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Ballmer: it "matters" that Apple has gained share

updated 04:45 pm EST, Thu November 19, 2009

MS shareholder meeting shows share worries

Microsoft chief Steve Ballmer today warned at a yearly shareholders' meeting that the company needed to improve the standing of Windows in the future. The executive was emphatic that Microsoft was still in a comfortable position with "96 out of 100" choosing Windows worldwide but acknowledged that Apple had cut into Microsoft's share in the past year. He downplayed the amount, labeling it a "a couple of tenths of a percent" but added that even the claimed amount was significant and worth fighting for.

"That [dominant position] doesn't let us rest on our laurels," Ballmer said. "Every tenths of a percent matters."

He also claimed that Windows PCs were chosen 83 percent of the time even in the high-end US market that Apple prefers, though this partly contradicts outside market research. Apple at last report controlled 91 percent of premium notebooks in the US and also typically enjoys a disproportionately large share of premium desktops in the country.

The long-time employee wouldn't elaborate on Windows 7's sales other than to reiterate the previous statement of record short-term sales and to characterize the OS as off to a "fantastic start."

Ballmer was equally nebulous regarding Microsoft's answer to Android and the iPhone. He noted that Windows Mobile currently has more market share than Android and that Microsoft wants a "leading position" in the smartphone market but didn't put much emphasis on Windows Mobile 6.5, instead promising that the firm is investing in its future and its belief that a device-independent mobile OS is the right approach.

The comments come at a time of mixed results for Microsoft. While it has ended some longstanding weaknesses in the past few months by shipping Windows 7 and the Zune HD as well as launching its Bing search engine, its calendar 2009 has been dominated so far by three consecutive revenue drops as some buyers actively avoided Windows Vista and the poor economy affected both this and the Xbox line. Apple meanwhile has seen large revenue increases at the same time as its rapidly growing iPhone business has been supplemented by above-average jumps in computer shipments compared to the industry. [via CNET and Seattle Times]

 
Previous Comments

"Equally nebulous"

11/19, 05:02pm reply

Awesome. That's kind of like "more round" or "half naked".

Big E

Fresh-Faced Recruit

Joined: Jun 2008

+7

can we say it yet...

11/19, 05:15pm reply

"Beleagured Microsoft"

darkelf

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Joined: Nov 2003

+9

"The long-time employee..."

11/19, 05:16pm reply

"The long-time employee" -- very funny!

jad713

Fresh-Faced Recruit

Joined: Jul 2006

+7

Steve Ballmer Must Be Nutz

11/19, 05:20pm reply

Never in the history of Microsoft have I heard so much BS out of Ballmer. Is this guy living in a dream world or what? Actually, I'm sure he did it to drive up shares.

TujuMaster

Fresh-Faced Recruit

Joined: Nov 2009

+11

What?

11/19, 05:24pm (1 reply) reply

This must be what insanity feels like! How long ago was it that Ballmer described Apple as a "rounding error"? This guy flip-flops more than an Australian John Kerry! Make up your mind Mr. Ballmer. Have the honour and courage to admit the existence of an honourable foe worthy of respect and proceed with a fair fight. No wait, what I am thinking? This is Ballmer the sweaty bully scumbag whose own shareholders don't care whether he lives or dies! Why don't Microsoft's board members do what needs to be done and oust this evil, stupid, spiteful avaricious troll? [/Rant]

Feathers

Forum Regular

Joined: Oct 1999

+7

Just wait for Windows 8...

11/19, 05:56pm reply

It won't have any of the problems of Windows 7. Trust me.

garmonbosia

Fresh-Faced Recruit

Joined: Aug 2002

+15

Revenues - slight kick?

11/19, 06:17pm (1 reply) reply

What about all of those people who bricked there X-Boxes a week or so ago? You know they went out and bought a new one. Of course, with MS taking a loss on each console (last I checked) maybe it's actually revenue lost.

danviento

Fresh-Faced Recruit

Joined: Dec 2005

+7

Any day now...

11/19, 06:42pm reply

They'll rename him the Microsoft Information Minister.

For those that don't understand...
http://www.welovetheiraqiinformationminister.com/

MyRightEye

Fresh-Faced Recruit

Joined: Apr 2008

+5

The OS is obsolete.

11/19, 06:46pm (1 reply) reply

The individual personal computer operating system's days are numbered. Steve Jobs knows it. Ballmer apparently doesn't. Windows and Office are pretty much it for Microsoft. They've failed at almost every other thing they've tried or are losing money to keep the failures on the market. Office is already being challenged by third party solutions. Windows is under attack from all sides by OS X, Linux, and soon, Google. And at 95+% market share there's no place to go but down. Apple is doing something about it. Microsoft is frozen. Ballmer needs to go. He's the Michael Eisner of the tech world.

lkrupp

Fresh-Faced Recruit

Joined: May 2001

+8

Long live Ballmer

11/19, 08:16pm (1 reply) reply

May the monkey dancer spend another decade behind the wheel of MS. This inept diatribe frames just why it matters as to who runs the show and why Apple is surging. MS just doesn't get it, evidenced by just how much Windows 7 apes (poorly) OSX. As alternatives emerge, MS should and will go the way of the dinosaur, not because they couldn't have adapted, but rather because their imitation of other operating systems left them critically behind when it comes to innovation. The smartest thing MS could do is fire Ballmer, but I hope not. A decade more of his leadership via incompetence will favor Apple greatly.

Ballmer. A tenth of a percent? Dude, Apple is eating your lunch. Keep calling it a minuscule loss though, MS's delusional perception suits me to a tee. Keep on until you utter the words, "There are no Macs on the Redmond Campus!" Baghdad Ballmer indeed.

Monde

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Joined: Jan 2004

+7

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