Monday, February 25, 2008

Because the Last Aquisition Went So Well...

Check-in on Yahoo: BusinessWeek has a small take on Kevin Johnson's message to Microsoft and Yahoo employees. A number of articles have been posted putting this email in the light of "we're not going to be firing anybody! Please, don't leave, we luv you all and we have someplace to squeeze you in!" After our own CEO basically lied to his own senior leadership regarding the Yahoo acquisition, I'm not buying anything they are selling because their agenda, whatever it is, is built on misrepresentation. Or shooting from the hip.

Besides, of course, I want folks fired due to my original agenda; plus, the Yahoo Peanut Butter Manifesto probably pointed to more than just 1,000 Yahoo folks needing to find a better place to work.

Reading Mr. Johnson's email, I have an image in my head of John Wayne from McLintock, reassuringly saying in this case, "Somebody needs to fire ya, kid. But I'm not gonna fire ya. I'm not gonna fire ya. ... The HELL I'M NOT!" *biff* Or, in this case, *RIF*

A Couple More Perspectives:

From the Field: a welcome message from the field in this comment:

Working in the field and not in the US, I sometimes cannot relate to the comments that are heavily oriented at the minority of peopele working in MS which is dev. And maybe this is part of the MS problem? SMSG is swarming with people and due to the "Keep your scorecard green" culture that came with Kevin "thank you for all that you do" Turner, managers are not managing and coaching people anymore. Every day I see people that should be empowered to do business staring into their spreadsheets in order manipulate Siebel (yes we use that utter crap CRM system still) to keep the scorecard green instead of going out to meet the customers. Many MS people in (i think especially in services) miss the "techy" culture where we doing good things for customers, making them successful. Now all we get "Why is your scorecard yellow, just fix it".

Dirty aQuantive laundry: a very revealing comment worth reading in full starts with:

I'm no longer with aQuantive, I now work for a great team in MS. I was threatened not to talk, but my story needs to be told, to some people higher up who believe that they can integrate Yahoo, I believe that they can, but they have to hear what is happening to Microsoft's ad serving business, which will save the company years to find out, it will be too late once they realize. The engineers at aQuantive are great, some of the best, but the central nervous system doesn't exist, this is Microsoft's managements responsibility, and it could cost us the leadership in the ad business. [...]

Classy, real classy: I'm sure anyone who had ran Vista at work looked at the Vista Capable stickers on machines they wouldn't buy for their Mom and felt bad regarding the misrepresentation of those machines' capabilities. Even some of our VPs expressed their strong dislike (d'oh, [shake fist] damn you email discovery!). Now we're up for a class action lawsuit and I'm really interested to see what kind of leg we have to stand on here. Fighting to justify this poor decision doesn't rank up as high on the Bozo Meter as trying to defend browsing technology as being a core OS component, but it's close.

Rory Blyth channels Mini: Windows Live Writer Team and Microsoft - where Rory is put over the edge when Live Writer - a delightful blogging application I adore (and makes me wonder if my hatred of .NET apps is misplaced) - gets ruined by being wedged into a Live Suite installer infrastructure. Rory is no longer with Microsoft and he doesn't hesitate to load up both barrels and let loose. A little later in the comment stream:

What happened to me is I worked for Microsoft for three years. You didn't read the post in its entirety, so you may have missed it, but I wrote that this isn't just about Live Writer - it's about Microsoft's approach to user experience in general.

I saw - and was subject to - so many dirty tricks on the inside. There's a constant battle between the stupid people and the smart people, and the stupid people do quite well. Probably because stupid people are scared of the smart people and do whatever they can to get more stupid people to work at Microsoft. A good way to retain your power and position is to ensure you aren't being challenged by other employees.

The sad thing is that I'm not exaggerating.

The company is bloated. I said myself that firing tens of thousands is cruel, but when you have managers for managers for managers for managers for managers for managers and managers for them, you have something ridiculous.

Firing tens of thousands of Microsofties? Allow me to raise my hands in the air, wave them about, and yell out, "Hallelujah brother, praise the RIF!!!"

Mid-year career discussion is upon us and now is an ideal time for you to update your resume and assess where you are and where you are going. Want a raise? Secret to Success, rule #1: the best way to get a raise is to change companies. Bar none. So update that resume and see what kind of follow-ups you get. Perhaps you're an eagle trying to soar with the turkeys... if so, some parting advice from one of our commenters:

I left months ago and am so glad I did. MSFT has a bunch of great achievers drowning amongst a gaggle of whiners who want top pay and work-life balance but don't want to work hard to achieve anything. Until you get rid of the latter, you wont' get top performance out of the former. The people who want challenges in life and to achieve something will just continue to get fed up and leave. It's sad. If you are there and frustrated there are many alternative lives you could be leading happily elsewhere. Go, it ain't that scary and you'll never regret it. Stay and you'll wake up at 45 yrs old (how many 45+ people do you see around you, eh?) sad and feeling empty. Go, leave, it's okay and you'll stop feeling so angry and abused.

Posted by Who da'Punk at Monday, February 25, 2008 85 comments

Sunday, February 17, 2008

Some Quick Quips - Yahoo, #86, and MSPoll

Just some quick quips:

yahoo... Sorry, I can't get up the enthusiasm to put the exclamation point into Yahoo anymore. So this past week had a number of voluntary and involuntary exits from Yahoo. Mr. Yang calls out, "White Knight? Anyone? Anyone?" and the Yahoo board gets restless.

An interesting bit comes from Joe Rosenberg in Barron's. The summary? Microsoft bid for Yahoo makes no sense. Some interesting snippets:

"It's a bad refection on Ballmer that he's willing to pay a ridiculous price for Yahoo. Microsoft is not going to earn anything like a reasonable rate of return in Yahoo," Rosenberg was quoted as saying.

:

Asked if it wasn't a strategic necessity for Microsoft to buy Yahoo, Rosenberg said: "I don't buy that. Yahoo would significantly dilute Microsoft's returns.

"Ballmer is a great operating man but he lacks financial acumen. He ought to be thinking more of Microsoft employees who own a lot of Microsoft stock and have nothing to show for it in many years. If the stock doesn't start doing better, Microsoft will lose good people."

Thank goodness someone is actually thinking that employees would react to the stock price, because it seems to be a foreign concept to our leadership. I can't make jokes about Golden Handcuffs anymore because most people at Microsoft don't know what the hell I'm talking about. I have not seen Microsofties so loose in their sockets since I joined years upon years ago.

