Netbooks Eat Into Microsoft Revenues
Netbooks may be little, but they seem to be causing big problems for Microsoft, which blames them for a drop in first-quarter earnings and decreased revenues, despite increased sales of Microsoft operating systems.
In a report for market research outfit, Citigroup, Global Markets Analyst Brent Thill claimed, "Netbooks crash the party." He said they would be a "key category to watch in (fiscal 2009) as overall profitability will be impacted by (Microsoft's) success in this segment." The report goes on to note that netbooks are not only growing at a steady pace, their sales are literally blowing the roof off any analyst expectations.
So, how does this affect Microsoft? Well, for starters, a full 25 per cent of all netbooks run a Linux OS instead of a Microsoft one. Secondly, because Vista is too demanding in terms of systems requirements and memory guzzling, most netbooks which do run Windows are running the watered down version of XP, XP Home.
In a report for market research outfit, Citigroup, Global Markets Analyst Brent Thill claimed, "Netbooks crash the party." He said they would be a "key category to watch in (fiscal 2009) as overall profitability will be impacted by (Microsoft's) success in this segment." The report goes on to note that netbooks are not only growing at a steady pace, their sales are literally blowing the roof off any analyst expectations.
So, how does this affect Microsoft? Well, for starters, a full 25 per cent of all netbooks run a Linux OS instead of a Microsoft one. Secondly, because Vista is too demanding in terms of systems requirements and memory guzzling, most netbooks which do run Windows are running the watered down version of XP, XP Home.
People who read this article also read...
Google Phone Unlikely to Impress Users
Google's Android mobile operating system is expected to struggle during its initial release and be subjected to drawbacks while the software is still on its developing stage. T... More »
Ubuntu Linux For Desktops To Be Released
Ubuntu Linux designed for desktops is slated for release this week. The latest version, 8.10, will add a range of usability features including an enhanced 3G wireless support. ... More »
Acer Debuts Triple-Core Desktop
Acer has developed another addition to its wild array of electronic devices. The computer manufacturer has rolled out Aspire X3200, a 24-inch desktop . The new product is power... More »
Microsoft Guarantees Vista Patch in Windows7
Microsoft has showcased the features of Windows 7 at the Professional Developers Conference, promising major fixes on its predecessor's flaws. The company also introduced a roa... More »
Apple Presents iTunes Along with Genius Playlist Maker
The "Let's Rock" event proved to be the coming out of sophisticated new Apple products. iTunes 8 was introduced carrying hot new features for the music enthusiasts... More »
