Microsoft seems a little like its a bit of a wounded animal lashing out at its tormentors. Microsoft is by no means finished - it would be naive to argue otherwise - but it does appear weaker.
At the moment the wounds are fairly minor - Apple and Google are eating into the marginal non-corporate user base of Office - but even some corporates are reviewing their IT strategies.
As others have said, Microsoft have made a mistake in not releasing a version of Office for iOS or Android. The Surface (Pro) is their attempt at grabbing some of the market for productive tablet users. So far that hasn't worked too well - time will tell if the new version performs better.
If home users (in particular) have no need for a PC at home because they can undertake the simpler home-based office tasks, like writing letters, on a tablet they will be less inclined to replace that machine and certainly less inclined to buy/subscribe to Office for occasional use, never mind not buying a PC with a Windows licence on it.
If tablet users then become more ensnared in the corresponding ecosystem for their tablet, whether iOS/OSX or Android/Chrome, they will lose both sources of revenue forever.
Not only that, but as younger generations go through school and college not using Windows or Office (using iPads or Android tablets instead), they lose a major source of new users. Obviously many will still need to use Windows and Office in their careers, however it may not be their first/natural choice.
Microsoft can thus see a number of scenarios that result in a medium/long term decline in users and revenue. That must be quite scary and makes having a success in the tablet market absolutely essential. If Surface 2 fails to gain much traction, there's a danger that commentators will start to write them off and negative perceptions will grow. That does not bode well.
There is a place for Microsoft in the future, it's just not as lucrative or profitable as it has been. There are plenty of carcasses of once-mighty tech companies lying around to show that it can happen to anyone.
At the moment the wounds are fairly minor - Apple and Google are eating into the marginal non-corporate user base of Office - but even some corporates are reviewing their IT strategies.
As others have said, Microsoft have made a mistake in not releasing a version of Office for iOS or Android. The Surface (Pro) is their attempt at grabbing some of the market for productive tablet users. So far that hasn't worked too well - time will tell if the new version performs better.
If home users (in particular) have no need for a PC at home because they can undertake the simpler home-based office tasks, like writing letters, on a tablet they will be less inclined to replace that machine and certainly less inclined to buy/subscribe to Office for occasional use, never mind not buying a PC with a Windows licence on it.
If tablet users then become more ensnared in the corresponding ecosystem for their tablet, whether iOS/OSX or Android/Chrome, they will lose both sources of revenue forever.
Not only that, but as younger generations go through school and college not using Windows or Office (using iPads or Android tablets instead), they lose a major source of new users. Obviously many will still need to use Windows and Office in their careers, however it may not be their first/natural choice.
Microsoft can thus see a number of scenarios that result in a medium/long term decline in users and revenue. That must be quite scary and makes having a success in the tablet market absolutely essential. If Surface 2 fails to gain much traction, there's a danger that commentators will start to write them off and negative perceptions will grow. That does not bode well.
There is a place for Microsoft in the future, it's just not as lucrative or profitable as it has been. There are plenty of carcasses of once-mighty tech companies lying around to show that it can happen to anyone.