Agent 86: Would you believe... that Microsoft has dropped down to #86 within the Fortune Best Places to Work survey? That's down from #50 in 2007 and #42 in 2006. Like a rock. In a bad way. And who is #1 for two years in a row? Grab that chair and give it a big effen toss in the air to Google! Toot! They get bigger and they're still #1.

(Oh, and Yahoo is attached to our hip at #87. I guess we're more alike than we knew.)

LisaB tackled the #86 issue this past week. Kinda. But I've got to wonder: if you sat down a bunch of hard-working, valued Microsofties in one room, and executive leadership in the other, and put down some simple questions like, "What would make employees value working at Microsoft even more?" I'm pretty sure the answers would have a wide gap between them.

The return of the towels was a symbolic admission to stupidity. The Bread and Circuses of various subsequent benefits doesn't align with what Microsofties need to be obviously valued and to have a great career at Microsoft that is satisfying. What would you want to see Microsoft do about addressing being a great place to work?

My #1 request has got to be to make Microsofties mobile. Intent to interview was a great first step. Now, just let people interview. If they get the job, their management learns they need to start a transition plan. Leaders might actually start managing their teams as if retention matters.

Right now, given Mid-Year Career Discussions, my #2 request is to boot all the friggin' tools and go back to the Microsoft Word form, all a part of streamlining career management at Microsoft. We're about to spend a couple of months in tool hell, have a big CSP codified discussion that may or may not align with the reality of your group, and then in three months do it all over again for the major review cycle. I seem to spend my life in calibration meetings and managing tools and asking HR-IT to fix bungled work-flow and whacked-out permissions. I need a "I'd rather be shipping features that make money" license plate holder. As do many of my team members.

My #3 is too intangible to tackle here, but it's more around gearing Microsoft to be a team-focused company culture, not the lone-rock-star-wolf. Yes, still reward the rock-star contributors, but also reward the teams that produce great results that they've committed to, and punish and don't reward dysfunctional teams that don't deliver.

Oh, and return the old ESPP and up the 401k match to be something stellar. Worried about cost? Headcount reduction works wonders.

MSPoll: Oh, and if you have ideas but don't feel like sharing them here, you can at least achieve some catharsis in writing your thoughts up in the upcoming poll. Maybe when it goes online we can find a few questions to hammer on to make a (useless?) point. I can tell you, with the Yahoo acquisition still in play and the impact that it's had to the stock and the reputation of Microsoft, I've got to say the question addressing "this company is headed in the right direction" should take a nosedive.

P.S. I'm going to mention Steven Sinofsky here (which I've avoided a lot, although I'm a great fan, because every time I think of typing something about him I hear in my mind batteries clattering down a wooden staircase and then imagine his angry, disappointed face appearing out of the shadows at the top of the stairs... scary stuff): so does this mean that Sinofsky is destined to be Mini-ized? Hmm.

P.P.S. Some executives moved around last week. One surprise departure, otherwise everything else seemed to have been whispered about for a while. Mr. Ballmer's email was interesting in that it seemed to imply that there was a whiff of accountability in the air with what was going on. Just a whiff.

Posted by Who da'Punk at Sunday, February 17, 2008 166 comments

Sunday, February 10, 2008

Microsoft's Yahoo! Acquisition is Bold. And Dumb.

Please, Yahoo!: fight to stay independent. Or at least tear yourself apart and pop a couple of poison pills to go out on your own terms before this goes much further. Yeah, I've got your double-suck cake for you: one layer Yahoo!, one layer Microsoft.

I was on the internal Microsoftie bandwagon that Steve Ballmer was steering not too long ago that an acquisition of Yahoo! didn't make sense for Microsoft. So when the unsolicited offer went through, I was like a whole bunch of other confused senior people looking around trying to figure out what changed and why this suddenly was the right thing to do and to bet the company on.

I recognize that huge change for the future is typically greeted with 95% critical negativity. People don't like to change and huge change is an immense leadership challenge, especially when the change is the right thing to do and very few can see that perspective. So I've done my best to be open and accept that Yahoo!'s acquisition by Microsoft is a good strategic move for Microsoft, for our customer's, for Yahoo!'s customers, the shareholders, and for Internet users in general.

I haven't gotten there.

In fact, this still seems like a real dumb idea, like a staggering drunk trying to prop himself on an unwilling and lame adversary who wouldn't mind seeing the drunk facedown on the pavement. The only arguments that are half appealing are those that suppose there's going to be a $110,000,000,000USD annual online ad-market, and Microsoft + Yahoo! gets a third of that market. Hand-waving, "The acquisition pays for itself!" Yeah, okay, give me that dream and a milkshake and at least I get to enjoy the milkshake.

Some interesting posts on this:

Of course there's one big thing I haven't touched on: headcount. Let's see, why did I start this blog? Oh, yes: Microsoft has become way too huge to be effective and nimble in the creation of focused, passion-driven software. Fourteen-thousand or so demoralized people thrown on the heap does not help in the least. That's the amount we need to go down, not up. What is this, Bizarro Microsoft?

Have you brought up HeadTrax recently to see how many positions report up to the top? Give it a go. And how many people report to the various presidents. Any surprises?

Microsoft absorbing Yahoo! doesn't make sense to me given the extreme overlap in offerings that neither Microsoft nor Yahoo! have been terribly effective at. How many success stories have there been lately at Yahoo!? I like their portal. I use their search on occasion (only when Live Search and Google give me disappointing results). And their acquisition of flickr was really good for them, along with not screwing flickr up (and flickr users, you gotta know Microsoft would be pretty hands-off of flickr, other than probably putting a Live ID sign-in bar or such on there).

The only argument I've heard that makes sense from a conspiratorial Machiavellian kind of angle is that this is an opportunistic move to bust and cripple the already lame business adversary we have in Yahoo! We don't really want Yahoo!, but rather see this as an opportunity to kneecap and sideline them, pointing out their vulnerability to acquisition and angering their frustrated shareholders into revolt, all while putting them under the microscope of the analysts, pointing out their various failed and marginal ventures. And some glimmers of potential. But mostly, Yahoo! continues to come up in an unflattering light as people scratch their head as to how they'd help Microsoft at all.

If the acquisition doesn't go through, Yahoo! certainly emerges with several broken bones and bruises. Rebuilding from that will be a struggle that will require drastic and draconian decision making.

