Overclock.net banner

1 - 20 of 30 Posts

·
Read Only
Joined
·
10,321 Posts
Discussion Starter #1

(Credit: ArsTechnica)
Quote:
Anyone who describes outgoing Microsoft CEO Steve Ballmer's tenure as a "failure" is wrong. An annualized growth rate of 16 percent in a large, established company, selling into mature markets, is nothing to scoff at. Revenue tripled under his leadership; profits doubled. That's some failure.

It's also not the case that Ballmer was simply riding high on the Windows and Office monopolies he inherited. They played a part, certainly, but they're not the whole story. During Ballmer's time as CEO, Microsoft Dynamics (its suite of CRM and ERP software) went from non-existent to a billion-dollar-a-year business. So too did SharePoint. So did Xbox. So did the System Center suite. So did Lync (formerly Office Communicator). So did Office 365. So did the Windows Azure cloud platform.

Concurrent with this, established products such as Windows Server, Exchange Server, and SQL Server continued to show strong growth. This growth includes the introduction of new features such as Hyper-V that have enabled Microsoft to go toe-to-toe with market leader VMware.

During Ballmer's time as Microsoft's CEO, the company grew. It diversified. It expanded into new markets, and it did so successfully. Ballmer enthusiastically promoted new directions like cloud computing, investing money to expand new businesses and giving the technical people the freedom and flexibility to implement the right solutions.
Source
 

·
Registered
Joined
·
5,699 Posts
he/she exists. and he/she works at google.

he was good at accounting and he expanded their enterprise division, which they already dominated anyway. but the consumer market? failure after failure
 

·
Banned
Joined
·
681 Posts
If Balmer was so successful he wouldn't be forced out of that position. He has no future vision, which was exemplified when he laughed at the iPhone. The positive spin of "retirement" is a joke.
 

·
Premium Member
Joined
·
1,671 Posts
Quote:
Originally Posted by Gigatel View Post

If Balmer was so successful he wouldn't be forced out of that position. He has no future vision, which was exemplified when he laughed at the iPhone. The positive spin of "retirement" is a joke.
Indeed. Balmer was a failure at consumer products, but enterprise not so much. My guess is that Microsoft doesn't want to be an enterprise company.

Case in point, Apple is a nearly strictly consumer company now, and they're rolling in cash. Meanwhile Microsoft has a thriving enterprise division and the majority of their consumer goods (windows 8, windows RT, surface, etc, nearly everything besides Xbox) is doing horribly. And Apple is making more money. It's not difficult to see where the problem lies. Consumer goods mean more money. Consumers want to upgrade to the new iPhone as soon as it comes out. Enterprises hate upgrading. They want to keep the same software around as long as possible.
 

·
Registered
Joined
·
1,254 Posts
Microsoft is such huge company.. Hehe people with alot of thoughts pushed him to the ground... Like they say " everything for fame and money"
 

·
Old and Crochity
Joined
·
5,266 Posts
I disagree with this article. If he was such a success their stock wouldn't have gone up nearly 8% (by the close of day when it was originally announced it went up 9% almost instantly). Ballmer was an utter failure as a CEO. As a marketing guy he would have been fine. (not GREAT but fine) As a CEO he was just a meglomaniac that pushed the best the company had out the door.
 

·
Null
Joined
·
6,330 Posts
They should have split enterprise and consumer aspects of the company more finely rather than letting Ballmer run the whole shebang.
 

·
Premium Member
Joined
·
6,736 Posts
Quote:
Originally Posted by sdlvx View Post

Indeed. Balmer was a failure at consumer products, but enterprise not so much. My guess is that Microsoft doesn't want to be an enterprise company.
I consider the new server OS to be a massive failure. It is quite possibly the most cumbersome server OS from Microsoft to date. The only thing that was done right is something I dont even think Ballmer pushed, and that is Office 365 which is where the majority of Microsoft growth comes from, and that is simply a product of the times and not some amazing accomplishment. Everything that was part of Ballmer's vision for the future has been a failure.
 

