Microsoft falls 9.25%

Discussion in 'Stock Market Forum' started by Onionman, Jan 27, 2015.

  1. JR Ewing

    JR Ewing Super Moderator Staff Member

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    Yeah, they'd need to change something. Either a new revolutionary product or service for the same market, or start making different products or services for another segment of the market or whatever. It's often hard to totally write off tech companies with good names because they can often reinvent themselves, and tend to have access to the resources that can make it happen.
     
  2. petesede

    petesede Guest

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    the problem they have is that anyone who has a revolutionary product... is not going to want to work for Microsoft. And the other problem is the revolutionary product would have to be very significant to budge earnings. Once companies get that big, it is hard to add products that are significant enough to move the stock price.

    For 20 years no, Microsoft has not been an innovative company, they have been incremental and derivative, it is hard for that mentality to change back to being a pioneer.
     
  3. Onionman

    Onionman Senior Investor

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    That fact that Microsoft has sought some salvation by tying up with Nokia says it all really. Money talks but it doesn't make sense for innovative companies to join the Microsoft stable. It's quintessentially "Old Technology".
     
  4. missbishi

    missbishi Well-Known Member

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    I think they will increase the amount of subscription services and apps they offer when Windows 10 is officially released. There is plenty of potential, especially with Xbox One. Apparently, Windows 10 is set to be a lot more gamer-friendly so I can just imagine some sort of "Xbox for PC" type service. I have even read reports that they plan to adapt Android apps for the Windows phone.
     
  5. petesede

    petesede Guest

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    I can´t see MSFT recovering. What made them great is becoming obsolete, and while they can dabble in new things, they do not have any competitive advantage against smaller companies who are much more nimble.
     
  6. SteakTartare

    SteakTartare Senior Investor

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    Pretty much, petesede. Microsoft is, and I say this from the vantage of working in IT management, largely a legacy company. Their forays into various mobile devices and services have seen paltry returns to the point of almost be farcical. Their release of Windows in the last 10 years have consistently jumped between decent to garbage depending on the release. I think it is time for them to accept the fact that Microsoft will never be hip and cool like Apple or bleeding edge like Google, but instead focus on their core business. That is Windows, Office, the various server products, etc., still sell a ton of licenses and maximizing those profit centers should be a priority. And, frankly, one more trash release in the Windows family is going to be pretty much the beginning of the end. I've been working on testing Windows 10 since the earliest release to us nerds, and it is looking good, but still ...
     
  7. queenbellevue

    queenbellevue Well-Known Member

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    I love how some people on other forums are freaking out over this, especially since Apple's stock has been rising so quickly. This is the tech world, things happen at a lightning pace. I wouldn't be too worried, Microsoft will definitely bounce back
     
  8. SteakTartare

    SteakTartare Senior Investor

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    Historically, and in general, I agree. There used to be a phrase common in the 90s "Don't bet against Microsoft". It was true then and it is still valid now to some extent. That said, the company in Redmond has been on a downward trend for a decade now. Ballmer is now, thankfully, finally gone. Can the new leadership turn it around? Time will tell.
     
    Last edited by a moderator: Jul 8, 2016
  9. Rosyrain

    Rosyrain Senior Investor

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    Microsoft just needs to have some new young blood working for the company. They are local here in my community and I feel that they can compete with the new technology out there if they can come up with something new and innovative that we all need, especially for the younger generation who can't function without their gadgets. Google and Apple seem to be the inventors right now and Microsoft just needs to take some lessons and jump on the band wagon. I think they can pull out of this rut.
     
  10. petesede

    petesede Guest

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    Great innovations are built in dorm rooms, garages and bedrooms.... in rented out office spaces without any furniture. Innovation is not born in cubicles with 5 layers of management breathing down your neck. Google found this out with Google+.. when you start to corporatize innovation, you end up with with a bleached, boring product that nobody is excited about except your marketing firm.

    At this point, MSFT is much more likely to become polaroid than it is to become innovative.
     

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