And the MSN, search, and ads folk at Microsoft certainly shouldn't be too proud right now, because you guys are under as much scrutiny as Yahoo!. Why are we proposing blowing $22,000,000,000USD in cash and going into debt? Because Yahoo! has something done right - relative to us, according to our leadership - that you haven't been able to do. Is there a Microsoft online-services leadership shake-up coming? One can hope. The fact that we've initiated this acquisition, for whatever reason, means that the people in charge haven't been able to deliver and are not on a path to deliver. Accountability?

I do want to see the strategic importance in this huge, complicated take-over. I do want to believe. If this all about ads and the acquisition goes forward I need the influentials in Microsoft leadership to connect with me and convince me to believe that this is indeed the next important foundation for Microsoft. To tell you the truth, if you had pulled me aside when I was in school, holding court in the computer science lab, and whispered in my ear ala The Graduate: "online ads..." I would have laughed my geek butt off.

So Google gets to have the joke on me, but for us to bet the company and build Microsoft's future foundation on ads revenue? WTF? As someone who considers themselves a citizen, not a consumer, I want to create software experiences that make people's lives delightful and better, not that sells them crap they don't need while putting them deeper into debt. I'm going to be in purgatory long enough as is.

Yes, okay, we should have a team do an advertising platform and do it well, but the money chest can be better invested across the company, let alone avoiding going into debt and putting us on another spiral of doubt and angst in the stock market, all while dealing with anti-trust maneuvering in Europe.

The attempt to acquire Yahoo! is a bold move. But bold and dumb are not exclusive. Q.E.D.

Posted by Who da'Punk at Sunday, February 10, 2008 145 comments

Sunday, February 03, 2008

Microsoft and Yahoo! -- Stay on Target?

We Microsofties and Yahoos just entered some interesting times. Thank goodness we can take a break from talking about Win7 M1 leaks for a while. And thanks for the quality of comments in the previous post.

(Update: Google just posted about Yahoo! and Microsoft: Yahoo! and the future of the Internet - things are going to get real interesting.)

Here's a check-in on what TechMeme looked like at the end of the day on Friday the first. I'm not even going to begin to try to point to interesting articles: there is an abundance. Most cluster around "two wrongs don't make a right." Some are extreme in how bad an idea this is, and others are extreme in how good an idea this is. I like those that bring up the spirit of competition, saying that the combined entity would give a serious option to Google (which would help with prices) and that it would keep Google sharp and competitive (good for Google fans).

I've spent time checking in with various people I know to hear their opinion about the hosti- er - unsolicited offer and how it might impact them.

(I found out if you really want to piss some people off, send them an email with snarky Yahoo! questions. They've gone through disclosure and, man, they don't want to do that again. And I guess neither do I. So, no more electronic Y! trail there. Word to the wise.)

Reactions from most Microsofties: talk to me in a year.

No one anticipates anything happening by the end of this year, between the additional financial courting that might happen between Yahoo! and other suitors and then the subsequent complicated international regulatory phase. During a US election year, to boot. Here Nellie was getting bored and trawling through Office protocols. Consider this an early Valentine, Ms. Kroes. Mmmm-wha!

There's no way this is happening fast. Microsofties in groups most affected by a Yahoo! acquisition are plowing ahead, course unchanged, for the foreseeable future. No thoughts around brand or collaboration or nada. "Stay on target." Uh-huh.

Most engineers, as expected of engineers, see all the problems and that it's going to be a staggering mess, let alone that there are things that Yahoo! does way better than us and that our stuff should be dropped. Strategic optimists and those looking for a promotion will rebrand it as a synergistic opportunity to align our technological assets into a virtuous, hyper-competitive cycle to benefit our users, partners, and shareholders.

Get ready to find out what someone trying to make Partner or VP at Microsoft is all about, dear Yahoos. Be sure to ask about SPSA goals for a successful integration of Yahoo! and Microsoft assets.

At the basics, though, our imperial Lego blocks and their metric Lego blocks use very differently sized connectors.

I'm more concerned about the Yahoo! workforce. The talented remaining in the Yahoo! workforce, specifically. What a sucky week of events for them. Two weeks, really. Layoff rumors, bad financial results, layoff for real, and then a big corporation darkening their door, sans chocolates, saying that we're done with the sweet-nuthins-talk and it's time for my way or the highway. Well, actually, saying that it's time for my way or my way. What's a Yahoo to do? Wait it out, keeping things purring along? Start learning Windows Server, IIS, .NET, and Silverlight? Jump ship for a start-up, right in the middle of a looming recession? Damn.

Like I've said here over and over again, talent is talent and if you're good you can decide what you want to do and where you want to be. You're not locked into Yahoo! anymore than any Microsoftie is locked into Microsoft. It's a choice. And to feel good about your choice, you need to know and explore all of your options. There are no victims here. And the risk of that is that when the acquisition goes through, those left are those who either can't or won't find a position elsewhere. How much passion will remain? How do you keep the engagement going?

If we can help Yahoos explore Microsoft and it's culture, I'm happy to help. Realize this isn't the sunshine and teddy bear ice-cream parade site, though. I know little about Yahoo! culture so I don't know how different it is from Microsoft, although comments from former Microsofties tell me that its engineering groups aren't too different (which might be good and bad).

The Microsoft leadership also has to realize that the "Stay on Target" strategy isn't going to work for groups that heavily overlap with Yahoo! or would be replaced by Yahoo! implementations. On the surface, the coming year or two for a lot of online groups is looking like nothing more than a lot of angst, crap, and loss of momentum and brand. Why not dive into http://career/ and find something more rewarding? What's the reward for staying on target? It certainly looks like a bold opportunity to break through, but it has to be recognized as such and driven as such. Otherwise, it becomes the elephant in the All-Hands that starts chasing people out of the group, looking for a vision and hearing none.

And then: Ballmer. This will certainly serve as a transition out of the Gates era. Is Ballmer an Ahab figure, chasing the white whale of Google once and for all by roping two whaling ships together? If I write a book on my years at Microsoft one day, will it start out as "Call me Mini," as I reflect on the Microsoft flotsam and jetsam swirling around the world? I hope not. This will serve to define Ballmer, however. All online decisions and strategies have led to this point. And the scale of leadership required to pull success out of this bold move is, to tell you the truth, beyond any accomplishments I've seen so far. I have hope, but not much to back it up.

Oh, and this pretty much puts on the kibosh on any other big acquisitions for a while. So no need to speculate about Microsoft buying Adobe or anything like that. For now. One less thread for the rumor mill.

(Update: s/Yahooligans/Yahoos/g per comment. Added TechMeme link to Google's shot across the bow.)

Posted by Who da'Punk at Sunday, February 03, 2008 139 comments

Friday, February 01, 2008

Microsoft + Yahoo! = Microsoft - $44,600,000,000 ?

