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Originally Posted by BrianBSL
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Profits aren't the only measure, and probably aren't the best measure of success for a software company. Aside from that "Dow component Microsoft posted a 37 percent gain in net earnings, but a large part of that came in a tax benefit, and analysts worried that the company's operating earnings weren't seeing stronger growth. Microsoft lost 76 cents to $25.68." (source
Yahoo! News)With recent news, despite both Microsoft and Google having profits their stocks actually went down (which seems kind of odd).
Most recent months have seen Microsoft IIS use declining in comparison to Apache (according to
Netcraft).
Adoption of .NET isn't as stellar as hopes for it had been (including within Microsoft --
MS Anti-Spyware built on MS Abandonware).
Linux is catching on especially in cost-sensitive areas like the developing nations and with governments (source:
Computer World among others).
There's always:
Apple making big inroads in business with OS X.
Oh, and
Firefox is causing the market share of IE to slip; IE also wasn't even included in the latest version of Mac OS X.
MS really doesn't have anything that can compete with the "mind share" generated by
Apple's iPod, or the good word of mouth PR that things like
Google Moon generate.
I wouldn't count MS out by any means at this point; but they're certainly nowhere near their height so, by that standard, I'd say they are declining.