| Friday was another repeat, this time from May 15, | | | | and allows multiple Operating Systems (Linux or |
| 2006. However, TCR does not want to leave you | | | | Windows) to be run as guests on a single system |
| empty handed and is bringing you an article by one | | | | (the host, which can be either Linux or Windows). |
| of our staff members, Paul ( ). Although Paul is from | | | | This is one threat Microsoft has seen and responded |
| the UK, he takes a keen interest in reading about Jim | | | | to by improving its Virtual Server support offering |
| Cramer's Mad Money (and of course at the best | | | | and making it available for free. However, is this too |
| JCMM site on the 'Net - !) and hopes you will enjoy | | | | little too late? |
| his insight into one of Jim's opinions. | | | | Xen's benefit is that it's open source, therefore bugs |
| Cramer is currently favouring a buy into Microsoft | | | | and security issues will be fixed quicker, possibly even |
| (MSFT), believing the bad times are behind and it's | | | | before the problem is public knowledge, as the |
| back on the up. An analysis of the share prices over | | | | source code is visible for everyone to evaluate and |
| the past few months shows that Microsoft is over | | | | test for insecurities. A quick response to bugs and |
| its lowest points ($21.51) and gradually climbing | | | | security is critical in a business environment and an |
| (currently $24.40). One could argue that Cramer is | | | | area Microsoft can not compete within due to its |
| right. | | | | closed source nature. |
| However, continued changes in Vista's release date, | | | | Virtualisation is becoming a more important area due |
| even if it means a more stable and secure Operating | | | | to the increasing costs for power. Fortunately, |
| System will be released (or that is the theory). | | | | hardware is becoming more powerful, often more |
| Microsoft's OS and webbrowser cycle is poor as it is: | | | | powerful than is actually required, so virtualisation is |
| * Windows XP was released in 2001 | | | | definitely for today as well as the future. Why invest |
| * Internet Explorer was released in 2001 | | | | in hardware for 6 servers when all 6 could run from |
| Internet Explorer 7 is set for release in the first half | | | | within one operating system through virtualisation? |
| of 2007 and Windows Vista is set for general release | | | | With Vista and Internet Explorer 7, Microsoft is trying |
| in the first quarter of 2007. Both products will offer | | | | to play catch-up, but the fact is it now has seriously |
| many improvements and new features over the | | | | tough competition. There is now a big take up of |
| older versions but the reality is very little of it is new. | | | | alternative browsers, office applications and operating |
| One feature to finally reach Internet Explorer is | | | | systems. While the market change might be slow, it's |
| tabbed browser. To a non-technical person, who just | | | | definitely happening. I cannot see Microsoft being in |
| uses what's supplied on their MS Windows desktop, | | | | the same market position in 10 years that it is now. |
| this may seem new and exciting, however tabbed | | | | Its market share will continue to evaporate. |
| browser has been around since 1996 (although it was | | | | The Bottom Line: |
| a feature in a non-public beta version of | | | | Microsoft is facing serious threats in the home, |
| InternetWorks since 1994) and has been available in | | | | education and business desktop arena. It's facing |
| popular browsers such as Opera and MozillaFirefox | | | | threats in the business environment as a server |
| for several years. | | | | (aside from as a webserver, where Linux/Unix is in |
| Microsoft won the first browser war but now it's | | | | the majority). Microsoft might hit a high when Vista is |
| coming to a battle in many areas. Product cycles are | | | | (finally) released, however Bill Gates stepping down in |
| quicker for open source software such as | | | | the way that he is does suggest to me that the bulk |
| OpenOffice.org, MozillaFirefox and MozillaThunderbird - | | | | of the money has been made and it's now time to |
| new features, bug fixes, and security updates are | | | | do something with it. The IT industry is often a |
| released regularly. Due to the products' open source | | | | "come today, gone tomorrow" so it's always difficult |
| nature it is easier and cheaper to develop plugins and | | | | to choose which company to invest in, especially as |
| compatible applications. | | | | the current trend is "over priced " when those |
| On the operating system side, Microsoft has | | | | companies that have managed to stick around decide |
| competition from Linux. Linux is now becoming more | | | | to float themselves on the stock market. I won't |
| mature and is being adopted by governments and | | | | advise you who to invest in, but I will say don't just |
| educational institutes alike. Novell (NOVL) is investing a | | | | look at the software/operating system area, also |
| lot of money in Linux, having bought German | | | | look at hardware and consultancy companies too. Big |
| company SuSE Linux GmbH in January 2004. | | | | Blue, International Business Machines Corp (IBM), has |
| One key area that they have invested a lot in over | | | | been around for a long time and there will always be |
| the past year is Xen, which is virtualisation software | | | | a demand for such companies. |