·
Registered
Joined
·
3,291 Posts
Quote:
Originally Posted by Vlasov_581 View Post

ok fine i'll do it, but ONLY if I get to spank Keira Knightly
wink.gif
I'll settle for Olivia Wilde or Amy Adams.
thumb.gif
 

·
Registered
Joined
·
2,025 Posts
Quote:
During Ballmer's time as Microsoft's CEO, the company grew. It diversified. It expanded into new markets, and it did so successfully. Ballmer enthusiastically promoted new directions like cloud computing, investing money to expand new businesses and giving the technical people the freedom and flexibility to implement the right solutions.
Is that a joke? I'm sorry but the man... while being an excellent manager and accountant, has no innovative talent. He doesn't know how to market, or how to hire people who do. He has stained the excellent Xbox franchise with Windows Phone and Xbox One. He has failed to evolve the excellent Windows Phone platform into a modern OS with competitive Tablet and Smartphone capability. In 2011 Windows Mango was an excellent upgrade, and promised a lot for the future. We are now 2 years in, Microsoft has successfully screwed over those who invested into their platform(like me), and failed to make Windows Phone a competitive platform. They also let the media demonize Windows 8, gave almost draconian requirements and controls in their new OS, and has failed to connect with the Consumer. At all. If anything, Microsoft has gone backwards. They have consolidated their market sure, but they also gave a lot of market share to the ever aggressive Apple and open-source Linux. They stained relations with Steam, who is NOT their competitor and would make a terrific partner, they've completely butchered Windows 8 strategy. They failed to improve the consumer market. So I don't care what the stats say about percent annual growth, investor confidence, market cap, Microsoft has regressed and weakened considerably. They are no longer the juggernaut of pre-2000, no longer the sleeping bear of 2000-2005, and now they aren't even a credible threat to their biggest competitors of Apple and Google.

Where is the money now? The Consumer market. Microsoft knows this, Google knows this, Amazon knows this, Apple knows this, everyone in the industry knows it. Corporate clients are like government contracts. Huge money pots, excessively and regularly overplay, but DO NOT come by every day like the consumer does. How often does a phone cell? How often does a laptop sell? Now how often do you get an order for 10,000+ Windows Server software? Of course the enterprise market currently has more profits, better market, but the electronic consumer market is huge, consistently generates revenue, and give your more market presence. How big is Apple? That speaks volumes of how powerful the consumer market is. Windows 8 should have been an UPDATE with an OPTIONAL Start Screen. Stricter requirements of no bloatware would've been SO huge. It's a minor thing, but all the minor things you do to improve use experience is what sells your company. What has Microsoft done in the last 4 years? Completely butcher their consumer presence. And who was at the helm? Balmer.
 

·
Premium Member
Joined
·
6,160 Posts
Quote:
Originally Posted by HanSomPa View Post

Is that a joke? I'm sorry but the man... while being an excellent manager and accountant, has no innovative talent. He doesn't know how to market, or how to hire people who do. He has stained the excellent Xbox franchise with Windows Phone and Xbox One. He has failed to evolve the excellent Windows Phone platform into a modern OS with competitive Tablet and Smartphone capability. In 2011 Windows Mango was an excellent upgrade, and promised a lot for the future. We are now 2 years in, Microsoft has successfully screwed over those who invested into their platform(like me), and failed to make Windows Phone a competitive platform. They also let the media demonize Windows 8, gave almost draconian requirements and controls in their new OS, and has failed to connect with the Consumer. At all. If anything, Microsoft has gone backwards. They have consolidated their market sure, but they also gave a lot of market share to the ever aggressive Apple and open-source Linux. They stained relations with Steam, who is NOT their competitor and would make a terrific partner, they've completely butchered Windows 8 strategy. They failed to improve the consumer market. So I don't care what the stats say about percent annual growth, investor confidence, market cap, Microsoft has regressed and weakened considerably. They are no longer the juggernaut of pre-2000, no longer the sleeping bear of 2000-2005, and now they aren't even a credible threat to their biggest competitors of Apple and Google.

Where is the money now? The Consumer market. Microsoft knows this, Google knows this, Amazon knows this, Apple knows this, everyone in the industry knows it. Corporate clients are like government contracts. Huge money pots, excessively and regularly overplay, but DO NOT come by every day like the consumer does. How often does a phone cell? How often does a laptop sell? Now how often do you get an order for 10,000+ Windows Server software? Of course the enterprise market currently has more profits, better market, but the electronic consumer market is huge, consistently generates revenue, and give your more market presence. How big is Apple? That speaks volumes of how powerful the consumer market is. Windows 8 should have been an UPDATE with an OPTIONAL Start Screen. Stricter requirements of no bloatware would've been SO huge. It's a minor thing, but all the minor things you do to improve use experience is what sells your company. What has Microsoft done in the last 4 years? Completely butcher their consumer presence. And who was at the helm? Balmer.
So you don't care about any method of valuation?

