to believe he would help them succeed in creating the best computer programming systems in the nation, however, Gates left it unknown to Apple he planned to release his own software. Gates took notes and allowed Apple to release the software he helped them to create. Then shortly after, Microsoft introduced windows. Apple claimed Gates had stolen their ideas, as windows looked surprisingly similar to Apple's version. Gates claimed he used his own ideas because it was his own that made Apple's renowned software. As Microsoft was leading in the world, Apple threatened Microsofts position in the world of technological advances by introducing a new software program that could potentially take Microsoft's top spot in the market away from them. Gates quickly said that he had created a new software that was set to release also, although he had no idea of new software at the time and made the excuse to possibly buy himself a bit of time. About eight months later, Microsoft released the new software program, as bill gates had proclaimed, retaining the top spot in the market. Microsoft's expansion today has reached every technological realm possible. Occluded in the newest developments are
Microsoft is an American company that was founded by William Henry Gates III, as known as Bill Gates, and his his high school friend Paul Gardner Allen in 1975 April 4. But unluckily, Paul Allen resigned from Microsoft in 1983 after developing Hodgkin’s disease. In 1985 October 20, Microsoft released Microsoft window. It is the first original operating system. It is a graphical extension for MS-DOS. Even though, it’s not handy like nowadays Microsoft window. Then in 1990, Microsoft introduced Microsoft office, which is a bundle office productivity application with Microsoft Word and Microsoft excel. The Microsoft Word was the first application that could display italics. And the Microsoft Office would be available for free for all the PC World’s computer that is produce on that same year in November. In the 2000 February 17, Microsoft released Window 2000 operating system, and according to Microsoft it is the most safe operating system in the world at that time. But still, there are so many problems and glitches need to be fixed. Besides there are mutable computer viruses are made specially to attack Window 2000. Rush to gain back the sales. In the 2001 October 25 Window xp is available. The new operating system fix most of the problem. Although some of the user were still complaining the system that it will take your information, but in the 2007 January, there are 76% of people in the entire world are using the operating system.
The now highly profitable and cash rich Microsoft diversified into a wide variety of software products including: compilers and interpreters for programming languages and word processors, spreadsheets and other office software some of these products were successful, and some were not. By the turn of the millennium, many of Microsoft's software products dominated the market in their respective categories.
In the console-gaming world people know Sony and Nintendo. Microsoft may be the largest and richest software company in the world, but it’s unknown when it comes to console gaming. Microsoft is counting on the Xbox to change that perception. Gamers may not be willing to take a chance with the Microsoft Xbox, even if it is far superior to any console ever made. Nintendo Gamecube is nothing if charismatic. Nintendo’s new machine is half the size of any other console and looks like a toy with its brightly colored plastic shell and handle. It’s destined to be home of such popular games as Mario, Donkey Kong, Pikachu, and Kirby. Nintendo Gamecube seems mismatched as it goes up against the Microsoft Xbox and the Sony Playstation 2 (a multimedia mayhem that Sony says it’s supposed to be “The Future Of Entertainment”). All this makes you think; what makes Nintendo believe it can possibly go up against the ultra-sophisticated Xbox.
It is a well-known fact that Microsoft is the most marketed operating system. This can be explained by the decision by Microsoft to design and sell its operating system to other computer manufacturers. This meant making it compatible with other hardware. Apple did not choose to do this, making its operating systems only compatible with its own computer hardware (Derene, 2009). In a website article called “HongKait.Com: Online Tips for Designers and Bloggers” Nina Krimly states statistics that identify Microsoft as controlling 91% of the market while Apple Mac around 5%. The exclusivity of Apple did not make it popular among those who used the computer to work on projects both at home and at work in the past ...
Firstly, with the operating system market there are no actual barriers to entry. Any one firm can enter into the market and introduce their operating system. A number of powerful firms have indeed done so.
...ncome and increase in demand. Microsoft met another challenge from the rapid rate of new technology. Specially coming from competitor such as Apple, Google, IBM, AT&T corporation, and cable giant media ONE. The Internet also allowed for new growth, because companies can get their message out in second anywhere in the world. However, the management of Microsoft was able to fully utilize the skills, expertise, and wisdom of its employees to remain successful. Microsoft continues to be successful with its creativity and innovation by producing new product such as windows and Xbox. Management has shown diversity by employing 91000 people worldwide in over two-hundred countries. This cultural success has propelled Microsoft to the front of the technology world. This can be attributed to the efficiency and effectiveness.
