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Microsoft vs. the times

If you can't beat 'em, the expression goes, then join 'em. But even that isn't enough anymore in today's "me too" tech world - you have to join them, yes, but then you also have to beat them to be halfway relevant.

If you can't beat 'em, the expression goes, then join 'em. But even that isn't enough anymore in today's "me too" tech world - you have to join them, yes, but then you also have to beat them to be halfway relevant.

That said, earlier reports of Microsoft's demise were premature. The company is on a roll lately, announcing last week that Windows 7 is installed on 100 million systems and is their fastest selling operating system of all time.

Their Xbox division is profitable and raked in $165 million last quarter, and looks to continue to improve on that based on game and console sales. There are now over 40 million Xbox 360s in the wild, compared to close to 70 million Nintendo Wiis and 32 million PS3s. And while PS3 is gaining there are rumours of a cheaper Xbox 360 "slim" version that will change the game once again.

The Windows 7 Phone software and phones are the most anticipated items since the iPhone and early reviews are solid. It should be available by the fall.

Apple also made gains with the iPad, but literally dozens of competitors are preparing to enter the market with touch screen tablets that use Windows 7.

The Zune media player series is still way behind the iPod (and the Zune HD still isn't available in Canada for some reason), although it is probably a superior device from a technology standpoint. One day Microsoft will learn how to market and support this division of their company and then look out!

But one area where Microsoft sees an increasing challenge is marketing their Office suite of productivity software when so many - Google Docs, OpenOffice.org, Adobe.com - are offering similar programs for free.

Because Microsoft can't beat free they're joining the bandwagon. Office 10 will launch next week and in June Microsoft will begin to offer free Office Web Apps with basic functionality as well as a scaled down suite of Office software for download called Office Starter (replacing Microsoft Works). Microsoft is gambling that people will like these applications so much that they'll eventually purchase the full version of Office.

And a lot of people will. For some it's a failure of imagination - they've been using Office for decades now and are unwilling to change or even trust other software. For others it remains a practical matter - business people still rely on Office software, including Word, Excel, PowerPoint and Outlook, and generally want their new software and files to be seamlessly compatible with their previous software. For others still, the availability of online versions only complements the purchase of Office, especially the upgraded version of OneNote - a program that combines all the other aspects of Office into projects that can be accessed and updated over the web.

But while Microsoft has the "join 'em" part figured out, the word is still out on whether Microsoft can actually "beat 'em." Early reviews have been generally positive, and so far more than 7.5 million people (!) have downloaded the beta of Office 10 since November.

There are some areas where it comes up short. The ability to collaborate on documents in real time doesn't appear to be a feature, which is an advantage for Google. And while people like Microsoft Office's cleaner look some experienced power users are having trouble finding the more technical features that have been buried in various menus - a problem carried over from the Office 2007 "ribbon" interfaces that are actually kind of ugly.

The real selling feature will be the seamless integration between the web, your computer and mobile devices - which Google can arguably match right now, and which Apple is gradually catching up to with various iPad and iPhone apps and portable versions of iWork. But while Microsoft Office no longer stands alone in productivity software, it continues to stand above as the most powerful product on the market, and right or wrong I suspect it's going to be the standard for at least another generation.

After that, it's anybody's game.

 

The Apple quandary

For a long time Apple has cruised on its reputation for being different - a kinder, gentler company than Microsoft, more focused on experience and aesthetics than world dominance. Well so much for that.

When a next generation prototype of their iPhone was found and reviewed by Gizmodo in late April, Apple went into full legal mode and the reviewer even had his door kicked in by police - despite the fact that he returned the phone.

Then last week Steve Jobs wrote a 1,500-word screed against the Adobe Flash platform, which isn't supported by Apple's iPods, iPhones or the iPad - which is why the web browsing experience on those devices will never be great. Apple has also been slow to embrace Blu-ray, despite the fact that it's more or less the new standard for HD movies and storage.

There's more. Apple recently changed its already restrictive terms of service agreement with app developers, taking a lot of companies and projects out of the game. The changes prompted a blog at "StopTheMadnessSteveJobs.com" that questions a lot of the company's recent decisions. Since last year articles have been popping up asking whether Apple is "the new evil empire," presumably filling the shoes of a reformed Microsoft.

And Cnet.com, usually beholden to all things Apple, recently posted an online video of the "top five reasons not to buy an iPad."

I don't know if these recent moves are a blip or a change in direction, but I kind of miss the old Apple.