So Microsoft will, after all, launch a beta program for its new Web analytics 
  tool, 
code-named 
  "Gatineau." 
Now, we're sure that there must be a mistake in here somewhere. Surely Microsoft 
  wouldn't use some town in Quebec as a code name. Oh, no. We suspect that Redmond 
  meant to call its forthcoming heavy hitter "Gastineau," after Mark 
  Gastineau of 1980s "New York Sack Exchange" fame. Some temp or 
  public relations person must have dropped the "s" at some point. And 
  -- you guessed it -- we fully expect the next version to be called "Klecko." 
  When does football season start again?
 
	
Posted by Lee Pender on July 26, 20070 comments
          
	
 
            
                
                
            
                
                
 
    
    
	
    This week marks the 
HostingCon 
  2007 conference in Chicago, which, aside from serving as a forum for Microsoft 
  to show off its application-hosting technologies, also sounds like something 
  you might do if you invited a convicted felon over for dinner. (Get it? "Con," 
  like convict? Never mind.)
 
	
Posted by Lee Pender on July 25, 20070 comments
          
	
 
            
                
                
            
                
                
 
    
    
	
    We've said many times here at RCPU that Microsoft, in general, is very good 
  to its partners, and we still believe that it is true. The only problem, as 
  most partners probably know by now, is that sometimes the Microsoft Partner 
  Program can offer -- as the old saying goes -- too much of a good thing. And 
  sometimes that good thing -- maybe the one good thing a partner really needs 
  -- is a bit hard to find.
Roll in the Microsoft Partner Program "benefits wheel." Oh, it's 
  officially called the Partner Benefits Framework in classic stodgy Microsoft 
  fashion, but the round shape of the diagram used to clarify how partners can 
  access the benefits they need just lends itself to the "wheel" moniker. 
  Besides, we can envision thousands of clever little "wheel" quips 
  spinning out of this. Well, hundreds, anyway. Or maybe tens. 
Anyway, in the magazine's 
  August issue, Redmond Channel Partner Executive Editor Anne Stuart 
  takes the 
  benefits wheel for a test drive, looking at how the partner program and 
  its new general manager, Julie Bennani (who, rumor has it, actually reads this 
  newsletter) are trying to clarify which benefits are available to partners and 
  how partners can access them. 
Anne also talks to Robert Deshaies, vice president of Microsoft's U.S. Partner 
  Group, about a slew of new benefits Redmond plans to offer partners in Microsoft's 
  current fiscal year, which began at the beginning of this month. 
As wheels go, the benefits wheel ranks pretty high on our list -- well above 
  "Wheel of Fortune" and probably somewhere between "Wheel in the 
  Sky" by Journey and a big wheel of cheese. In fact, you could say that 
  we never tire of looking at it. And if you're a partner, you should really get 
  around to checking out this wheel and what it can do for you. 
Which are the most important benefits for you in the Microsoft Partner Program? 
  Tell met at [email protected].
 
	
Posted by Lee Pender on July 25, 20070 comments
          
	
 
            
                
                
 
    
    
	
    Commenting on earnings only a few hours after they come out (we're writing 
  this on Thursday afternoon, FYI) is a bit like 
reading 
  the CliffsNotes for a great novel and then doing a book report. Earnings 
  reports from big companies like Microsoft are absolute monsters (seriously, 
  
