Ballmer's mobile Internet pain: Starting with the WM system

Source: Internet
Author: User
Keywords Microsoft Ballmer
Microsoft saw the prospect of mobile internet early, but did not seize the opportunity to finally wait for Ballmer to leave the field, someone applauded, someone anxious. August 23, Microsoft announced that the company's CEO Ballmer will retire in a year. "Microsoft is a good company and I love this company." "said Ballmer. As for his future with Microsoft, he said: Will cherish the shares of Microsoft, and look forward to continuing to maintain one of the major shareholders in Microsoft's identity. Ballmer witnessed the rise of Microsoft. When he joined Microsoft, Microsoft's annual revenue of only 7.5 million U.S. dollars, more than 30 employees. As he left, Microsoft's revenue had reached $78 billion trillion and its employees were close to 100,000. However, it was under Ballmer's leadership that Microsoft gradually slipped from its peak. Mr Ballmer has made frequent mistakes in the PC Internet and mobile internet age. Every time Microsoft foresaw the future, and even first foresaw it, it always failed to win the market. This is Mr. Ballmer's limitations and Microsoft's limitations. Ballmer sales, technology innovation and product development is its short board; Regardless of product development, business model, or eco-chain building, Microsoft is the thinking of the PC age, which is outdated in the new era. Investors welcomed Ballmer's departure, the news came as Microsoft's shares rose 7.29% per cent on the day, and fear has already begun to spread inside Microsoft: Microsoft's future strategy will either be redesigned, a new management structure or a new corporate political landscape, and each person will benefit or be hurt in this round of change. But over the past week, Microsoft's share price has fallen from about $35 trillion to $33.5 trillion August 30. This suggests that investors have come to realize that Microsoft's problems are not just in Ballmer's way, but also in Microsoft itself, especially the PC complex. 2006, Microsoft founder Bill Gates no longer as chief architect, and decided to quit Microsoft Management in 2008, the United States media very coldly commented that he is "the genius of the PC era, the network age of the idiot"; now it's time for Bauer to leave, is Microsoft saved, or will it be a new catastrophe? The Harvard football team's main athlete, the long-distance-running Ballmer, is known for his "belligerence, determination, and arbitrariness", and he is unwilling to leave, hoping to lead Microsoft back to the top and leave the "Savior" image. Ballmer was an amateur basketball enthusiast, and after an interview in 2006, Ballmer met with reporters to "go to the basketball court one-on-one." At that time he had just run the reins of Microsoft, high-spirited. The one-on-one on the basketball game was eventually canceled because he was too busy, and now it's a date that's never going to happen. Frustrated with PC Internet Microsoft Farewell to the peak, starting with the PC Internet. Microsoft is still the world's most profitable it company, but since then, Microsoft has been far from the forefront of technology and products, despite the fact that the PC Internet has brought a bigger dividend to the PC market. For a company based on products and technology, it's only a matter of time before the top of the technology and product is slipping away from the peak. Microsoft is far from the forefront of technology and products, not the same, but the direction of the error caused. As early as January 2000, BallmerHe was named Microsoft's CEO, when he was expected to lead Microsoft into the PC-Internet transition from a PC to the Internet. In that year, Microsoft announced the implementation of the. NET plan, which made Microsoft an Internet company and declared war on its emerging Internet rivals, such as Yahoo, EBay, and Amazon (then Google). The pattern of the. NET plan is to allow customers, Developers get software and development support like Internet services, changing the original boxed software model. The transition to the Internet is the third in the history of Microsoft, after two successful transitions. In the 1990, Microsoft developed a highly user-friendly Man-machine interface, released windows3.0, and created a business model for the dominant software industry, by authorizing PC manufacturers to charge users via PC vendors. The second transformation took place in 1995, when Microsoft announced its entry into the Internet business and declared war on Netscape, with the result that Netscape withdrew from the stage and Microsoft's browser became mainstream, even though Microsoft was almost dismembered. The. NET plan did not achieve the expected results. The reason for the failure of the Microsoft. NET plan is that it has not redesigned Microsoft products according to the internet's thinking, but is only a marketing-oriented concept. "But fooled!" "It was a comment by some clients at the time." The result of the. NET plan is that Microsoft has become increasingly confused in the internet age, with old PC Internet rivals