Steve Ballmer Disagrees With Me

Contrary to the advice in our recent post, Steve Ballmer says now is not the time for Microsoft (MSFT - Annual Report) to scale back.

“Throughout our history, Microsoft has won by making big, bold bets,”
Ballmer said in the memo, which was seen by CNET “I believe
that now is not the time to scale back the scope of our ambition or the
scale of our investment. While our opportunities are greater than ever,
we also face new competitors, faster-moving markets and new customer

Touche. We can take it as well as we can dish it out, and we would be no better at running Microsoft than Citgroup’s analyst would be at running DELL. Still, $2 billion per year is more than most software firms take in revenue, and at the very least Ithey should be able to do a good job for less. Time will tell, but we’d still rather see them slim down their expenses and make gradual improvements rather than ramp up for a huge release that gets delayed and is finally released before it is fully developed anyway.

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