check 
  this thing out), and they're 
full 
  of subtle nuances that press releases and a few wire-service stories can't 
  fully capture.
But for our purposes today, the CliffsNotes of Microsoft's earnings announcement 
  will be just fine. And the major character in this story is the forlorn Xbox, 
  the infamous video game console that Redmond now has to fix…to the tune 
  of more 
  than a billion dollars. Microsoft actually ended 
  up doing fine -- although not spectacularly well -- in its fourth fiscal 
  quarter despite the problems with the Xbox. 
And its year-end numbers -- remember, Microsoft's fiscal year runs from July 
  through June, not that you didn't know that -- were fairly staggering: For the 
  first time, Redmond earned more than $50 billion in a single fiscal year. So 
  those Xbox repairs cost about one-fiftieth of the company's annual haul. Just 
  to put things in perspective. 
Quarterly numbers seemed to be about what Wall Street expected, so it's hard 
  to say how this earnings report will affect Microsoft's stock price, which, 
  despite about a 6 percent rise this fiscal year, still trailed Oracle, Google, 
  Apple and the S&P 500 in terms of performance. The fourth quarter's final 
  tally could have been better, of course. For instance, the Xbox repairs showed 
  up as a one-time expense, but it fairly shaved the company's earnings-per-share 
  figure. 
The Xbox debacle is all part of Microsoft's ongoing -- and, thus far, mostly 
  unsuccessful -- attempt 
  to be cool. The console hasn't yet made any money and has now surely cost 
  more than Redmond ever expected. Losses for the company's Entertainment and 
  Devices division were up 183 percent in 2007 compared with 2006. Microsoft's 
  Online Services Business division -- think MSN and almost anything called "Live" 
  -- saw losses expand, too. 
But that's the bad news, and, as you might expect, there's lots of good news. 
  Vista 
  seems to be bumping along, sales-wise, mainly because -- as we see it -- 
  people who buy new computers get it by default, not because anybody seems to 
  particularly like Vista. Still, while it might be a critical failure and a dud 
  in the enterprise channel thus far, it's raking in dollars for Redmond. And 
  Dynamics, Microsoft's enterprise software offering, showed up as a 24 percent 
  increase in customer billings in the company's fourth fiscal quarter. 
So the story of Microsoft's earnings has a happy -- if not massively, spectacularly 
  happy -- ending, despite a few plot twists. Which leads us to wonder (again), 
  actually -- why does Microsoft try so hard to be cool? How much more money will 
  it cost Redmond before the company either turns its fortunes around with Xbox 
  and search or just stops pumping so much into both efforts? In Microsoft's case, 
  we suppose, money is no object.
What's your take on Microsoft's earnings? Are you pleased with the direction 
  in which the company is moving? Talk to me at [email protected].
Incidentally, there were lots of earnings reports this week, including numbers 
  from Intel and Google, 
  the latter of which missed Wall Street's expectations and took a bit of a hit.
Oh, and while we're adding footnotes, guess what's back? The Microsoft-to-buy-Yahoo 
  rumor!
We'll get back to running the loads and loads of reader e-mails next week, 
  so keep them pouring in to [email protected], 
  and thanks to all of you who have taken time to write.
 
	
Posted by Lee Pender on July 20, 20070 comments
          
	
 
            
                
                
 
    
    
	
    Interesting 
  little story here in The Times of London, old chap, about how Microsoft 
  actually figured out how to profit from piracy in China. Leave it to Bill Gates 
  and friends to turn a sow's ear into yet another expensive silk purse.
 
	
Posted by Lee Pender on July 20, 20070 comments
          
	
 
            
                
                
            
                
                
 
    
    
	
