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  1. #1
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    Exclamation Investors want Microsoft's new CEO to kill Xbox

    And Bing and Surface.

    According to The Washington Post, investors want Microsoft to abandon what they view as non-essential product lines for the company...


    According to The Washington Post, two influential Microsoft shareholders want the company to "kill" Xbox, Bing and Surface, so they can focus on its core strength: selling enterprise software to businesses...

    Here are some excerpts from the article:

    Nadella has spent the last seven months running Microsoft's $20 billion server and tools division, so he could be ideally suited to manage that transition.

    ...

    Ballmer envisioned Microsoft as a "device and services" company and reorganized the company last year to better execute that vision. But now Ballmer is out though still on the board and with a new CEO come fresh questions about the fate of consumer tech at Microsoft.

    Microsoft's Windows division has been facing shrinking profits; last year, the unit pulled in a net $9.5 billion, down from $11.6 billion in 2012 and $12.3 billion in 2011. Company filings suggest that the drop is largely attributable to declining demand for Windows among consumers, even as sales of Windows to businesses remain strong. The same division also reported a $900 million loss on unsold Surface tablets. The online services division, which oversees search engine Bing, reported a loss of $1.3 billion in 2013 less than the previous year but still in the red.

    Some investors have suggested that Microsoft spin off its money-losing consumer products and focus solely on the enterprise. Even the Xbox deserves to go, Paul Ghaffari, the wealth manager for Microsoft co-founder Paul Allen, said last year.

    But Robert Bontempo, a management professor at Columbia Business School, is skeptical that Nadella will be able to chart his own course on the matter. "You're asking for Nadella to walk into a board meeting and look Ballmer and Gates in the eye and say, 'The decisions you've made over the past two decades are a mistake,'" said Bontempo. "That's going to take some serious strength of character."

    ...

    ValueAct [holds 0.8% shares of MS] has been a critic of Microsoft's strategy and like Ghaffari wants the company to consider shedding some of its investments in consumer technology. ValueAct also reportedly wants the company to unbundle its offerings, such as Microsoft Office, so that they can be used on other platforms besides Windows.

    "Microsoft has historically had a supportive board," said Bontempo. But with the addition of Morfit [representative of ValueAct], Bontempo said, "this is going to be an extremely toxic environment ... There's going to be a lot of tension."

    That tension could come in handy for Nadella, who will need political cover to pursue broader changes at the company.

    But there are some early signs that Nadella is interested in continuity with his predecessors rather than a radically new strategy. The Indian-born engineer asked and got Gates to step away as chairman of the board so that Gates could advise him on products and devices. Whatever Gates's qualifications for this job, it's clear Nadella recognizes his own weaknesses when it comes to consumers. It's also suggestive of Nadella's faith in the "device" part of Microsoft's "device and services" mantra.

    Though no longer chairman, Gates will remain on the board of directors. Analysts say the programmer-turned-philanthropist has exerted a strong influence at Microsoft behind the scenes, even as he's kept a low public profile at the company.
    You can check out the full article on the link below!

    NEWS SOURCE: Investors want Microsoft's new CEO to kill Xbox Bing and Surface (via) WashingtonPost

    Our thanks to 'Gauss' for this news item!


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  3. #2
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    Quote Originally Posted by garyopa View Post
    Investors want Microsoft's new CEO to kill Xbox
    ms did a pretty good job of that already when they announced xbox one.


    Anyone who wants to add me feel free to do so

    Steam, xbl & miiverse = ImpaledGryphon
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    I give this motion a 60 to 70 percent chance of happening over the next year.

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    They have good competition now, unlike the 1st year of the 360. Just my opinion, I'm not saying the Kinect is to blame buit the Kinect is to blame.

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    Quote Originally Posted by Misfit View Post
    They have good competition now, unlike the 1st year of the 360. Just my opinion, I'm not saying the Kinect is to blame buit the Kinect is to blame.
    well, for me i'm not to bothered by kinect but i was hugely bothered by the always online, must check in, retail as digital, rights stealing plans they had for their (us)tv/(us)sports system that also plays games coupled with thr nsa revelations that showed ms couldnt be trusted in any way.


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    According to The Washington Post, two influential Microsoft shareholders want the company to "kill" Xbox, Bing and Surface, so they can focus on its core strength: selling enterprise software to businesses...
    I agree with Surface, Why does MS need to make their own tablets anyway when third parties are making them. Surface doesn't have any standout unique quality that a Dell...windows...tablet. (sorry for the excesive periods, I don't get a cut of the shoplink insertion, so 'I will Break Them!') lacks.

    Bing I'm split on, Microsoft went through a lot of trouble integrating it with their software, it's a lame service but yanking it would impair other MS software products. So Bing sucks, but deleting it will suck more right now.

