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Friday, July 25, 2014

SATYA NADELLA, CEO OF MICROSOFT NEEDS TO THINK DIFFERENT(LY)

So today, Yahoo! News has a story by Zach Epstein of BGR who writes that Satya Nadella, CEO of Microsoft doesn't get why Apple's iPhone has been a smashing success and why Microsoft's smart phones have not been successful products.

Epstein quotes Nadella who has said, "any thinking consumer should consider Microsoft because guess what, you’re not just a consumer. You’re also going to go to work, you’re also going to be productive and we can do a better job for you in there. And that’s what I want to appeal to."

Nadella looks at quite wrong. Nadella fails to see that long ago, Apple execs forged a belief in the minds of many. Apple means "Think Different". So to many, Apple means, I'm not in the office right now. Work is over. Having Apple means I am more than my job.


So what does Microsoft mean to many? Blue Screen of Death. Office. Work. Spreadsheets. My jerky boss. Deadlines. Still no raise.

Epstein cites Yoni Heisler of iMore who says Microsoft execs harp on productivity for their USP, a USP no one cares about. In his public memo about Microsoft, Nadella wrote, “At our core, Microsoft is the productivity and platform company for the mobile-first and cloud-first world.” In reality, Microsoft is a company who sell business software accessible through desktops, laptops, tablets and smartphones.

Microsoft needs to break up. XBox, Surface, Nokia, Skype and PC games should become one firm. Someone else should take the helm at the firm selling XBox, Surface, Nokia. Maybe the new firm should go by the name Orange. The new firm should run with one slogan: Life. Easy. 

The other firm should consist of what is now the Commercial segment. All Office licensing should revert to this new firm.

Since his focus is productivity, Nadella seems like a guy ready-made for the commercial segment of the current Microsoft as a guy leading a company who sell business software and services. In a break-up scenario, the Nadella-run Microsoft should adopt a slogan as well:  Microsoft means business.

MSN, Bing and any other web properties ought to be sold off and not owned by either firm as Microsoft is not an ad media business.



No one cares about operating system software. No one buys smart phones nor tablets for the sake of productivity.

Everyone wants status from what they communicate with others. Communication is what people crave.

Look at the success of GoPro. Look at the success of Instagram. Look at the success of Pinterest.




Arguably, Apple means productivity far
more than Microsoft ever could. Apple delivers productivity where it counts — status gained with peers through communication.