Microsoft's midlife crisis

Citation

(2006), "Microsoft's midlife crisis", Strategic Direction, Vol. 22 No. 3. https://doi.org/10.1108/sd.2006.05622cad.002

Microsoft's midlife crisis

Microsoft’s midlife crisis

MurphyV. Forbes (USA), 3 October, 2005, Vol. 176 No. 6, Start page: 88, No. of pages: 5

Purpose – To spotlight the problems affecting software giant Microsoft. Design/methodology/approach – Reports on how Microsoft is suspected of becoming increasingly bureaucratic and unwieldy, dependent for profits on its Windows software and other desktop applications, developed ten years ago. Looks at how Apache, Google and Yahoo! are beginning to outperform Microsoft; quotes employees on how the organization is suffering a mid-life crisis; illustrates with examples. Describes the ways that Steve Ballmer (chief executive) is attempting to restructure Microsoft in order to encourage both accountability and flexibility; highlights how splitting Microsoft into seven divisions has resulted in the creation of rival fiefdoms and, among other things, is delaying the release of the next version of Windows. Looks at how Steve Ballmer is urging employees to become more customer-centred and to concentrate less on internal affairs; touches on whether Microsoft is in a position to win the war of the web. Originality/value – Presents further evidence of the challenges facing Microsoft.

Style: ViewpointISSN: 0015-6914Reference: 34AW930

Keywords: Business performance, Computer software, Internet, Organizational structures