----

Not really... Margins are MUCH MUCH higher in enterprise segments. Ask IBM, Cisco, Intel, Dell, HP, etc.
 

·
Registered
Joined
·
2,025 Posts
Quote:
Originally Posted by BizzareRide View Post

So you don't care about any method of valuation?

----

Not really... Margins are MUCH MUCH higher in enterprise segments. Ask IBM, Cisco, Intel, Dell, HP, etc.
https://www.google.com/finance?q=NASDAQ:AAPL

This is what happens when you have a ridiculous market presence. Did I not say that the margins are higher? Enterprise orders are like military contracts, fabulous returns on investment, but it's a cut throat competition. One screw-up and your reputation can be ruined. There are many downsides to catering to enterprise segments. Hence why so many cater to Enterprise and Consumer clients. Microsoft has almost no Consumer presence, it's position has steadily waned over the last few years to the point of nearly becoming a joke. Their last pillar is Xbox, which has been rattled recently. Am I against Microsoft? Am I underestimating them? No, I am calling things for what they are. All measurements of valuation are meaningless when we are discussing the future. When we are discussing trends. When we are discussing management changes. Measurements of valuation react to these events, not vice versa, hence why I am ignoring them in my argument against this article. Unless you think their disposition about Microsoft is completely correct?
 

·
Premium Member
Joined
·
2,463 Posts
Exactly, he grew the (enterprise, business) markets that Microsoft has been doing for decades.

MS didn't capitalize well enough on the consumer internet revolution (which spawned a company, Google, which eclipsed Microsoft's market cap in just 10 years), and they entirely missed the smartphone revolution which boosted Apple's value more than MSs entire market cap.

Of course Microsoft grew... how could they not? There have been insane amounts of opportunities for tech corporations to take advantage of in the last 15 years.

Microsoft's stock jumped almost 10% (30 billion dollars) when his retirement was announced. A tech blogger doesn't speak as loudly as the movement of a 300 billion dollar corporation watched by thousands of analysts and held by thousands of institutional investors, sorry. Case closed.
 

·
Registered
Joined
·
2,025 Posts
Quote:
Originally Posted by mechtech View Post

MS didn't capitalize well enough on the consumer internet revolution (which spawned a company, Google, which eclipsed Microsoft's market cap in just 10 years), and they entirely missed the smartphone revolution which boosted Apple's value more than MSs entire market cap.
Windows Phone 7, Windows Phone 8, Windows 8, Windows RT, Surface, Surface RT. They have had many opportunities to expand their consumer presence. Frankly I doubt any big players are even sweating from Microsoft. As a player they are a non-threat for the next two years.
Quote:
Of course Microsoft grew... how could they not? There have been insane amounts of opportunities for tech corporations to take advantage of in the last 15 years.

Microsoft's stock jumped almost 10% (30 billion dollars) when his retirement was announced. A tech blogger doesn't speak as loudly as the movement of a 300 billion dollar corporation watched by thousands of analysts and held by thousands of institutional investors, sorry. Case closed.
I completely agree. Microsoft is excellent at doing business in the enterprise segment, and Ballmer has done a fantabulous job at continuing their primary line of business. As far as their stockholders, investors, and analysts are concerned, Microsoft will continue to generate massive revenue and profits and they will not be going bankrupt any time soon(although, who the hell knows?) but that's as far as it goes. Microsoft is completely out of touch with reality, they need to do some major management changes on all levels. Starting with Ballmer was a good move. In my opinion, any competent CEO can keep a successful business successful(but what would I know? I don't run multi-million dollar or even million dollar businesses). It'll take a truly exceptional and innovative fellow however, to dig Microsoft out of the hole that they're currently in with the last few consumer products.
 

·
Registered
Joined
·
1,098 Posts
Meh, the numbers look great in Balmer's tenure, but in the end he was forced to cut it short because of what the future looks like. His inability to accommodate user wants in Windows 8, and his allowing of the XB1 to get as far as it did with terrible ideas where his demise. MS will be paying for his mistakes for at least a few years.
 

·
Registered
Joined
·
2,025 Posts
Quote:
Originally Posted by G3RG View Post

A proper CEO exists for Microsoft. His name is Bill Gates.
If I was Bill Gates I would not be interested in returning. Then again, I am not Bill Gates.
 
1 - 20 of 30 Posts
Top