Oy.

My first reaction: "That's a lot to pay for flickr."

I'm surprised yet not surprised. Internally, a number of us had heard reasons from Steve Ballmer why a Yahoo! acquisition didn't make sense. One that sticks in my mind right now is how if we acquired Yahoo! - such a big company - we'd have to naturally have layoffs within Microsoft to accommodate it.

Maybe there are HR people wandering around Microsoft this morning asking, "What color slip did you say? Pink?"

Man, if I was in the Online Services Division I would be worried. Especially if Yahoo! did something my team did and did it well.

I guess you can track down the 10:00am meeting and see if you can get your question answered.

Forty-four point six billion US dollars. In long hand: $44,600,000,000 USD.

So, if your team is naturally at risk due to the acquisition I would start checking in on your local network and see what's going on elsewhere in Microsoft. If there's someone within Microsoft you've always wanted on your team that has some turbulence ahead due to the acquisition (yeah, I know, Ballmer's telling us "stay on target") check in with them and tell them the groovy things your group is doing.

If the buy goes through, it will be one huge turning point for Microsoft: I think we'll either turn it around brilliantly and our mega-investment will be worth it, or we'll be torn asunder and revert back to our core cash cows. It will be a story worth telling, one way or the other. In the meantime, that big huge money-chest is going to go empty, and that might bring a new sense of clarity to our operations.

Initial posts:

(more later.)

Posted by Who da'Punk at Friday, February 01, 2008 204 comments

Wednesday, January 23, 2008

Microsoft FY08Q2 Results

FY08Q2: As always, my favorite post-analysis sites for the results:

At a simple level, I feel anything that Microsoft reports is like spitting in the wind during the current financial storm. I'll be interested in hearing if we have anything encouraging to say as being a safe-haven for investors during this period, given the current releases and the upcoming releases.

Mr. Todd Bishop has a preview and nails my concern about the analysts concern of our forward looking statements. Also - though I doubt it will come up except as a generalized catch-all warning - with the EU feeling us up again to try to figure where we moved our wallet to, we have more legal uncertainty to deal with.

Update: After the release...

FY08Q1: ba-da-Boom!

FY08Q2: ba-da-BING! (or should that be, "ba-da-Cha-CHING!"?)

Channeling an upbeat attitude that could be heard as, "no, really, our poo doesn't stink," Mr. Liddell got to take lead on one of the most positive and reassuring Microsoft quarterly results conference calls I've heard in a long time. He expressed extreme pleasure over the results, as do I imagine every Microsoftie (unless you do want to point at the stinky poo of OSB and how E&D / Xbox has a deep, deep hole of billions to fill income into).

I'd say every time I heard an analyst try to give Mr. Liddell a soft-pitch opportunity to say something negative or overly cautious, Mr. Liddell was like, "Nope, things are going great, and will continue going great. Or greater."

Safe-haven for the investors' money, indeed!

Oh, and kudos to Jason Maynard for asking Liddell about the new EU actions and how that figured into Liddell's thinking. Not much of a meaty answer (well, most of the answers weren't very meaty) but it was nice to hear such a challenging question. I hope it comes up again during our Friday Town Hall Meeting in 34, though I wouldn't expect a more detailed answer.

Follow-up posts:

MSFTExtremeMakeover: Q2 FY08 Earnings. Snippet:

Short version: strong results, increased guidance, generally upbeat tone, and no really embarrassing items for analysts to question. Good job! Yes, online continues to be a sinkhole for cash. But everyone is used to that by now, and at least the top line result is semi-respectable. Yes, there's still no color on actual large scale Vista deployments. But at least client revenue and unearned remains solid. Bottom line, if last report was sufficient to get some investors to take another look at MSFT, then this one should attract others and perhaps reduce doubts that last time was merely a fluke.

Mr. Joe Wilcox: Microsoft Watch - Corporate - Microsoft Q2 2008 by the Numbers. Snippet:

Liddell's confidence may have something to do with where Microsoft makes its money. Just four years ago, the majority of revenue came from North America. Now, 60 percent of sales are outside the United States, Liddell said. For the quarter, Microsoft sales increased 30 percent in emerging markets, 20 percent in established markets like Europe and 15 percent in the United States.

Even if the U.S. economy slows down, overseas sales could offset any decreases in technology spending here.

Mr. Todd Bishop: Microsoft beats quarterly estimates, raises forecast. Snippet:

Microsoft's Online Services Business was the only one of the company's five divisions to post an operating loss for the quarter, $245 million in the red. The company's Entertainment and Devices Division climbed to a $357 million operating profit thanks to holiday video-game sales. Chris Liddell, the company's chief financial officer, said this afternoon that Microsoft is still expecting that division to be profitable for the full fiscal year, which ends in June.

And the general attitude of the rest of the reports:

Ba-da-cha-CHING!

Now, let's be sure we don't start slipping back to our old sloppy ways, because, well, our poo does stink. Just like everyone else's.

Posted by Who da'Punk at Wednesday, January 23, 2008 37 comments

Thursday, January 10, 2008

Raikes and Other Exits

Well, I should be sweating to the 80's soundtrack at the ProClub with about half of Microsoft that's trying to squeeze in there for January to burn off Christmas cookies, but here everyday that passes yet another exit hits us, and today we have a biggie...

Jaffe: Exits Microsoft dealmaker Bruce Jaffe going startup - shoot, why swing billion dollar acquisitions when you can be a billion dollar acquisition?!?!

Fitzgerald: Another of the Microsoft old guard moves on All about Microsoft ZDNet.com.

Raikes! Microsoft Announces Retirement and Transition Plan for Jeff Raikes, President of the Microsoft Business Division Company announces it has hired Stephen Elop from Juniper Networks; Raikes will continue at Microsoft through September 2008.

Wow, I'm surprised. I can understand that Mr. Raikes has had a long, long career at Microsoft, but as we wonder about the leadership in the upcoming (and no doubt somewhat dysfunctional) post-Gates era, my money was riding on Mr. Raikes to step up and perhaps be on the shortlist for running more of Microsoft. At least Jeff gets to go out on a high-note.

And of all of our leadership at Raikes level, I respect him the most. There's something more to him (there is something there there) that I admired when around him.

And Stephen "Who?" Elop? I found it ironic that while Mr. Ballmer in the announcement email was praising Mr. Raikes ability to recruit, mentor and nurture Microsoft leadership, Raikes was not being replaced by someone he groomed. I tell you, if I was a Raikes direct I would seriously be considering whether I was ready for a new challenge, at Microsoft or elsewhere.

