June 28, 2008
Posted: 929 GMT

NEW YORK – He has been inching out of the picture for years, but Friday Bill Gates officially left the company he founded and handed over the reigns to his university friend and current CEO, Steve Ballmer.It is an important day for the Microsoft community and potentially for anyone who owns Microsoft stock. As long as Gates was still involved there was hope that Microsoft could somehow regain some of its former magic and rapid growth. That now appears very unlikely.

Almost every tech watcher and analyst I have talked with say Microsoft can not catch the new technology powerhouse - Google. It is not just because Google is raking in the money. Analysts say the search giant's greatest advantage is its ability to attract the best and brightest young tech minds out there.

The next Bill Gates if you will. That type of genius is rare and not something that can be purchased. Right now, the next generation of young pioneers is flocking to Google (or as we may soon discover trying to launch their own companies from the garage). They are not submitting applications to Microsoft.

That is not to say that Microsoft is going to just die on the vine. The company has a huge amount of capital and talented employees. Analysts say if Microsoft forgets about trying to buy their way into search or digital music and just concentrates on what it does best - building operating systems - it can prosper. But few think they will be a disruptive force again. As technology companies mature they tend to lose their innovative edge and become more like utilities. Important and lucrative utilities, but utilities nonetheless.

As one tech watcher said to me, "no one is asking if IBM is going to catch Google." Soon we may not be using Microsoft in that sentence either.

Posted by: ,
Filed under: Business


Share this on:
Anders Sagadin   June 29th, 2008 1526 GMT

Procurement organizations all over the world use different classification standards to search, find, evaluate and contract suppliers representing a huge number of products and services.

The suppliers cope with many complex demands from buyers and authorities to specify and categorize products and services.

Diverse categorizing standards, languages, industry codes and product definitions create significant thresholds for both buyers and suppliers to find and deliver the right products and services in time.

The challenge: Create a global, cross-industry, language independent catalog solution for all suppliers and buyers for the business to business industry.

So, will Google be capable to have a huge growth in the years to come? The answer is for sure yes, they have not touched the business to business industry yet, and who could be in a better position to move in also there?

gatkin09   June 30th, 2008 1316 GMT

Who knows what will happen....some great companies fade away and some keep going, but few companies remain in the top spot in their sector for a decade or more so I guess Microsoft is due to slip a few places.

All I can say is happy fishing Bill. (not sure he fishes though)

Cheers,

Greg A

Alejandro Rogers Bozzolo   July 9th, 2008 2245 GMT

Microsoft has yet to say its last word. With all that cash sitting on their balance sheet and all that leverage capacity it can buy plenty of time to reinvent itself. The Yahoo bid is certainly part of that catch up process and apparently we have not yet seen the last of it.

Hope Bill can change the non profit world as he changed the IT world.

Best,

Alejandro Rogers Bozzolo

Bader   July 14th, 2008 1002 GMT

I remember when Microsoft was getting sued for its monopoly over the OS software and people never imagined it would ever be an under dog but this is slowly fading and more people are using the apple. Apple's decision to be more corporate could shift the business industry to its side. Microsoft should have a better vision in deciding what to focus on just like what you said or their cycle will not last for a long time.

Thomas   July 20th, 2008 1622 GMT

"Analysts say if Microsoft forgets about trying to buy their way into search or digital music and just concentrates on what it does best — building operating systems — it can prosper."

Microsoft originally bought MS-DOS from a third party, and Windows was a copy of the Macintosh User Interface. Windows NT (and with it 2000, XP and Vista) are copies of Unix.

Microsoft being good at building operating system? Selling them, yes. Building them, no. There is no innovation here.

Timotheus   August 5th, 2008 916 GMT

Take the sun for your business, when you like to live for ever ,be the sun,

wandajbrn   August 12th, 2008 1949 GMT

Your article is very appropriately titled "Bill Gates has left the Building" and eventually so will Microsoft and rightfully so. When he sat in front of Congress lying through his teeth that the jobs he was sending to India was in an effort to attract the best and the brightest while totally
ignoring american graduates. Later, I find that he was not only attracting the low wage earners from other countries but they were hardly the brightest of the foreign workers. I hope one day Microsoft totally drops back in the toilet where it seems to be headed. He should move to India where those "brightest & best" can then appreciate what he has done for their country while turning his back on his own. I will never buy Microsoft products again. Bill Gates, U and Benedict Arnold have a lot in common!!!!

Wanda
Mississippi

Leave Your Comment


 

Comments are moderated by CNN, in accordance with the CNN Comment Policy, and may not appear on this blog until they have been reviewed and deemed appropriate for posting. Also, due to the volume of comments we receive, not all comments will be posted.


subscribe RSS Icon
About this blog

CNN International's business anchors and correspondents get to grips with the issues affecting world business, and they want your questions and feedback.

For Biz Clinic, CNN's expert advice segment for today's uncertain financial times, tune in Mondays.

Contributors

Categories
Powered by WordPress.com VIP