Android Notebooks Pose Threat to Microsoft

Because of the very grim climate in the economy, its weight has been felt by a lot of businesses. Microsoft in particular has been making repeated warnings with regards to the slowdown of revenues as well as profits for last six months of the year. It also promised to practice prudent spending because the company is now focusing on its newfound war with the Internet giant Google. But fighting with its so-called enemy in different areas such as wireless technology – where the company Google had made a recent stake on a claim with the launching of its operating system Android mobile – will not be a matter that is easy to figure out. This is also because of the highly gloomy prognosis set by Microsoft and other such areas of focus.

Presented Results

Because of this, the ending result is to have Steve Ballmer who is the Microsoft Chief Executive Officer mention in one presentation to many analysts last Tuesday that their company will make measures. Leaded by the financial team of Microsoft, the entire company will crack open their history books, look at similar crises that happened in the past and try to enumerate lessons which they can also use as solutions to the problem at hand. Each one, says the chief executive officer, has an associated story with it. What is common is that none of them were able to get a quick recovery.

For him, such is the kind of mindset wherein everything is relative to their economic situation. If you are not able to beat it out, then you will then be able to manage such an environment. He also adds that it is not as if anyone is able to cut down the costs swiftly enough in any type of industry in order to make the profits they had in the past years. Such an update on strategy had come around one month after the report of Microsoft regarding its fourth quarter earnings. This was the time when the company missed out the guidance and had announced the very first layoffs in the thirty four years of their existence.

Areas of Concern

Despite these images of gloom, the chief executive officer had also made clear on the specific areas where the company may be able to see some opportunity in this crisis. This is also part of mobile phones, search as well as advertising and the low-cost and downsized computers called netbooks. These are all areas wherein the company is bracing for competition with their very enthusiastic competitor, archrival Google. In the middle of this suffering economy, Ballmer also mentioned that he would like to see the success of Microsoft’s business in line to this competition.