Notebook OEMs’ Problems Are Not Hardware Nor Volume…

“Compal raked in over $5.6bn in revenue during the first quarter of this fiscal year, although its net profit was a measley $470,000 or so – a drop of over 37 per cent from the same quarter the previous year.”
see Notebook sales to surge, says notebook seller

What was M$’s take on that??? Probably more than $1billion and with a huge margin.

OEMs’ problem is not the hardware nor the volume. Their problem is M$ is a millstone around their necks. M$ has been getting a free ride for decades. It’s time OEMs installed Android or GNU/Linux by default rather than that other OS. Wake up and do the maths, Compal and friends. Retailers too should wonder why the product is not selling with all the advertising and shelf-space devoted to it.

About Robert Pogson

I am a retired teacher in Canada. I taught in the subject areas where I have worked for almost forty years: maths, physics, chemistry and computers. I love hunting, fishing, picking berries and mushrooms, too.
This entry was posted in technology and tagged , , , , . Bookmark the permalink.

18 Responses to Notebook OEMs’ Problems Are Not Hardware Nor Volume…

  1. oiaohm says:

    George Wilson bad news I am Australian.

    http://www.ato.gov.au/individuals/content.aspx?doc=/content/73931.htm

    –George Wilson says: this is false. Australian eTax software runs with Wine.–
    Ring tax department ask question what happens if wine causes a software error in return. You are liable. If its a problem in a virtual machine running windows you are covered.

    Yes the will refund you the cost of a virtual machine and copy of Windows. So you are meant to buy a Virtual machine and a copy of windows. This does not apply to just Linux users by the way.

    http://www.ato.gov.au/individuals/PrintFriendly.aspx?doc=/content/32234.htm Scroll down to supported OS’s. Notice Vista 64 and Windows XP 64bit are not on the supported list either. Yes if you have those buy a new copy of windows and a virtual machine.

    –Etax is built on Delphi platform which leads George Wilson to believe that the Australian Taxation Office is stupid.–

    Its Australian government software acquirement process that is stupid. Lowest bid wins.

    Does not matter if it a closed source binary written in some horible language and not cross platform.

    –Should have used .NET/Mono: no problems.–
    Until you give it to the Australian government software acquirement process. That does not check of items in the code like pinvoke kernel32.dll to write a file with windows only GUI. Why they only tested in Mono running on windows so this works even with Mono.

    There are at least 10 just in the Australian government across all departments. There is more like a few hundred George Wilson. It all traces to crappy government software acquirement policies. This is what happens when Bill Gates of Microsoft has a direct hand in the writing the policies.(No I am not kidding)

    –Oiaohm at least made a half-hearted attempt with his Australian tax software. But you come empty-handed as always.–
    I play by the rules George Wilson. The fines of a incorrect tax return is worse than paying for Windows and having it refunded.

  2. matchrocket says:

    “I’m merely annoyed by clowns spreading unsubstantiated FUD about Windows.”

    You’ve adopted an attitude that doesn’t belong to you Mr. Wilson. You’re a troll. Trolls don’t count.

  3. George Wilson says:

    Also, I’m perfectly happy using Windows. I’m merely annoyed by clowns spreading unsubstantiated FUD about Windows. Like a certain ex-physicist-turned-teacher-turned-evangelist who hasn’t seriously used Windows for the last 10 years.

  4. George Wilson says:

    George Wilson is becoming more obnoxious by the hour. …

    If you want to feel better, give up on Microsoft. Linux and open source is there for you no questions asked. There’s no reason why you have to stay with Microsoft.

    Hehehe. Talk, talk, talk.

    Are you going to answer the question, matchbox? I will bring it to your attention again:

    Which things can’t you do unless you use Windows?

    Oiaohm at least made a half-hearted attempt with his Australian tax software. But you come empty-handed as always.

  5. matchrocket says:

    “That’s not what George Wilson asked you. Where are your examples of things that can only be done with Microsoft products?”

    George Wilson is becoming more obnoxious by the hour. In his own, contorted way, he is saying good-bye. You are a loser George. No matter how silly or obtuse you try to play it, you are a loser playing for a loser.

    If you want to feel better, give up on Microsoft. Linux and open source is there for you no questions asked. There’s no reason why you have to stay with Microsoft.

  6. George Wilson says:

    @Robert Pogson:

    Go into any retail establishment in Winnipeg and most of the places I shop online and you will find very few GNU/Linux systems.

    That’s not what George Wilson asked you. Where are your examples of things that can only be done with Microsoft products?

    @oiaohm:

    Submitting Australian Tax Return. I could go on with another 9 more just interfacing with Australian Government where the only software is for Windows. Yes not even OS X software.