such as Yahoo, and a more powerful new adversary like Google. The failure of the. NET plan means that Microsoft is not at its peak. In November 2005, Microsoft held a meeting at a "Robinswood" Country Club in Seattle, the second meeting of Microsoft's overall transition to the Internet. The meeting decided to learn from Google, the most powerful rival, to abandon forward charges, software and services for free, and to charge advertisers a fee, just like Google's business model. Review Microsoft's two comprehensive transition to the Internet, the first is the transformation of products and services to the Internet, the second is the business model to the Internet transformation. This "country cottage" meeting, the Chairman of the Microsoft Board of Directors, the chief architect of Bill Gates did not attend, the meeting was the overall responsibility of CEO Steve Ballmer, this is the first time Mr Ballmer independently led the strategic transformation of the company. However, Microsoft's business model embracing the Internet is a failed attempt. A real difficulty is that, after the demand for a global advertising sales team, this can not be built in a short time; the boxed software is Microsoft's cash cow, abandoning the business model, not only within Microsoft's internal concerns, shareholders will not agree. In the gradual retreat of Bill Gates, Microsoft, under the overall dominance of the company, is drifting away from the internet itself. The pain of the mobile Internet was first defeated by Yahoo, EBay, Amazon (PC Internet First War), and then Google (PC Internet failed for the second time). In the ensuing war, Microsoft was defeated more miserably, the rival is Apple and Google, the battlefield is mobile mutualNetworking。 In the PC era, Apple had been defeated by Microsoft, and Microsoft executives, including Bill Gates and Mr. Ballmer, had a natural distrust of Apple's products, thinking that it was a small thing behind closed doors, such as Bill Gates and Ballmer's recent years of satirical Apple's ipad and iPhone in public. But these little things that are behind closed doors humiliate Microsoft. The ipad humiliated surface, Windows 8, and became the industry classic. Facing the mobile Internet, surface and Windows 8 are the two major product orientations that Microsoft has placed great expectations on, but they have encountered varying degrees of problems. The contrast is the success of the ipad, iphone and Android. The report, released by market research company NET applications in July, showed that by the end of May, the market share of Windows 8, which was expected to be 4.27%, was the bottom of Microsoft's operating system (Windows 7 is 44.85%, The share of Vista for 4.51%,windows XP is 37.74%). Windows 8 is the first cross end operating system for the ball, and Ballmer had wanted it to pull the market share of Windows Phone handsets. Microsoft's Windows Phone handset has almost zero market share in nearly a year because of poor Windows 8, according to the latest report from the US market research firm comscore. The heavily crafted surface had less than 1 million sales in the first quarter of the year, while Apple's ipad sold 19.5 million units. Surface achieves revenue less than 700 million dollars, the ipad achieves revenue of 8.746 billion dollars. August 5 This year, Microsoft will surface Pro price reduction of 100 U.S. dollars sales, 64GB and 128GB respectively to reduce to 799 U.S. dollars and 899 U.S. dollars. Earlier, Microsoft had just cut surface RT price by 150 U.S. dollars to attract more consumers to buy. In the second quarter of this year, Microsoft had a 900 million dollar impairment loss on surface Rt. Microsoft said the Surface tablet had received $853 million trillion in revenue since it was released, but surface's RT inventory adjustment paid $900 million trillion, costing 898 million dollars for Windows 8 and surface ads. In the mobile internet age, Microsoft "got up early", but "not even the late set up." In 2000, Mr. Ballmer, who was just CEO, unveiled the mobile OS Windows Mobile (WM), which, as planned, integrates Xbox Live games, Zune music, etc. into mobile phones. 2003, the WM first version is released. Microsoft later admitted that the WM was the wrong product to launch at the wrong time, and that the WM was losing in the war with Google and Apple. October 2010, Microsoft isThe release of the smartphone operating system Windows Phone (WP), the WM officially withdrew from the history stage, WP became Microsoft's new Hope. WP and WM in two ways to adjust: WM Think mobile Internet is the extension of PC, WP think the mobile internet independent of PC Internet, the WM man-machine conversation way to handwriting and virtual keyboard input, and WP with multi-touch control mainly. This is certainly true, but it is too late to adjust, and Microsoft has been losing in the mobile internet era. For Microsoft, the failure of the mobile internet is more lethal than the failure of the PC Internet. PC Internet development will drive up the PC market, driving Microsoft's performance up; the development of mobile Internet brings about a new