Post of the Day
April 9, 1998

From our
Microsoft Board


Subject: Re: Stop Picking on Microsoft
Author: CK$erenity

"A few points:
1) high volume = low margins = low price.
2) Windows is not "open". neither is MacOS. Either could have been the "common" standard.

Therefore, any platform that got wide acceptance would have a low price. It just so happens that the worst platform won."

Hardly. Any non-proprietary system that got wide acceptance would result in a low price. And lowest prices result when there is a single widely accepted platform that becomes a commodity. Microsoft helped make this happen. Windows is much more open than the Mac OS is and Windows is available to anyone. The Mac OS is not. In fact Apple went out of their way to make the Mac ROMs difficult to get--and tripled the price I believe-- when some smart people started building clones using genuine Apple ROMS.

When Apple was widely accepted they gouged people as much as they could. Their refusal to licence clone vendors or lower prices, because they wanted every penny available, is why they lost their market. Apple lost their market because they were stupid and greedy not because Microsoft was smart. In fact, Gates, laid out a plan for Apple that would have guaranteed that Apple's OS would have dominated over Windows. He was ignored.

Gates just wanted a chance to sell software to every home. Jobs wanted to sell the software, AND the hardware, and he didn't want you to have any other choice.  

"Gates wanted a computer "running Microsoft software" on every desktop. Sounds the same as me."

Its not the same at all. Gates just wanted a chance to sell software to every home. Jobs wanted to sell the software, AND the hardware, and he didn't want you to have any other choice. He simply didn't understand margins on hardware versus margins on software or how to maintain and grow a market. He was successful for a time only because he was first and had an excellent product. Next was an excellent product too, but it failed miserably mostly because it was a late entrant into the maket. Jobs didn't understand that Apple had been wildly successful mostly because it had been first to market.

"Gates just wants to control all of the software and information. Gates avoids common standards like the plague, that is, until the market "forces" him to adopt standards. Then he grudgingly implements them and tries to put as many proprietary things in as he can."

What is your point!? That Gates is a shrewd business man? That is obvious. It is the job of a CEO to attempt to capture as much market share as possible. You think Coke doesn't want to be the only Cola vendor? All good CEO's are trying to do the same thing as Gates; some don't work as hard at it and some aren't as good at it. They are all playing the same game.

  The amazing thing is that Jobs still hasn't figured it out. It was already a little too late to license Apple clones ten years ago. So what did Jobs do when he came back to play guest CEO? He yanked the clone licenses from people he referred to as "leeches!"

Jobs may be the same way. Jobs was much worse, like a Monkey with his hand stuck in the cookie jar because he his holding all the cookies. Jobs was the arrogant wanna be monopolist. I hope you didn't skim over "Jobs' quest for complete control also meant that he didn't want his machines to be able to talk to other companies' machines." in the URL I posted.

But I would not mind if Apple was in MSFTs shoes right now because I think they deserve it. Apple got exactly what they deserved. That is how the market place works. If they hadn't been so greedy they would be in MSFT/DELL's shoes right now.

The amazing thing is that Jobs still hasn't figured it out. It was already a little too late to license Apple clones ten years ago. So what did Jobs do when he came back to play guest CEO? He yanked the clone licenses from people he referred to as "leeches!" What an idiot! It was as a direct result of this that Motorola took a charge to wash their hands of the business. Yeah, that is exactly what Apple needed. Some people just never learn.

Microsoft did not crush Apple. Apple crushed themselves.

And thus the reason for books like:

"Apple : The Inside Story of Intrigue, Egomania, and Business Blunders"
http://www.amazon.com/exec/obidos/ISBN=0812928512/o/4725-1269404-156776

"Computer users who favor Macintosh products are truly enthralled with their machines. But after reading Apple: The Inside Story of Intrigue, Egomania, and Business Blunders, even the most zealous may be hard-pressed to defend the company that produces them [...] Carlton combines a keen sense of observation with a slew of previously undisclosed facts to produce a damning history that will leave many wondering how the firm has managed to survive. "


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