Momentum Swing for Apple?

Posted on Tuesday, Jan 13, 2009 by George Ponder
 
Filed Under: News; Tags: microsoft, iphone, ballmer

Say it ain't so Joe! ...er, Steve. You know, Steve Ballmer, Microsoft's CEO.

Remember when he said, referring to the iPhone's 2G launch, "There's no chance that the iPhone is going to get any significant market share. No chance."? Yet almost two years later the iPhone is one of, if not, the best selling smartphone around. In an interview with Financial Times (registration required), Ballmer acknowledged the edge companies such as Apple and Google have gained in important parts of the consumer business having "clear market momentum".

While Ballmer may be conceding that Microsoft may be down, they're certainly not out. While Palm isn't making it easier with the well-received introduction of the Palm Pre, Ballmer doesn't strike me as someone who will go quietly. With the announcement of Windows 7, partnerships with Dell and Verizon to increase the distribution of Windows Live Search and the anticipated announcement of Windows Mobile 6.5 next month at the Mobile World Congress, Microsoft may begin to pick up steam in the mobile market.

Plus, just when we thought Windows Mobile Standard was on its last breath with the retirement of the Motorola Q line a new spark is seen in the HTC S743. Ballmer's acknowledgment that Apple is closing in on a lead in the market isn't a sign of defeat but maybe a call to arms. Hopefully, next month's World Mobile Congress will be for Microsoft what the 2009 CES was for Palm.

[via: theiphoneblog.com]

 
 

Comments

Finally he seems to have stopped being in denial and thats a sign that he acknowledges the competition and the progress they have made at WM's expense, maybe now MS will start to get themselves in gear and give WM the upgrade it needs.

While I love my WM phone, they definitely need to do something to step up their game in the mobile space and fast if they want to be a sizable player 2-3 years down the road. What's sad is they have an outright amazing ecosystem when you factor in things like the Xbox, Zune, MediaCenter, Windows, Office, Live, etc. Yet they're so massive and disjointed they can't bring them all together to make a compelling, cohesive end-to-end experience across even their own platforms.

Besides the disjointedness, probably the biggest problem MS has across most of their products though is that they're not really a brand like Apple, Google, Blackberry, etc. Sure, people know the name Microsoft. But at this point they're almost a GE-like holding company for numerous smaller ventures. They may be too big now to try and make the overarching Microsoft ecosystem (assuming it's ever tied together nicely) into a brand. But they need to do a much better job of getting out there and advertising/promoting the various brands they do have. And to be fair, they're finally starting to do that some now (although after more than a decade of relative brand advertising silence, it's going to take strong, steady exposure for several years to turn that tide.) Apple fanboys can point to the tech and user experience all they want, but at the end of the day, the average joe uses them because of the brand appeal built up via their advertising.

this is one of the things i've always hated about large, almost too large, companies. They when hit with new competition find themselves in a continual state of denial when they actually do have the ability to quickly adapt and change. Then when they find themselves at the end of their downward slope, they suddenly find the ability to see the error in their ways.

In short, i hate the thinking and most large companies, because they are simply arrogant.

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