logo
  Join        Login             Stock Quote

Is Microsoft Corporation (MSFT) About To Become Microsaurus Nixed?

 April 04, 2013 04:33 PM
 


(By Rich Bieglmeier) The financial web pages are buzzing with a proactive claim from Gartner research, "Microsoft Could Be Obsolete By 2017." Screech to halt, put in a reverse and say what? Does Bill Gates know about this? 

Slumping PC sales in the face of rising tablet and smartphone sales are the basis for the Mayan like prediction. Gartner says Notebook and Desk Based computer shipments will fall 7.63% in 2013 versus 2012. The slowdown will slowdown in 2014 with shipments falling 4.10%. By the end of 2017, Gartner forecasts that PC sales will be lower than 2012's total by 20.41%. R.I.P. PCs and Microsoft Corporation (MSFT)? 

[Related -Fusion-IO, Inc. (FIO): Can Fusion-IO Q2 Results Cheer Street?]

Smartphones appear to be flattening out with anticipated 2013 growth 7.42% and a lowly 3.94% for 2014. No wonder Apple (AAPL) is struggling; however, tablets should offset the hit eventually for the one-time darling turned goat for every fund manager. 

Global demand for tablets is expected to grow by nearly 70% this year, 34.75% in 2014, and 303% by the time the calendar flips to 2018. In fact, the research firm predicts that tablets will outsell PCs, nearly 2:1, by 2017. 

Since tablets look like the name of the game in the next few years, iStock decided to look at Google Trends to see how Microsoft's Surface stacks up to Apple's iPad and Samsung's Galaxy. Is the tech device with the snappy commercials that rival Disney's High School Musical – what's the point? – making inroads on the competition? 

[Related -Microsoft Corporation (MSFT) Earnings Preview: What To Watch In Q2 Results?]

Two letter answer – No. Like you didn't know that already. 

According to Google trends, "iPad" is still the king of worldwide Google searches. During the last 90-days, however, queries for the iPad have fallen about 20%. The folks in Redmond Washington are obviously hoping to pick up some of that slack, ahh, but no. During the last three months, online interest (as measured by Google Trends) in MSFT's Surface has flat-lined, starting the 90-day window with a score of 7 relative to iPad, end ending at 7. 

Now, we do think that Microsoft has a chance to overtake Samsung's Galaxy Note as Surface searches have made contact with Note, but haven't been able to get over the hump, yet. 

iStock is of the mind-frame that he/she who rules content will rule the tablet/wireless roost. As we have seen with smartphones, the device will just become the conduit for content via apps, streaming video, word-processors… Eventually, the tablet will meet the same fate. 

Overall: iStock isn't ready to say Microsoft Corporation (MSFT) is about to go the way of Dinosaurs; however, we do think the company needs to something bold to alter the tablet landscape, perhaps purchasing the likes of a Netflix, Inc. (NFLX), or teaming up with somebody like Time Warner Inc. (TWX)/ DIRECTV (DTV) to bolster their content offering.

iOnTheMarket Premium
Advertisement

Advertisement


(1)
 
4/4/2013 7:03:40 PM
Not looking at the whole picture there cupcake by Chad Howe
They are reviewing the clients that are used to connect to servers that run Microsoft software on the backed. The iPad is great at doing collaboration tasks but only if it is using a Microsoft Exchange Server. You can't judge a book by its cover would be appropriate here.
Rating: (4) (0)
Post Comment -- Login is required to post message
Name:  
Alert for new comments:
Your email:
Your Website:
Title:
Comments:
 

rss feed

Latest Stories

article imageIntel Corporation (INTC) Q1 Earnings Preview: A Business in Transition

Intel Corporation (NASDAQ:INTC) plans to post its first quarter earnings results promptly after the market read on...

article imageFord Motor Company (F): A long Road to Deutsche Bank’s $19 Target

Ford Motor Company (NYSE:F) is going the right way on a one way street where most everybody else is driving read on...

article imageCitigroup Inc (C) Q1 Earnings Preview: Too Many Parts Heading South

Citigroup Inc (NYSE:C) will issue its first quarter results via press release at approximately 8 a.m. (ET) read on...

article imageFacebook Inc (FB): You Might Not Like It Today, But You’ll Like It Tomorrow

Do you honestly want to invest in stocks right now? It sure looks like the bull market is at least on read on...

Advertisement
Popular Articles

Advertisement
Daily Sector Scan
Partner Center



Fundamental data is provided by Zacks Investment Research, and Commentary, news and Press Releases provided by YellowBrix and Quotemedia.
All information provided "as is" for informational purposes only, not intended for trading purposes or advice. iStockAnalyst.com is not an investment adviser and does not provide, endorse or review any information or data contained herein.
The blog articles are opinions by respective blogger. By using this site you are agreeing to terms and conditions posted on respective bloggers' website.
The postings/comments on the site may or may not be from reliable sources. Neither iStockAnalyst nor any of its independent providers is liable for any informational errors, incompleteness, or delays, or for any actions taken in reliance on information contained herein. You are solely responsible for the investment decisions made by you and the consequences resulting therefrom. By accessing the iStockAnalyst.com site, you agree not to redistribute the information found therein.
The sector scan is based on 15-30 minutes delayed data. The Pattern scan is based on EOD data.