The Market's reaction on Friday? MSFT Extreme Makeover has an interesting comment on this:

The [external] choice for replacement seems to have the right pedigree, but Raikes did a solid job with Office and was widely seen as the leading candidate for eventual Ballmer replacement as CEO. So I don't think the market is going to react positively to the news tomorrow.

Two more quick things:

CES: MSFT Extreme Makeover has a compilation of BillG and CES and a take on the $1,200,000,000USD acquisition of Fast Search.

Xbox departures: a commenter makes the following observation:

It's weird that Mini and all the commenters here have failed to notice the mass exodus from the Xbox team in 2007. By my count, more than 15% of the product team (dev/PM/test) have left Microsoft for Apple, Sony, Google, Yahoo, MySpace, Amazon, and various other companies (including several startups, local and in the Valley).

This is great progress towards a Mini-MSFT!!

(Though, it's mostly bad attrition and has some other negative implications you can work out on your own.)

The main complaint I hear about the games / Xbox area is things are drying up given the "show me the money" religion that's been adopted. Some pet projects (or just random projects) that had nothing to do with future profit have been disbanded. Man, I can't even squeeze out some crocodile tears for that...

Administrivia: expect more CRF'ing after that last post. Boy, did that suck given all the high hopes I had for positive, aspirational comments. I'm bearing a grudge. I'm human. I'm upping the moderation a bit more to be on-topic and less open to general gripes by anti-Microsofters.

Posted by Who da'Punk at Thursday, January 10, 2008 73 comments

Thursday, December 27, 2007

Microsoft's 2008 - What's Going Well?

Here we are, wrapping up 2007 and launching into 2008. I continue to believe that we're in a good transition time at Microsoft and that 2008 will help cinch that transition as some of the bigger products wrap up major development (Office 14, Windows 7). Trying to keep a positive vibe, I just want to share some of the things going on in and around Microsoft that I see as goodness. I'd like to know what you honestly think is going well, too.

Indulge in some praise, too, if you will. We can get around to the constructive criticism after we're settled into the new year. Drop by MSFT Extreme Makeover for a dose right now if you need a hit.

Competition: Praise the Lord for competition. Without some light to shine the way, we really tend to get lost in our own initiatives. Think of pre-reset Longhorn. Think of post-IE6 (Blake Ross, I've got a hug with your name on it). So I'm thankful for Google, Facebook, Apple, and Adobe. And Amazon. And Nintendo. And all those startups who show that good ideas don't take an army to deliver. And that design matters. And that everyday citizens have cash they'd like to spend, too, for quality products. If it wasn't for our competitors doing so well in their respective areas I'm willing to bet that we'd still being ignoring good design and consumer facing features. As of now, those internal champions have leverage.

Something I haven't seen before, especially around Apple, is a level of humbleness and respect when considering, say, what Apple is doing - and doing well - and how we can endeavor to do better ourselves. I haven't or heard much trash-talking around Apple, but rather aspirational discussion. That's great and makes me believe that we'll be able to deliver something that actually delights our users... and hopefully therefore our shareholders.

I've been bummed lately when our competitors screw up. Really. No schadenfreude here, as much as they do indulge in it in our direction. Yeah, I'm bummed when Apple's latest OS comes equipped with a Blue Screen of death and other failures. When Facebook starts upskirting all of their users' purchases. When Google potentially jumps the shark. I'm bummed because their great accomplishments serve as a big walloping stick to break through blockers at Microsoft (because there are still people convinced that the most secure, robust, solid features are those that you don't ship - not exactly a formula for success 100% of the time).

Their failures serve as excuses to keep on doing what we're doing, or less.

Surprise! Holy smokes, stop your grinnin' and drop your linen! I love my new Zune player. That's right, I'm having a blast listening to my tunes and podcasts on my little black 8GB Zune. I promised to buy a Zune when a solid-state Zune with wireless syncing came out. Now, I'm sure you iPod fans just had to spit out three mouthfuls of foamy indignation. Uncross your eyes and let me comfort you in saying that yes, the iPod is still better. When I picked up the very first iPod nano I was amazed at how it just worked. It was delightful. Not delightful is the decision I made years ago to rip all my music in WMA. Now I know all that is just one big transcoding script job away from being something else, but I'm sticking with WMA. And the Zune is my first WMA player (going through about five different players, all the way back to an Intel 64MB player I first owned) that just works right.

And I really enjoy the Zune desktop software. And I intend to rip off some of their UI designs. Imagine that! A Microsoft team ripping design ideas off of another Microsoft team. "Hello, Hell? How's the snow?"

Solid VS2008? When VS2005 came out, there was a series of negative reactions I noted, mainly around its IDE. Dealing with the VS teams quite often, I certainly know they did a major reset in the way they develop software post VS2005. Is it paying off? If so, will other teams adopt this level of engineering excellence to address issues they have in shipping solid features?

DRM die-off? Raise your hand if you love DRM. I don't dork with anything that has DRM because it's so incredibly rare that I've gotten that crap to work without a lot of manual intervention. How am I supporting the non-DRM initiatives? By spending cash buying MP3 albums as much as I can stand. Radiohead. Amazon. And even the Zune Marketplace MP3s (surprise, part II). Do you hate DRM? Show the DRM-free music the love, then. As expressed in cold, hard cash. Or dippy Live points. Put down the Rock Band guitar and go buy some classic tunes in MP3. This kind of success will help Microsoft detangle itself even more from the DRM monster (which, by inadvertently killing Plays-for-Sure, we're well on the way).

Translucency: I know there are a lot of customers, partners, and competitors who enjoy knowing everything going on with every little new Microsoft feature along the way. When it comes to translucency vs. transparency, I support putting the kimono back on and tightening it up, perhaps doing so in an enticing burlesque-style way, revealing only what we want to reveal. A little toe here, perhaps an ankle there...

Part of my support is obviously Jobs/Apple envy of being able to surprise people with a feature just being released. The other is avoiding embarrassingly-public screw-ups like WinFS or other big features we're going to deliver and then end-up cutting. I think we've stopped being the Britney of the software-news world, now we're aspiring to be the Angelina Jolie.

Obviously, we'll still be doing betas for Windows and Office so that by the time they are released everyone will be yawning about the by-then well-known features, but I hope we can pull-out a few surprises and underpromise and overdeliver. So: way to go IE8 team! And I'm looking forward to seeing the reactions at Mix08.

