Tuesday, February 15, 2011

NokiSoft (pronounced NookieSoft, I believe)

Microsoft has finally figured out what to do with all of its money- give billions to a competitor to quit using their mobile OS, and use Windows 7 Mobile instead. Hey, if you can't get market share by making a superior product I guess buying it is the next best thing.

I think there is a problem, though. I (perhaps naively) believe the best product(s) should get the market share. I believe this is a basic tenet of capitalism and I also think it will win out in this situation in a surprising fashion. By eliminating Nokia's Mobile OS (Symbian), a vacuum is being created that Microsoft presumes to fill with Nokia devices running Windows 7 Mobile. They believe these devices will be an equal competitor to Google Android and Apple iOS.

I don't think so. Microsoft has more or less failed for a decade and squandered any opportunity they had at taking the lead at making good mobile devices people will buy. (They do have the cutest little fuzzy creatures in their phone commercials, but three year olds don't buy phones). The only thing their money is going to do is make it easier for Google and Apple to increase market share- exactly the opposite of what they are hoping for. Nokia will lose market share, but at least they are getting paid for it. Microsoft will get nothing.

As for what they should really do, it has been obvious for years that the winning divisions at Microsoft carry the loosing ones. It is time to split into 4 or 5 separate companies. Some will fail, as they should, and some will succeed. More capitalism.