Microsoft – Built it, but they still don’t come.

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On its own, Windows 8.1 is not going to solve the problem. 

  • Microsoft has launched the public preview of Windows 8 at its annual developer Build event.
  • Windows 8.1 addresses some of the user issues around Windows 8 but does not solve the big ones.
    • Most users know what Windows 8 exists but have no clue why they should buy it.
    • Windows RT very limited in terms of what it can offer and confuses users with regard to what Windows 8 can, and cant do for them.
  • Windows 8.1 offers the return of the start button as well as the ability to boot to the desktop.
  • These are cosmetic but the integration of SkyDrive and Bing Search deeper into the user experience, is a more important step forward.
  • Windows 8 is beginning to offer things that Apple does not and because SkyDrive is far more mature than iCloud, the overall experience is much better and richer.
  • However, Apple is not the problem.
  • The problem is that users don’t care and they don’t care because they have no clue of what Windows 8 can do for them.
  • In this regard Microsoft remains completely at sea.
  • It seems to have no clue how to tell potential users how great its new user experience is and is blissfully unaware that there is a problem.
  • The shine has come off Apple’s brand a little bit with it being much less cool than it was but the Apple stores are still full and Microsoft’s empty.
  • Something needs to change to engage the users and a series of excellent new functions is not going to cut it.
  • This is because the vast majority of users will have no clue that these features exist until Microsoft gets out there and shows them.
  • Furthermore, the mess and confusion that is Windows RT needs to be sorted out.
  • It needs to be properly folded into Windows 8 such that the only choice that a user has to make is based on performance, battery life and price.
  • Unfortunately, I am reliably informed that this will be very difficult to achieve and so I can see ARM making no headway in the PC market whatsoever.
  • For an organisation with the size and power of Microsoft, there is very little that’s impossible to achieve and so I am hopeful that the coming shakeup of management might bring in a change of thinking.

RICHARD WINDSOR

Richard is founder, owner of research company, Radio Free Mobile. He has 16 years of experience working in sell side equity research. During his 11 year tenure at Nomura Securities, he focused on the equity coverage of the Global Technology sector.