    George Wilson says: this is false. Australian eTax software runs with Wine. Does oiaohm even live in Australia? George Wilson admits that running through Wine is not an ideal solution, but you don’t need Windows. Etax is built on Delphi platform which leads George Wilson to believe that the Australian Taxation Office is stupid. Should have used .NET/Mono: no problems.

    @matchrocket:

    That’s one example of being forced to use a product. If you want 9 more go run around and get them yourself. Why are you still here? I thought you self immolated.

    George Wilson deems this not an example. I want examples of things you cannot do without Windows. And I’m not accepting things like Netflix, as Netflix is not something existential.

    Go to hell asshat.

    George Wilson says: you wear hats on head, not on ass. A hat also can’t go to hell, as hell is nothing but a mythological concept. What’s more, a hat can’t walk at all because it has no legs.

  7. matchrocket says:

    “Give George Wilson at least 10 examples…” Go to hell asshat.

    “Microsoft has declared that Service Pack 1 for Windows 7 will automatically force through the Windows Update tomorrow.”

    That’s one example of being forced to use a product. If you want 9 more go run around and get them yourself. Why are you still here? I thought you self immolated.

  8. bw wrote, “After such a long time, their Windows product is a well-entrenched customer expectation. To knock them out of their perch, a competitor would have to change this customer attitude dramatically and that is a very hard job and an expensive one.”

    Nope. GNU/Linux has done very well whenever it has been offered to businesses or consumers. That’s why most OEMs sell it. ASUS first eeePCs sold out globally for months. That’s better than “8” which M$ forced OEMs to buy if they wanted to stay in business with M$. Now the channels are plugged with unsold “8”s.

  9. bw says:

    “Go into any retail establishment in Winnipeg and most of the places I shop online and you will find very few GNU/Linux systems.”

    That is the choice of the vendors where you shop, and is not dictated by Microsoft.

    “A quick survey today of the online supplier found only one system, an ASUS eeebox with Ubuntu GNU/Linux.”

    Many suppliers do not wish to carry merchandise that has no customer interest. You need to persuade more people that they should want one.

    “You may think there is choice but if a consumer doesn’t know it exists or doesn’t want to wait for delivery there is no choice.”

    If the consumer is unaware of the existence of alternatives it is due to lack of diligence on the part of the alternative product supplier. If the product is not deliverable in an acceptable time limit, then the customer has chosen to evaluate the product availability as a key element in the overall choice. The supplier is doing a poor job of satisfying such customers.

    “Since computers are essential for much of what we do these days, people are being forced to buy that other OS. That’s wrong and illegal since many good alternatives exist for much lower cost and with better performance.”

    All of that is simply your opinion and that opinion is not shared by very many of us. The truth is that customers weigh all aspects, including their own expectations, and come to a decision on whether or not to buy something. Price is not always their main concern. There certainly is nothing illegal about selling one’s product and most OEMs choose to sell Windows computers in lieu of anything else since they are so common. You use too narrow of a view to measure these things and are biased against Microsoft.

  10. George Wilson wrote, “Nobody is forcing people to use Microsoft’s products.”

    Go into any retail establishment in Winnipeg and most of the places I shop online and you will find very few GNU/Linux systems. A quick survey today of the online supplier found only one system, an ASUS eeebox with Ubuntu GNU/Linux. You may think there is choice but if a consumer doesn’t know it exists or doesn’t want to wait for delivery there is no choice. Since computers are essential for much of what we do these days, people are being forced to buy that other OS. That’s wrong and illegal since many good alternatives exist for much lower cost and with better performance.

  11. bw says:

    “Raspberry Pi”

    A hobbyist toy. Nothing more.

    “So for Australians we are forced to use MS products.”

    But not by Microsoft. You are not the king of your own village and must dance to someone else’s tune, of course, but there are many such entities that can force you to do something that you would, if left to your own lazy ways, would not do.

    Tough.

  12. oiaohm says:

    bw “The biggest problem you have is that Linux is not organized as a business and there is no obvious way for any proponent to recoup the financial investment necessary to even begin such a massive re-education of the buyer expectations here.”

    What happens if they have worked out another way.

    Raspberry Pi and Arduino and other items from it. Start young is the old saying. Its harder to change those already set in ways.

    Yes there is a dead obvious way and its being done.

    “PCs may eventually go away, victims of more and more capable mobile devices, but, until they do, they will be almost all Windows PCs.”

    Really no. http://www.udoo.org hybrid. Raspberry Pi Arduino idea. This is not mobile devices.

    PC may be victims of more flexible devices full stop.

    –Give George Wilson at least 10 examples where people are truly forced to use their products, meaning: something absolutely cannot be achieved by other means.–
    Submitting Australian Tax Return. I could go on with another 9 more just interfacing with Australian Government where the only software is for Windows. Yes not even OS X software.

