James Governor has some excellent advice for Microsoft - pity they won't listen to it:

t seems to me that Microsoft’s most important competitor is Apple, not Google. Google’s revenues don’t actually hurt Microsoft, they just grow Google. But if Microsoft wasn’t fully aware of just bad its core business is hurting after it announced revenues fell 24% year over year, last week’s news from eWeek should serve as another glass of water on the head on the pillow. While Microsoft is dreaming sweet dreams of out-searching Google, Apple has taken 2/3 of the $1000+ PC market.

There's a whole generation of high school and college age kids learning that Macs are better right now; if you don't think that will have an impact over the next few years, dream on. IBM was certain that they were on top in the mid 80's - that ended fairly abruptly.

While Microsoft is off wasting money on its pursuit of Yahoo, their next generation of core revenues are being threatened. IMHO, it's time to clean house at the top.

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