    X.box I'm not on board with, The hardware has been rather successful these decades, the marketing division needs to be purged (all the XB1 hate stems from bad marketing decisions and a complete lack of demographic focus grouping.) I could maybe live with an Xbox LLC. that's 50% owned by MS, provided the marketing division is actually competent.
    Last edited by Crimson Blade; 02-11-2014 at 12:48 PM.

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  13. #7
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    Quote Originally Posted by Crimson Blade View Post
    I agree with Surface, Why does MS need to make their own tablets anyway when third parties are making them.
    I'm surprised that they can. I thought limitations in what they could get involved in hardware wise was a condition of their anti-trust.

    Quote Originally Posted by Crimson Blade View Post
    Bing I'm split on, Microsoft went through a lot of trouble integrating it with their software, it's a lame service but yanking it would impair other MS software products. So Bing sucks, but deleting it will suck more right now.
    How so?

    Nothing really relies on Bing specifically, and would just as easily work exactly the same if Microsoft's product lines default search engine was set to something else. Like Google, Ask, Dogpile, Yahoo, DuckDuckGo, AltaVista, Go, Galaxy, Lycos, GigaBlast, WolframAlpha.... Even their own alternatives like MSN (though I suspect if they want Bing gone, they want MSN gone as too)

    On the other hand, how many people really know or care anyways? I know that as soon as I install anything windows related that comes with Bing intergrated in anyway, I immediately uncheck the install Bing check box if it has one, or subsequently uninstall, remove, delete or disable Bing functionality so that it is only available to me if and when I decide I want to use it (which is only for 45 seconds per day, exponentially counting up in the search bar to earn my free Bing points that I use to buy XBL credit with because I'll be damned if i ever buy DLC with my own money!)

    Only place I'm stuck seeing Bing against my will is the Xbox360 dashboard, and that doesn't mean I have to use it. Of course, sadly, the XB1 and Windows 8 try to throw it in your face too. At least as far as Win8 goes, you can still get rid of it, so..... To me, Bing is just a goofy console thing.

    Quote Originally Posted by Crimson Blade View Post
    Xbox I'm not on board with, The hardware has been rather successful these decades, the marketing division needs to be purged (all the XB1 hate stems from bad marketing decisions and a complete lack of demographic focus grouping.)
    No, all the XB1 hate is because it's a pile of crap. While I'm sure a better marking team could very well sell an overpriced, under performing, 2-3 generation old PC laden with useless features that gamers on a whole don't want as a shiny diamond to a greater percentage of the unsuspecting rubes out there, most of us know it's a dull turd.
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    Quote Originally Posted by billysastard View Post
    well, for me i'm not to bothered by kinect but i was hugely bothered by the always online, must check in, retail as digital, rights stealing plans they had for their (us)tv/(us)sports system that also plays games coupled with thr nsa revelations that showed ms couldnt be trusted in any way.
    It just adds $ and uses resources for an underwhelming "Virtual" experience. The competition is $50 less, better hardware and more interrested in gamers and gaming. As for TV features, what the hell where they thinking?

  16. #9
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    Quote Originally Posted by billysastard View Post
    well, for me i'm not to bothered by kinect but i was hugely bothered by the always online, must check in, retail as digital, rights stealing plans they had for their (us)tv/(us)sports system that also plays games coupled with thr nsa revelations that showed ms couldnt be trusted in any way.
    Bud you really should give that one a rest as going on and on about something that never happened and has not affected anyone is rather pointless, you may as well go on about how the Russians and Nazi's are screwing you over as the plans they had for us weren't that great either even if the never happened. With so much real stuff to complain about and so much stupidity at MS that is actually happening and flaws with the hardware, software and whole approach, whinging about non existent things and things that are now only could have beens seems rather pointless. MS have dropped the ball on so many fronts with the XB1 it's not funny, but one of the few things they got right was seeing the light with the DRM crap before it was to late, and harping on about how they should never have done it yada yada is rather irrelevant, and sounds like you wish they had done it so you could have a real whinge about it, not that any extra ammo is needed for hole picking in MS and the XB1 right now.
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    The only problem for MS if they quit now or within the next year, good luck trying to do anything similar in the future because people will remember that expensive console they dropped as soon as it launched.

    Although it's not my cup of tea as of now, I think we should all be concerned if MS do leave the console market because you know Sony will try to take the p*** again like with the PS3.

    Bing, not sure about although I only use it as a backup to Google.

    Surface, I'm surprised they bothered with this rather than going with OEMs or partnerships like with Nokia.

    I'm also surprised the investors didn't call for MS to abandon Windows Phone.

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