intelligent terminal market, that is smartphone, but Microsoft is completely marginalized in this market. The collapse of the Iron Triangle in June 2006, Microsoft announced that founder Bill Gates was no longer the chief architect of the company, and would still be a consultant to Microsoft's Chairman and key projects, and would be fully withdrawn from Microsoft management two years later (i.e. 2008). In the five years of Bill Gates ' transfer of power to Mr. Ballmer, Mr Ballmer's fatal flaws began to show up: longer marketing, shorter than product, which led Microsoft to turn its strategy into a marketing strategy, regardless of the 2000. NET plan or the 2005 business model transition. To remedy this shortcoming, Microsoft began to build a new management structure, which was called the "Iron Triangle" by Microsoft: Ballmer as CEO, responsible for Microsoft Operations, Rey Oze to replace Gates as chief Technical Architect, responsible for technical framework and product supervision, Mundie as chief strategist, responsible for the company strategy research and planning responsibilities. The "Iron Triangle" is at the heart of Microsoft's management architecture in the post-Bill Gates era. This looks like a perfect architecture, 2000 ago, Microsoft is actually a dual-giant architecture, Ballmer is responsible for the operation of the company, Bill Gates is responsible for the company's technology, products and strategy, two people are Microsoft's two engines, the Microsoft to bring the peak era. The "Iron triangle" faces a key problem: whether Rey Oze or Mundie does not have the influence of Bill Gates within Microsoft, the strongest corner is Ballmer, and the other two have no ability to check and balance Bauer and get resources. Rey Oze, a foreign monk who successfully developed Lotus NOTES,IBM's 3.5 billion dollar acquisition of Lotus in 1995, was the most successful acquisition in the software era and the most valuable product was Notes. 2005, Rey Oze joined Microsoft. Mundie joined Microsoft in 1991, the Microsoft veteran, but with Bill Gates's entrepreneurial small partner, Ballmer, compared to a very big cut. Rey Oze and Mundie made a lot of efforts, such as the 2008 (the Year Bill Gates was fully decentralized), the Director of the acquisition of Yahoo, Ballmer also agreed to the acquisition, but has been hoping to negotiate a lower price, in the non-stop negotiations and delay, the acquisition failed. The chief architect, Rey Oze, left office in 2010. Last December,Mundie announced that he would no longer be Microsoft's chief research and strategy officer, a senior advisor to CEO Steve Ballmer, and would retire in 2014, and that the "iron triangle" was completely torn apart a year after Mr Ballmer left. Now the industry is concerned about what kind of new management structure Microsoft will create after Ballmer leaves. Whether internal or external, Microsoft's management structure is different from that of Bill Gates, Ballmer's era of "double giants" and the "Iron Triangle" architecture of the post-gates era. The future architecture will have two characteristics: first, the founder of the total withdrawal, professional managers to dominate Microsoft management, the second is the supremacy of shareholder interests, which is determined by the Professional Manager management framework. This is not good news for Microsoft: The industry is changing rapidly, and Microsoft needs to put more resources into the future, even at the expense of the present, where shareholders are short-sighted and management is only responsible for the current stock price. Microsoft's IT industry is experiencing an unprecedented rapid change, the PC industry is fading, the PC Internet is in a deep impact on various industries, mobile Internet industry is leading the current industrial innovation, cloud computing, large data-led home internet, corporate Internet era is quietly coming. Ali Group Chairman Ma Yun said a very famous word: Customer first, employee second, shareholder third. This sentence has been in violation of "shareholder first" Western Classic management model caused great controversy, but was the practice of the Internet industry proved to be "truth".
Related Article

Contact Us

The content source of this page is from Internet, which doesn't represent Alibaba Cloud's opinion; products and services mentioned on that page don't have any relationship with Alibaba Cloud. If the content of the page makes you feel confusing, please write us an email, we will handle the problem within 5 days after receiving your email.

If you find any instances of plagiarism from the community, please send an email to: info-contact@alibabacloud.com and provide relevant evidence. A staff member will contact you within 5 working days.

A Free Trial That Lets You Build Big!

Start building with 50+ products and up to 12 months usage for Elastic Compute Service

  • Sales Support

    1 on 1 presale consultation

  • After-Sales Support

    24/7 Technical Support 6 Free Tickets per Quarter Faster Response

  • Alibaba Cloud offers highly flexible support services tailored to meet your exact needs.