Tuesday 24 February 2009

The decline of Microsoft continues - Netbooks and Appple the new winners

The numbers are remarkable given the previous growth of Microsoft - and its former stranglehold on the computer market. While Linux and Apple are increasing market share, Windows is declining.

So although Netbook sales are growing rapidly, Microsoft is missing out:
  • 10 million Netbooks sold in 2008
  • 20 million Netbook sales projection for 2009
  • 30 percent of Netbooks run Linux
Even those Netbooks that run Windows have a significant negative impact for Microsoft as they are not able to charge full price for their OS - which is, anyway, a scandal at $200 to $400 for a laptop or desktop.

The switch to Linux and Apple is hurting Microsoft in other ways as well. Users are no longer forced to buy the over-priced Microsoft Office. They can run the free Open Office instead. So for 2008 the figures are:
  • Microsoft Office sales down 23%
  • Windows OS sales down 8%
Which is all good news for consumers, but bad news for the millionaire employees of Microsoft.

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