Dear Friends,

Earnings from Microsoft’s® third fiscal quarter of 2014 exceeded the expectation of analysts once again, but that is only one of the many elements of good news that has emerged from the company during recent months. After too many years of stagnant stock prices and that which some may consider mediocre innovation and execution, Microsoft® is not only showing signs of life, but they are making some radical changes to their business model and creating new opportunities for themselves and their customers. 

 

Industry watchers speculated about who would replace Steve Ballmer as CEO since he announced his imminent retirement last summer. Many believed that hiring someone from outside the company would be the best way to introduce a new way of thinking and execution. After an exhaustive search which included some seemingly well qualified external candidates, MS turned to one of their own and announced that 22 year MS veteran Satya Nadella would take over the helm. Mr. Nadella possesses a unique combination of industry knowledge, business acumen, understanding of Microsoft® culture, and leadership skills. He has already changed some long standing policies such as the traditional refusal to offer Office 365™ on non-Windows® devices such as the Apple iPad®.  Under his “Cloud First, Mobile First” policy, MS will offer Office® and potentially other products on devices running iOS, Android™, and Windows®. This will greatly expand their potential markets and should enable MS to be more competitive in the cloud. 

 

Satya Nadella is also making himself more accessible to Wall Street and industry analysts, which was something his predecessor rarely did. It’s too soon to declare that Nadella will prove to be a success in the long run, but early indications suggest that he may be exactly what the company needed.

 

Our newsletter this quarter examines Microsoft’s® latest earnings release and some of their noteworthy activities and concerns which may be relevant to VL customers. 

 

News

Analysis of Microsoft’s® 3rd Quarter FY 2014 Earnings Report from a licensing perspective

04.28.2014

By: Daryl Ullman

When Microsoft® announced their reorganization into a Devices and Services company beginning with the current fiscal year it also resulted in significant changes to the way in which they report earnings. 

Read more >

The true architect of Microsoft®’s move to cloud services

04.17.2014

By: Staff Writer

After too many years of less than newsworthy activities at Microsoft®, just about everyone close to the industry is beginning to take notice once again.

Read more >

Demystifying Microsoft®’s Cloud Transition Program

04.17.2014

By: Staff Writer

Microsoft®’s recently announced strategy of making their applications available on devices beyond those running Windows® is welcome news to many IT departments as they now have a means to continue to use the familiar MS Office® while accommodating BYOD demand as well. 

Read more >

Is Microsoft's Office licensing policy losing against Google ?

03.27.2014

By: Staff Writer

News Corp® Australia recently announced that thousands of their employees are moving from Microsoft® Outlook® to Google Mail™ and Calendar™.

Read more >

Microsoft® Licensing Audit - How to prepare your organization

03.17.2014

By: Staff Writer

The term “Software License Audit” brings many thoughts to the minds of most people whether on a personal or professional level and those thoughts are rarely favorable. Even when we feel we have nothing to hide, the idea of someone in authority checking to ensure we are compliant can create a very stressful situation. 

Read more >

Cloud First, Mobile First

03.30.2014

By: Staff Writer

Satya Nadella gave a press briefing on March 27, 2014 and left no uncertainty about his intended direction for Microsoft®. He summarized the vision as building toward a “Cloud first, mobile first” world. The company announced the highly anticipated Office for the iPad® which was immediately available. 

Read more >

Microsoft® Licensing Solutions Partners

03.20.2014

By: Staff Writer

Much has been said (and speculated) about the reorganization Microsoft® announced last summer in which they intend to become a Devices and Services Company, rather than their traditional business model of primarily selling perpetual software licenses.

Read more >

 
 

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