Microsoft: ‘We’re Just Fine. Really.’


Too small for their britches
Too small for their britches

New Microsoft CEO Satya Nadella didn’t take long to sign his name to a huge workforce reduction, announcing the biggest layoffs in the company’s history, around 18,000 staff. (As a matter of perspective, that’s about 2.5x the number of BlackBerry’s entire workforce these days.)

And of course all of this will get spun as a positive, but the real story is that the Ballmer era has seen a shift from massive dominance of the end-user computing experience to a large but bland presence that rarely garners the big headlines these days.

A large percentage of those layoffs (about 2/3)  will come from newly-acquired Nokia mobile staff. Which leads one to wonder how effective that new mobile hardware division will be in maintaining, not to mention growing, its not particularly impressive current market share.

Mr. Nadella’s tenure seems to have started-off not unlike certain high-profile politicians: a new face to blame for the malpractice of their predecessors and the slipping reputation of the organization they head, while their predecessor shuffles away into industry obscurity. (And sports-team ownership)

Perhaps this is one reason that Microsoft has embraced BlackBerry as of late (ie BBM, EMM), since despite other competitive pressures, they need more help than ever to help withstand the Google/Apple onslaught.

I hope BlackBerry takes full advantage of the opportunity, it should be interesting to watch.


Source: MS press release



I.T. Consultant/CIO in San Francisco, CA USA