Not the Bad Guy? It's taken a long time, but I don't believe we are perceived as the Evil Empire anymore. Part of that went out when people decided, at least contextually, to bust apart our empire. Okay, fine, we're playing catch-up now (wink wink). Now the evil part starts fading based on the relative failings of other firms. This is a grand opportunity for Microsoft to follow a vision like the one that Mr. ... Mr. ... Mr. Ozzie shared with us (wow, my mind blanked trying to remember his name there for a second... not sure what that means) at the 2007 Company Meeting and be the good guy on the side of the citizen and their private information, making it protected and easily transportable so that you are assured that you own and have access to what's yours, even it if passes through our clouds.

(Administrivia: sorry for falling off the map, but it just plain hasn't been computerized happiness for me over the past month given a wonky Neomailbox email service [probably anything you sent to me directly from the middle of November for a few weeks got bit-bucketed] and a series of cascading hardware failures on the home network. This is the first time in a while I've gotten the "Mini" account going again vs. the minimal life-support it has been on. It's still rough going as I try to duct-tape things back together and bond with Notepad for a while. I guess I'm working through some karma here.)

Posted by Who da'Punk at Thursday, December 27, 2007 112 comments

Saturday, November 10, 2007

Low Hanging Late Harvest Fruit

Boot! Yoink! Yank! What does it take to be disappeared from Microsoft? We can only guess one day Stuart Scott was walking outside of his building when a black Escalade with VI0L8R plates pulled up, Ken DiPetrio swung open a door and said, "Get in." Along with, "Martin, scoot the hell over and make some room." It takes something pretty egregious - more than shipping Vista two years late - to get scooped up in the VI0L8R.

Some one was kind enough to drop a hint here back in October that Mr. Scott had some interesting antics going on. I have no idea what the reality is, though several comments are like the following:

No, Stuart was fired for the affair and the hostile work environment he created for women in his org. Great to see that HR finally did something about it, and that the reason publicized was company policy violation ...and not "spending more time with his family".

As we speculate about affairs and relationships at work, it's interesting to reflect that Microsoft has a unique history for singles at work given how BillG and Melinda met. Obviously not apropos to the married philandering type. But it makes for a fun lunch-table subject and probably a bit of an HR headache.

Now, just short of the VI0L8R seems to be the BUMZRSH treatment that Mr. Selberg mentioned recently of a Microsoftie friend immediately shown the door upon deciding to join Google. I agree with Mr. Selberg that you should always leave with your bridges well in place and with grace, and that this is a two-way street. But you know, I was thinking after reading this post: who do I know personally that's recently left Microsoft to join Google? No one. Weird.

Then again, maybe not. From the Newsweek Google story by Mr. Steven Levy:

Earlier attempts to hire veterans from firms like Microsoft had awful results. "Google is so different that it was almost impossible to reprogram them into this culture," says CEO Eric Schmidt. The difficulties led Google VP Mayer (employee No. 20) to wonder whether experience was way overrated.

Finally, one last departure: Jon Pincus. A lot of Microsofties interested in changing Microsoft's internal and external-facing culture rallied around Mr. Pincus, who has had quite the distinguished Microsoft career. He gets given crap sometimes for being different or a self-promoter, but I just have to wonder what kind of leader or change-agent isn't. Anyway, it's a bit sad for me to reflect on Mr. Pincus going quickly from being up on the big-screen several times at our 2007 Company Meeting to being shown that there was no home for him - and his refreshingly different spirit - at Microsoft. It shows that our increasingly bland golf-club leadership is satisfied with the status quo and that the Good Ship SPSA need not be rocked.

Mr. Pincus leaving at a time of dubious a dismissal and bad diversity attrition is a rotten seeping from Denmark, indeed.

If I had my druthers, I'd at least offer Mr. Pincus a position to be the Microsoft representative of goodwill to the Silicon Valley and Seattle local tech community and serving as the connection between The Outside and the generally protected Microsoftie product team members. I especially thought of this after reading Microsoft wants to add Silicon Valley as a friend. Snippet from the end:

Angel investor Tom McInerney, co-founder of the video site Guba.com, agreed: "Microsoft has been humbled a little bit. They've been forced to play nice. A cultural change has taken place with Microsoft. There is an acknowledgment that they are not the king of the hill anymore. And there is the looming concern that Google is the new Microsoft."

Has the big-huge aircraft carrier finally started the turn?

An Appropriate Home: reading Mr. Bishop from the Seattle-P.I. this week, I find irony in the reports that the Entertainment and Devices division - home of the billion and billion dollar loss leader Xbox group - is going to have its new home right on-top of the huge West Campus parking garage pit. Instead of something boring like P1 and P2, perhaps the parking garage levels (all painted in increasingly dark levels of red) can be named -1Billion, -2Billion, -3Billion, -4Billion, and -5Billion.

In all seriousness, now that Sony has capsized on the PS3 I expect that the next generation of Xbox will be designed to be profitable from day one.

Sunday update: Mr. Benjamin Romano in the Sunday edition of the Seattle Times has a larger article about the new buildings at Microsoft and the Microsoft expansion: Microsoft campus expands, transforms, inside and out. And there's a fun little interactive campus expansion map. An additional article on open workspaces: Microsoft strategy throws open the doors.

Not So Limited Kim - Not So!: I have great respect for Adam Barr, and we disagree over the whole Limited II (now 10% Situation II) career designation. He dropped by the last post with a couple of comments to reiterate that it's not a bad thing:

I continue to disagree with the consensus here on the alleged "Kim" situation. Mini, this is the one area where I feel you are actively promoting something which is factually wrong.

This is what I see:

1) Microsoft decided to bucket people for stock grants, and decided there would be a bottom 10% bucket.

2) The name chosen for this bottom 10% bucket, "Limited", was poorly chosen due to the connotations of the word--so it was changed to "10%".

3) The description of the bottom 10% bucket implied that Microsoft didn't see those people as having much value--this was incorrect, so Microsoft created a second definition to correct that (for some people in the 10% bucket, the original definition WAS accurate, so it is still available).

And more specifically, the change in #3 was done to AVOID people getting a more negative message than was intended...so I don't see why people are interpreting it as trying to force a more negative message and push the entire bottom 10% out of the company.

As always, I invite any Microsofties who want to discuss this more to contact me via internal email. Thanks.

