Microsoft and the Commoditization of Software
Linux is certainly a threat to Microsoft’s less-than-perfect server software right now (and to its desktop in the not-too-distant future), but open source software in general, running especially on the Windows operating system, is a much bigger threat. As the quality of this software improves, there will be less and less reason to pay for core software-only assets that have become stylized categories over the years: Microsoft sells OFFICE (the suite) while people may only need a small part of Word or a bit of Access. Microsoft sells WINDOWS (the platform) but a small org might just need a website, or a fileserver. It no longer fits Microsoft’s business model to have many individual offerings and to innovate with new application software. Unfortunately, this is exactly where free software excels and is making inroads. One-size-fits-all, one-app-is-all-you-need, one-api-and-damn-the-torpedoes has turned out to be an imperfect strategy for the long haul.
Some insight here. And it’s entirely likely they can make the changes he suggests . . . if they want to.