    So for Australians we are forced to use MS products.

  13. bw says:

    “as long as they work for a living instead of forcing people to use their products”

    Haven’t you heard the old saying “Work smarter, not harder?” It is sage advice for those who can manage to do it. Microsoft has indeed worked harder and smarter than their competition in PC OS products, notably IBM’s OS/2, but also a variety of earlier products such as CPM-86 or Apple II OS or a bunch of “entertainment” home computers.

    After such a long time, their Windows product is a well-entrenched customer expectation. To knock them out of their perch, a competitor would have to change this customer attitude dramatically and that is a very hard job and an expensive one.

    The biggest problem you have is that Linux is not organized as a business and there is no obvious way for any proponent to recoup the financial investment necessary to even begin such a massive re-education of the buyer expectations here.

    To be at all successful, the OEMs would have to be willing participants and pre-load the distribution chain with Linux computers so that any buyer motivated to change could actually obtain product. But there is no reward for OEMs to do such a thing.

    The OEM’s risk of failure is massive losses on unsold inventory and their reward for success is simply business as usual, no extra volume since a Linux sale gained is just a Windows sale lost. If the OEM tries to simply keep the Microsoft “tax” for themselves as an added profit, then there is no economic benefit to the consumer and that means a much lower level of motivation, if any, to make a change.

    PCs may eventually go away, victims of more and more capable mobile devices, but, until they do, they will be almost all Windows PCs.

  14. George Wilson says:

    They can do whatever they want as long as they work for a living instead of forcing people to use their products.

    Nobody is forcing people to use Microsoft’s products. Give George Wilson at least 10 examples where people are truly forced to use their products, meaning: something absolutely cannot be achieved by other means.

  15. Mats Hagglund wrote, “Companies make money by service, advisory system etc…That might be the future of Redmond.”

    They can do whatever they want as long as they work for a living instead of forcing people to use their products.

  16. Mats Hagglund says:

    Perhaps we are getting near the situation where Microsoft have to give their Windows-versions free and get the money with professional versions of Windows. Something like Red Hat – Fedora or Novell SUSE – Open SUSE…

    Plinth of their business is now enterprise and education locked to their ecosystem – more than never before. MS Office plays a big role. But the mainstream is clear – software is becoming mostly free, price 0 €/$. Companies make money by service, advisory system etc…That might be the future of Redmond.

  17. Thomas R. says:

    OEMs’ problems are that Microsoft’s problem is its bureaucracy culture. Here’s a report from the trenches by an anonymous Windows developer:

    http://blog.zorinaq.com/?e=74

    His verdict:

    Is it any wonder we’re falling behind? The rot has already set in.

    Microsoft can’t keep up with the change everywhere. They thought they could live comfortably numb off Windows until Apple kicked them in the nuts with the iPhone (remember Ballmer laughing it off). But they still didn’t get the message. Then Google kicked them in the nuts with Android, making Ballmer’s quip about how the iPhone is super-expensive mostly irrelevant.

    Add to that:

    – Their Windows 8 Phones don’t sell well.

    – Their tablets don’t sell well.

    – OEMs are not happy with Windows 8.

    – At least 90% percent of all people don’t need Microsoft Office when they can get LibreOffice or OpenOffice for free.

    – Google Apps is eating Office365’s lunch.

    – Sony’s PS4 appears to be shaping up much more nicely than the as-of-yet unannounced next Xbox.

    – Valve can possibly take a large part of Windows gaming to the Steam Box (and therefore to Linux).

    – Microsoft’s best people are leaving (per the linked article above).

    – The adverse financial climate in almost all parts of the world finally forces governments to ditch Windows.

    Hard times for the giant. Right now they still can generate good revenue by means of their locked-in customer base. But their future is looking bleaker by the minute.

  18. bw says:

    “What was M$’s take on that??? Probably more than $1billion and with a huge margin.”

    Well, no. Microsoft’s take on that was exactly zero. They are like the Microsoft of hardware builders. They sell to Dell, Lenovo, HP, etc., and those brands add Windows to the mix and sell them in your neighborhood emporium. They are the peanut butter to Microsoft’s chocolate to create the yummy treats that have proven so popular over the lase 20 years.

    You declare Microsoft to be a “millstone around their neck”, but the good chairman has a different view, namely that Microsoft and pal Intel are their certain salvation:

    “While global notebook sales have so far been stagnant, shipments in the second half of 2013 are expected to see large growth from the first half mainly due to the launch of new models and promotions by Intel and Microsoft, chairman Ray Chen for Compal Electronics said at a May 9 investors conference.”

    Do you claim to know more about the situation than Ray? He’s certainly getting paid a lot more for his opinion.

Leave a Reply