I hope that people who don't believe it's a good thing (perhaps who have had their career Kimmed and maybe even left Microsoft because of it) will accept Mr. Barr's offer to follow-up 1-on-1 about the issue. And while I'd love to host a guest post on it here (really) I think this topic would also serve as a great cathartic use of InsideMS, should someone like Mr. Barr be ready to slap on the asbestos suit and give a post on the subject a shot. They'll need to be ready to explain why the following story is okay and in-line with expected results of the designation:

After being promoted a year ago, I was blindsided during this annual review period with the Kim label. I know exactly why it happened. It happened because I was caught on the wrong side of a spiteful, incompetent manager. That, after a 13-year career at this company, during which I'd received awards for my work, many 4.0 reviews, and steady promotions. Every other person who'd submitted feedback on my performance during the last annual review period had submitted positive feedback.

So does being slapped with that label make me a loser? I'll go ahead and answer that for you: No. Is it "good attrition" now that the team is losing me because of that review? I'll go ahead and answer that too: Um, no. With me, seniority and a great deal of valuable in-house knowledge are walking out the door.

So I'm lobbying and providing feedback wherever I can to encourage others to lobby for getting rid of the asinine 10%/Limited "Situation 2" label. If that label is being applied to others in the same way that it is being applied to me, the company will not have "good attrition" or "losers" going out the door. They will have long-time, great performers walking out the door. And for every one one of us who walks out the door, the company will need 3 or 4 lesser-paid junior people to do our work. It will take months, or perhaps even years, to bring the new kids up to speed, and they won't have the history or background knowledge that we do.

And every Kimstar who walks out the door will do so with resentment for this treatment after years of great service to the company. Since these people aren't "losers," they'll be hired by our competitors or initiate their own competing start-ups. You can be sure they won't be providing great publicity for their alma mater.

So before you label people "losers" because they received a "loser label," stop, step away from the keyboard, drop the chalupa, and think.

You just haven't been Kimmed yet.

Shareholders: reminder that the Microsoft Shareholders meeting is this Tuesday downtown. A webcast will be available.

Updated: added link to Mr. Romano's article about the campus expansion.

Posted by Who da'Punk at Saturday, November 10, 2007 291 comments

Wednesday, October 24, 2007

Microsoft FY08Q1 Results

Updated: I added a couple of more links regarding FY08Q1 coverage. Hey, let's look at today's opening number- Holy Beejeezus! (pop-pop - socks flying off feet): we're above $36?!?! Dear Microsoft Leadership: walk the halls today. If this stays up there, enjoy the glow and celebration of newly motivated employees, and get a clue again about what a big difference that makes.

FY08Q1 ahoy! As always, my favorite post-analysis sites for the results:

Things are looking mighty sunny going into the quarterly results: Halo 3, Microsoft acquiescence to the EU, Facebook investment (and a "win" over Google there), new Live Search technology, a new Live Suite, reblessed by Goldman Sachs, etc etc. The only bad news is the love that's going to be lavished on Leopard in the meantime.

Update: From my preferred top three:

(1) MSFTextrememakeover Q1-08 Earnings - has a nice break-out of the positives and negatives.

(2) Microsoft Watch - Corporate - Microsoft Q1 2008 by the Numbers - Mr. Wilcox has a call-out of something I found interesting, too, regarding revenue from emerging markets:

In another turnabout, Microsoft is seeing some effect from its antipiracy efforts. The change is significant, as PC shipments to emerging markets exceed those for mature markets. Windows sales growth increased in Brazil, India and Russia, among other countries. Growth in Russia exceeded 100 percent. I should point out that in some of these countries, Brazil being best example, Microsoft works with local partners to offer sales alternatives, such as Windows PCs purchased on a subscription basis.

(3) Microsoft profit rises 23%, beating estimates from Mr. Bishop.

Additional coverage (added 10/26/2007):

Jay Greene at BusinessWeek: Microsoft Results Turn Heads - a very nice, encouraging read from start to finish. Start: Despite reliable growth, Microsoft's unsexy stock has often failed to attract jaded investors. Its spectacular first-quarter earnings have changed that. Finish: Investors didn't even flinch at the online business numbers. And that may just be the thing that ends the long fallow period for Microsoft's stock. And lots of goodness in the middle, like the following snippet:

"The only reason this thing has been trading where it has is because of the bad psychology," says Charles Di Bona, an analyst with Sanford C. Bernstein & Co., who has a price target for the stock at $37. "Maybe this is the catalyst where people start to take notice and stop being bored with the stock."

Microsoft’s Billion Vista Bump - Bits - Technology - New York Times Blog Snippet: Nonetheless, a day after we marveled at the $15 billion value placed on the tiny business that is Facebook, this is a reminder that Microsoft, even if it is not so fashionable, has a business that makes real dollars and a lot of them.

Other interesting coverage:

"Growth stock." Nice to read that again.

My thoughts: all of this is great news. Late good news. But good news. The OS numbers are something we should have had coming in two years ago. The premium distinction looks like a good idea, confusing SKU backlash and all.

Here's my one and only ask to any powers in the universe: wherever Ballmer is, keep him away from any interviews or speeches for at least a week or so. Let us enjoy this time, this upswing, without him torpedoing the good news with some pessimistic warning.

The Q&A didn't hold much for me. There was a little bit of probing about SP1 and Liddell acknowledged that BigCos are waiting to deploy Vista based on the SP1, but I guess we don't care too much given that we have our money from them one way or another. No date for SP1 was provided (not that we don't know it already). There was a bit of pushing for OSB's date for profitability, too. Yeah. Right.

There was mention of our continued expense growth directly related to our headcount growth, but none of the analysts probed with respect to expense / headcount reduction. Guys!?!?!

And I think True Organic Margins has become some new financial reality distortion field for our numbers.

Posted by Who da'Punk at Wednesday, October 24, 2007 167 comments

Sunday, October 21, 2007

Promotion Velocity and Spin-off-Softs

Faster here, slower there: there have been a number of comments over the past about working in a place like Office or Windows being detrimental to your career advancement.

"Is it reasonable to think moving out of Windows would increase one's career velocity?"

Quite possibly. My skip-level manager in Office even talked in a team meeting once about the slower promotion schedule in our organization. Of course, it was spun as "being a level 62 here actually means something" instead of "equally skilled employees are paid less here".

Well, if you're working with a bunch of senior folk who have been doing the same thing for five, ten, or more years, yeah, not a lot of room is going to open at the top without the organization forcibly rototilling itself on occasion. I have ad-hoc mentored folks at the 59 and 60 levels in large static orgs and while their management said that the HR study came back with their org's promotion velocity is no different than the rest of Microsoft, some of those folks (fine, solid contributors) had been at their level twice as long as what my part of the company deems acceptable (e.g., if you're a 59 in product development for more than a year, there must be a problem).

