Microsoft is taking some bold moves and surprises us with its ability to adjust and react to customer and industry demands.
Not many technology companies have been around for as long as Microsoft, even less of these “veterans” are still innovating and making headlines with their bold moves.
Microsoft Started by Selling Basic interpreters for Altair 8800 in 1972 and moved to the Operating System world where it dominated the private computer OS market. Jumping a few decades forward Microsoft got criticism for locking in users and developers was coupled with some bad acquisitions and product releases. Microsoft suffered from very bad review on its Windows 8 (One of the reviews). Some believed that this is it, and that the Microsoft era is over, they are moving to the loosing group. Luckily for Microsoft not only that they have the financial resources to try and fix whatever is wrong ( lawsuits, failed products, acquisitions, you name it) but they also have the human capital to help make the change.
I believe that Microsoft move to the winning side is partly because of the new CEO Satya Nadella, who was appointed on February 4th 2014. It seems that Satya brings a wind of positive change to the organization, preaching the “One Microsoft” mantra and making the organization to execute against this mission. Here is his first Interview where he starts demonstrating some of the qualities that will help Microsoft transform. He is making himself accessible, sends a personalized massage to the world and shows his openness for learning new things.
Microsoft is winning because it creates value for its partners developers and customers. Part of the value is it’s history and solid base within the tech world but other, more important part is its innovation and flexibility towards meeting customer demands and needs.
Microsoft creates Value for users through its hardware and software. The Microsoft willingness to partner with competitors allows it to create a bigger impact and value for the end users and developers. The Changes Satya made provided developers with tools to write an app and then convert it to all Windows versions and to iOS and Android.
Windows 10 reviews are positive, complimenting Microsoft for listening to its users and going the extra mile to meet their needs while innovating and presenting new features. The created through Windows 10 value isn’t combined with immediate monetary value capture as Microsoft is offering Window 10 free of charge for the first time ever.
However I would claim the value is still captured by restoring it’s image in the eyes of Microsoft clients, partners, developers and the entire world.
Moreover, by providing Windows 10 for free, Microsoft creates an even stronger network effect for it’s operating system and other offerings.
Organization at the magnitude of Microsoft cannot succeed in every aspect all the time, the recent layoffs in Nokia demonstrate that clearly, but Microsoft current outlook still remain positive, with good results in its core businesses and positive public perception. I classify Microsoft as a winner and predict some more wins for Microsoft in the future.