"Well, it's probably more like Microsoft slowly becoming a more credible
competitor for them."
More like lock them out of their market entirely.
Every now and then Microsoft does this: decides which market niches they can
kill off to their own advantage. When your number comes up on that list, it's
usually all over for you. For some odd reason everybody else in the industry
just turns their head, mumbling about how they made some strategic mistake.
"Rough biz" and all that. It has always been that way.
Clearly since Steam is
an app marketplace - and one of the world's most successful too - it will be a
poor fit as an app in Microsoft's app market. Valve's number finally came up,
after being staunch Windows supporters since day one. Microsoft has decided it
wants Gaben's money.
The problem with W8 is they pretty much decided to kill
off absolutely everybody. They are goring all the oxen. The software markets
in W8 and WinRT absolutely kill HP and Dell, retail box stores that sell PCs and
so on - as these are the parts of the PC sales biz that actually earn profits.
Microsoft wants that money too. Even Amazon.com will see a hit as they sell
software too. Don't think this is exclusive to consumer PCs and enterprise
desktops either. They will have this store selling apps in Windows Server also.
Software developers already know Microsoft will take all their customers any
time they like, and now they'll have a direct permanent relationship with a
credit card number and contact info. They want all the Independent Software
Vendor money. Oh, and their selling their own-brand tablets - so they they've
decided they want the mobile OEM money and PC OEM money too. It's no harder to
make Windows less reliable and performant on HP and Dell hardware to make
Microsoft hardware look preferable than it is to make Windows flaky when running
WordPerfect or Novell network agents to make the Microsoft brand ware look
preferable.
Did I mention retail stores? Yeah, massive expansion in
Microsoft's own retail stores. They want that money also, and they can have the
machines made and don't have to pay for their own software.
Whole lines of
PCs and laptops will go unsold and have to be written down, as they don't have
the right feature mix - a catastrophe in a field where operating margins are 5%
in a good year. VARs and the channel are likewise cut out of sales and profit
opportunities. Did you know they have a services business too? They do, and
they want that money as well.
Ah, and the customers. The customer reaction
is the most enthusiastic of all.
This time there's nobody left to turn their
head. The thing is they've not only made the IT marketplace completely
unprofitable and unappealing to every singe participant, but self-destructive to
anybody who sells their ware. Who will be crazy enough to push PCs with
Windows? It just does not make good business sense. [ Reply to This | Parent | # ]
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