The fastest promotions that I've seen have always come when you join a new group going through explosive growth. Usually the opportunity to shine happens when a new group needs multi-discipline impact from everyone, and those that can do it and not have to exist within a narrowband get to break-out and get exceptional, promotion-worth results. Too bad after steady-state arrives at this group you typically get back into your narrowband of responsibilities.

For product groups, I think if you're looking to reach a leadership level of Dev / PM / Test Manager or above, you really need to have several careers at Microsoft in very different groups. What mix do you think does it? One mix I can think of would be (1) Dev Div or SQL, (2) Office or Windows, and (3) a connected group like Live or MSN.

Many Microsofts lead to Spin-off-'Softs? Could implementing the Many Microsofts loosely coupled culture enable us to break-loose and break-up? This comment came in:

Mini – I think you prayers may finally be answered. Check out this interesting article about the future of MSFT.

http://www.marketwatch.com/news/story/more-evidence-microsofts-going-way/story.aspx

Interesting article (spoiled a bit when a later comment pointed out it was by John Dvorak. D'oh.). Anyway, if you wanted to lay down the structure to break-off chunks of the company, ensuring that they become more autonomous and decoupled from the bigger picture is a big first step to take. In Dvorak's take, though, it's a bunch of little chunks, not huge-honkin' divisions, getting spun off. Mr. Dvorak has interesting point-of-view on a recent Ballmer interview:

After you read this sappy interview, it was easy to conclude one of three things: Ballmer is getting fired, Ballmer or Gates have some illness, or the company is going to radically change and things won't be the same.

If anything has a snowball's chance, it's #3. Pffft! Now just a steam-ball due to the word 'radical.' Beyond this but including it, MSFTExtremeMakeover has a new post, too: What if Microsoft wasn't a screwup? As always, it's a splash of cold water:

...primarily it's the post 2000 track record of poor "bets", even poorer execution, and chronic overspending, all of which come together in the lack of visibility wrt future earnings leverage. Hence the reason why even after five years of this stock going absolutely nowhere, $50B+ spent on buybacks, $30B+ down the hole in R&D, and $10B's of new "investments", most analysts still can't make a case for more than 20% upside from current levels, and the stock continues to badly underperform. Meanwhile, they have no trouble doing so for AAPL, GOOG and many others - despite their already spectacular runs - and those issues continue setting new all-time highs (AAPL and GOOG increasing more in the past month alone than MSFT has in the past 5 years).

Yahoo! Welcome, neighbor: Mr. Todd Bishop has a Q&A with David Sobeski about Yahoo!'s new Bellevue office. Snippet:

On whether Yahoo will poach Microsoft employees: "That's what everybody wants me to say, like 'Oh, yeah, we're going to go attack Microsoft, we're going to go siphon the top 10 percent.' No. ... Does Microsoft have great talent? You bet. Will some of that talent want to come to Yahoo? Probably. Are we actively going to go after anyone? Kinda no. ... We're here to build a good presence of engineers. You know what, if Microsoft guys want to come and ask us questions, great. Google guys? Great. We'll talk to everybody."

I'm just looking forward to a lot more hiring gears spinning in our ecosystem. Go ahead, poach some employees. If it all comes down to salary and job satisfaction in this post-golden-handcuff era, the more hiring options the better. And you've got to think there are some really good ideas that can come in from folks who move around, along with "whatever you do, don't do this" stories. When it comes to APIs and platforms, I like what Yahoo! is doing better than anyone else. But I don't understand their corporate culture and what it's like to work there. Hopefully Mr. Sobeski can explain that, along with the cool stuff they are doing.

I'm just looking forward to a far more enriching hang-out with the geeks environment in our area. Traffic around Bellevue actually getting worse, though? That's hard to imagine.

Speaking of hiring, when will Google start suffering from its drunken hiring binge (Google Promises Again to Swear Off Binge Hiring and What do 16,000 people 'do' at Google?)? I'm happy to share our hiring misery. I look forward to the http://minigoog.blogspot.com/ harbinger (well, maybe not on blogspot.com). The focus of such sibling-society culture at Google is interesting - Lord of the Flies interesting - as is how it will evolve given lawsuits from Old Guys who get managed out. Yes, soon you Googlers will get to enjoy watching yearly Standards of Business Conduct vignettes ("Don't call old farts old, m'kay? Especially before looking at everything they've accomplished compared to you.").

Oh, and speaking of misery, here comes the following comment:

I heard last week...this fiscal year, Microsoft is targeted to hire (between acquisitions and new hires) roughly 16K new employees.

O...M...Gaaaaawwwwwwdddddd

Perhaps I should have a Giving Campaign auction to just put me out of my misery. Or at least a piñata of me... hmm.

Kimstars: Charles wins a double reward: (1) for inventing the new term Kimstars, and (2) posting that Kimstar comment and follow-up better than anything I've typed out in a while. (As part of this, I embarrassingly found out that the original Kim post had a typo in the title! Now fixed: Not-so-limited Kim). Anyway, perhaps the concept of Kim is beyond the Limited II / 10% II designator. Follow-up commenters said how their recognition turned around under new, proactive management.

And if you're not a Kim now, just look down your career path. Do all roads lead to Kim-land? Are we all working to Limited/10% II? Going back to Charles' excellent comment:

I would argue Microsoft doesn't recognize "talent". Microsoft recognizes "passion". They are not the same. Microsoft recruits and retains passion as its talent evaporates unnoticed.

Q's for MSFT quarterly results: what questions do you want the analysts to pose this Thursday? A few quickies off the top of my head:

  • Hiring: a huge overhead for Microsoft is employee payroll (including building space). What is the projected hiring for the fiscal year (net of 16,000?)? What parts of the company are expanding and what need are they addressing that the shareholder can appreciate? Why are H1B visas changes needed if Microsoft is finding expansive hiring so easy?
  • Xbox: given the successful quarter for Xbox with Halo 3, what does the remainder of the fiscal year look like and when is it expected that all investment in Xbox will be recovered? (Trying not to spurt a sip of Starbucks out of my nose typing that last bit.)
  • Search: after the blip-up on Live Search from the bot-crazy search-game, what is the projected real-world gains around the search and advertising markets that would be qualified as a success?
  • Vista SP1: when will Vista SP1 ship? Sorry, I know we have Windows Update to keep fixes rolling into Vista, but it's going to take another OS release until the "wait until SP1" conventional wisdom is dropped.

What questions would you ask?

Posted by Who da'Punk at Sunday, October 21, 2007 106 comments

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