    Mary Jo Foley tries to slice and dice 
through 
  the confusion of exactly when the first Vista service pack is going to appear, 
  but even she is 
having trouble 
  with her Microsoft 
Ginsu 
  knife blade. 
Incidentally, in the interest of balance, we've found a couple of fans of Vista. 
  (See, we couldn't lay off the reader e-mails after all.) Paul writes:
  "I believe Vista has a lot offer to offer to users of all levels. 
    The pervasive search throughout is hands-down my favorite feature. It is very 
    well integrated, fast and accurate. Sure, you can have this experience today 
    with Windows XP through Windows Desktop Search or Google Desktop, but with 
    Vista it is baked right in. A big thumbs-up to Microsoft on this point. Vista 
    does offer a lot more usability improvements in the overall shell experience, 
    too. I find that most people struggle with Vista simply because it appears 
    to be different from the XP experience. If you look closely, however, the 
    shell changes are more evolutionary than revolutionary. 
  "I would be interested to see your magazine and editorials highlight 
    the positive changes and how they can impact users of all levels. It is clear 
    that the sales numbers aren't matching expectations at present, but enough 
    of the negativity, please -- let's start focusing on the positive and the 'road 
    ahead.'"
But, Paul...the negativity's so much more fun! All kidding aside, we don't 
  actually want Vista to fail. So, in the interest of focusing on the positive, 
  we'll not run the negative Vista e-mails we got this week (even though they 
  do outnumber the positive ones these days). In fact, here's another e-mail from 
  a Vista fan, Eddy, who -- and this is the first time we've heard this -- doesn't 
  like Office 2007:
  "Every workstation on our network is running Vista. We have no problems 
    or compatibility issues with it and love it. Now, Office 2007 is another matter. 
    Whoever made the decision to remove the traditional navigation menus and switched 
    to the new format should be shot on sight. Office 2007 has a huge learning 
    curve that was not necessary."
Shot on sight. Eddy doesn't mess around when it comes to productivity suites. 
Have anything to add on Vista or Office 2007? Add it at [email protected].
 
	
Posted by Lee Pender on July 20, 20071 comments
          
	
 
            
                
                
 
    
    
	
    Squarely in the "in-case-you-missed-it" category, 
here's 
  a story on last week's Partner of the Year awards doled out at the Microsoft 
  Worldwide Partner Conference in Denver. 
Out of curiosity, what do these awards mean to you? If you're a partner, do 
  you actively try to win them or partner with companies that have won them? And 
  if you're in IT (and we know you're out there reading), are you more likely 
  to partner with a company that has won an award? Let me know at [email protected].
 
	
Posted by Lee Pender on July 19, 20070 comments
          
	
 
            
                
                
 
    
    
	
    Well, here we go again. The European Union, not content to have already hammered 
  Microsoft with 
all 
  sorts of fines and other hassles (which 
Redmond 
  has appealed, of course), wants more. This time, "people" (we 
  just love 
Bloomberg's 
  headline on this one) say that the EU is going to look into Microsoft's 
  dominance in the word-processing and spreadsheet games. And if "people" 
  say it, it must be true...right?
The EU's main beef seems to be with interoperability with productivity suites 
  that compete with Office -- specifically, for instance, whether Microsoft is 
  making it too hard for developers of, say, StarOffice to let their product handle 
  Word documents and Excel spreadsheets. 
Microsoft counters with its Office Open XML format, which was cruising through 
  various certification organizations on its way to becoming a standard (having 
  already been accepted by at least one) -- until this week, when things hit 
  a bit of a snag. Regardless, Microsoft says that OOXML and its thousands 
  of pages of documentation make it possible (if not necessarily easy, we'd hasten 
  to add) for developers of rival systems to create interoperability with Office 
  formats. 
We're all for interoperability here at RCPU, and we're all for anything that 
  makes it easier. But we're not for excessive government intervention into anybody's 
  business or products -- and we're not for measures that weaken intellectual 
  property. So let's see what rivals have to say about Word and Excel and how 
  legitimate their claims seem (although we suspect there will be nothing new 
  under the Eurosun). Our guess is that this whole episode amounts to more Microsoft-baiting 
  from the EU and Redmond's rivals...and more multi-figure paychecks for corporate 
  lawyers.
 
	
Posted by Lee Pender on July 19, 20070 comments
          
	
 
            
                
                
 
    
    
	
    Those of you who remember the gilded age of the late 1990s (and before) will 
  simply love an article that's been circulating on the 
21 
  biggest tech flops. 
Our favorite tech flop (which did make the article) is speech recognition software, 
  if only because your editor got a bit of a scoop at Comdex some years back by 
  reporting that Microsoft wouldn't be including speech recognition in whatever 
  the next version of Windows was at the time. Hey, it might seem ridiculous now, 
  but it was pretty darn exciting at the time.
What's your favorite tech flop? Drop me a line at [email protected].
 
	
Posted by Lee Pender on July 19, 20070 comments