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Microsoft Earnings: So What Went Wrong?

Microsoft bean counters are facing two problems, and the first is the economy itself. That albatross is dragging down everything and anything. But Redmond also faces weakness in the PC sector, where there's a fairly saturated market. (How many working PCs do you have? I have nearly a dozen!) Then there's the Vista problem. Many who would like a faster machine believe that Vista is slower than XP, no matter how many gigs of RAM you throw at it.

The result? PC sales are flatter than a squirrel on Highway 40 in Tennessee.

My guess is that PC sales will stay sluggish for the rest of year, then literally explode when Windows 7 ships. Why do I think this? Because you, the Redmond Report, reader told me so!

Posted by Doug Barney on January 23, 2009 at 11:53 AM


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