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Microsoft's Model Is Not Working Anymore
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Written by Daniel   
Friday, 24 April 2009 11:17
This week's contrast between Apple and Microsoft (NSDQ: MSFT) couldn't be any sharper. Both companies announced their quarterly results in the past week, and the simple summary is that Microsoft was down and Apple was up

Posted by Dave Methvin, Apr 23, 2009 09:40 PM

. The story behind those opposite financial directions, however, reveals some disturbing and continuing weaknesses in Microsoft's business model.....

This past quarter was notable for Microsoft because it was the first time in the company's entire history that year-over-year revenues declined. Sure, the global recession has impacted Microsoft, but in retrospect it's been an increasingly dry decade for Microsoft when compared to companies like Apple, Google, and Amazon.

Apple has been cranking out hit after hit this decade. It's increased its market share in personal computers, but more importantly has successfully entered (or created) new markets by combining its iPod and iPhone hardware with online stores for content and applications. Apple isn't alone in its success, though. Amazon (NSDQ: AMZN) is bringing life back into the e-book market with its Kindle reader, which also delivers content through an online store. Both Apple and Amazon have built products with this model and managed to grow in the past quarter despite the recession. [Information Week...]      [Comments....]                                                                                                                  
 
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