Microsoft was able in the OS segment to double their revenue per PC when Windows 3.x emerged which still needed MS-DOS to run. Most of the sales Microsoft made were to OEMs who would take the additional step of installing Windows on a computer’s hard drive. This strategy was effective in that the cost of production was relatively low, as an OEM may only need a single master copy to do the installation. The costs to Microsoft would largely be bore in R&D expense rather than production. As part of the Microsoft business model for this segment, Microsoft designed their OS to need periodic upgrades. The upgrades did come at a cost, and in essence, Microsoft was able to create an “annuity” stream for the Microsoft OS segment. In this segment, Microsoft had a monopolistic structure that allowed them to realize huge returns, especially during such a period of technological growth and rapid obsol...
Google and Apple. You know, the companies that teenagers adore, adults love, and children enjoy. Google is your best friend for homework, and their phone operating system, Android, has a plethora of apps, not to mention numerous OEM's. Apple is the company that creates high end, easy to learn products. They make you pay a premium for their products ($2,000 for a MacBook Pro, everyone!). Apple is one of the few companies that doesn't have to do anything to be cool, they just are cool. Lots of people think of Apple as the cool one, while Google is considered your best friend for homework. What about Microsoft?
I believe that Microsoft has the best intensions for society, because they are constantly developing the software market into a more competitive and challenging industry. Microsoft’s success as a company is partly due to its commitment to making the best product possible and strategic business practices. The first reason Microsoft is not a monopoly is because of the standardized quality of its OS. Second is the intelligent business practices Microsoft has engaged in through many of its business partners. The legal issues of the alleged antitrust accusations from the department of justice are just totally overrated.
Political factors: In India, there are very tough regulations put in place by the Indian govt. to avoid the monopoly conditions and govt. control remains at the top. This company is generally the state owned company therefore the decision making is very hard for the company and company has to follow the political changes which happen in the India. India has disputes with the Pakistan and China, which is continuously affecting the industry.
Against the above background, this report is intended to provide an objective review of where and how Linux might fit into your business related plans and activities moving forward. The aim is to deliver insight rather than recommendations – i.e. it is not my intention to either advocate or discourage desktop Linux adoption, just to help understand the potential benefits, issues and practicalities so the fit...
...he management. Microsoft management oversees the company’s goals and adjusts the mission and vision to ensure the realization of set objectives and goals. In fact, Microsoft Company’s management had done a lot in terms of formulation of domestic and international strategies to enhance profitability (Weiss, 2008).
The market for IT industry was huge and expanding at a fast pace. However the market leaders were Accenture and IBM which had a negligent market share and rest was captured by small enterprises. Indian companies also ventured in the industry and due to their competition, IT multinational giants had to increase their base in India. Due to high opportunities, attrition rate was also high in this industry. As a result Indian companies like Wipro, Infosys increased their base level salaries. During this phase, Indian economy was transforming towards an era of information and knowledge. This can be seen from the fact that contribution of services towards the economy’s GDP was higher than 18% in 2001 as against in 1980. No other industry had done better standing against global competition. The annual exports had always been over 50% over a decade. U.S.A. share represents highest with 61% and about a third of Fortune 500 companies outsource their software work to India. To foster development, Indian government has taken a number of steps like liberalization of policies and providing necessary capital and infrastructure to foster growth. Thus Indian environment has been conducive for growth. (Ref: Indian Embassy.org) Competitor analysis- The market for IT industry was fairly competitive with IBM and Accenture as global leaders and rest of the market was pretty diffused. IBM and Accenture had strong brand and a global presence with a large customer base. They also offered panoply of services viz. technology implementation, business consulting, offshore services, customer relationship management etc. Both offered breadth and depth of services. IT market in India offered technical and business consulting with Tata Consultancy Services which was the market leader in IT exports and Wipro Technologies and Infosys being other major market players. TCS offered consultancy services, IT services, asset based solution etc. Wipro was third largest IT provider with service offerings in IT consulting, software solutions, BPO etc. Both had a strong global presence. Intensity of Rivalry: Rivalry amongst competitors was pretty intense as can be seen the Indian competition caused IBM to increase their presence in India. However leaders like IBM and Accenture had a wide range of service offerings so competition was only amongst few sectors. Rivalry was to hire the top talent as human capital is the most important thing in the IT sector. This is the reason that attrition rate lead to a rise in pay packages.
Microsoft is the leading and the largest Software Company in the world. Found by William Gates and Paul Allen in 1975 Microsoft has grown and become a multibillion company in only ten years. It all started with a great vision – “a computer on every desk and every home” - that seemed almost impossible at the time. Now Microsoft has over 44,000 employees in 60 countries, net income of $3.45 billion and revenue of 11.36 billion. Company dramatic growth and success was driven by development and marketing of operational systems and personal productivity applications software.