Dear Friends,

Microsoft® had another respectable quarter, although earnings per share failed to meet Wall Street expectations. The software giant reported revenue of $23.38 billion, compared with $19.9 billion from the same quarter a year ago. Non-diluted Earnings Per Share were 56 cents, compared to 59 cents a year ago. Analysts were expecting EPS of 60 cents and revenue of $23 billion. The perceived shortfall was the result of losses resulting from Microsoft’s® acquisition of the Nokia™ Devices Business in April. If we were to exclude the Nokia™ impact, MS earnings were 66 cents per share, which exceeded the Street’s expectation of 60 cents."

At the end of Satya Nadella’s first complete fiscal quarter as CEO, he is continuing to impress many observers. While we may not know how long some of the plans and decisions may have been under development prior to his appointment as CEO, he is acknowledging some MS shortcomings and implementing practices which are a significant departure from the actions of his predecessor. Of particular note is the availability of Office 365™ on the iPad™ (and reportedly coming soon to Android™ tablets). Mr. Nadella has also acknowledged the frustration felt by many developers due to the lack of consistency between Windows® running on PCs, phones, tablets, Xbox®, and other devices. He claims to have plans to simplify development at some level to enable developers to create applications that work on multiple devices. Last week he announced that MS would lay-off 18,000 employees during the coming year, although most of those were related to the acquisition of Nokia’s™ smartphone division. While the layoff announcement was rewarded by Wall Street, it results in internal turmoil which surrounds MS employees every day. 

 

Whether these changes ultimately prove to be a wise proactive strategy or a desperate attempt to remain competitive, the market perception and internal culture is slowly changing after too many years of stagnation. Nadella appears willing to relax some of the restrictive practices MS has held for years and we may find that MS will be more willing to partner with external companies than they have in the past. They are aggressively pursuing business in the cloud and the once criticized Office 365™ has proven to be the fastest growing product in company history. Even the recent announcement that MS will drop the “Devices and Services” mantra seems to further confirm their commitment to all things cloud.

 

 

News

Microsoft’s 4th Quarter FY 2014 Earnings Analysis- Licensing

07.27.2014

By: Daryl Ullman

Microsoft® reports revenue by “Devices and Consumer” and “Commercial” divisions, and reports in the following six segments.

Read more >

Changes to SQL Server® licensing

07.08.2014

By: Staff Writer

It certainly wasn’t announced with (or even without) fanfare, but Microsoft® recently made some changes to their Standard and BI SQL Server® licensing, and it’s not good news for VL customers.

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 >

Competitive Landscapes

06.11.2014

By: Staff Writer

Much has been written about cloud computing and the ways in which it is changing Microsoft’s® business model. Cloud computing offers a number of benefits for users as well as IT administrators. 

Read more >

Windows® 8.1 Enterprise is now available without Software Assurance

06.03.2014

By: Staff Writer

It seems as though we have heard more news about Windows® than usual recently. Much of this has been the result of the end of support for XP, but Microsoft® recently made another important change to their Windows® lineup.

Read more >

Microsoft® wins back LA County

07.20.2014

By: Staff Writer

Earlier this year we posted an article which compared Office 365™ with Google Apps™. Included in that article was a summary of the highly publicized problems encountered during the implementation of a major deployment of Google Apps™ for the City of Los Angeles.

Read more >

What to expect when working with Emerset

07.14.2014

By: Staff Writer

We believe our website does a good job in terms of describing services we offer at Emerset, and of course we are always happy to offer a more detailed presentation and discuss your unique licensing needs, but the purpose of this article is to address that which you may expect if your company elects to work with us. 

Read more >

 
 

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