A passionate marketers point of view

Microsoft: A lesson in crushing innovation

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Microsoft has become a clumsy, uncompetitive innovator. Its products are lampooned, often unfairly but sometimes with good reason. Its image has never recovered from the antitrust prosecution of the 1990s. Its marketing has been inept for years; remember the 2008 ad in which Bill Gates was somehow persuaded to literally wiggle his behind at the camera ? Here are some lessons from a former Microsoft insider on how to stifle innovation. A great former insiders view of why Microsoft is in trouble.
While Apple continues to gain market share in many products, Microsoft has lost share in Web browsers, high-end laptops and smartphones. Despite billions in investment, its Xbox line is still at best an equal contender in the game console business. It first ignored and then stumbled in personal music players until that business was locked up by Apple.

Why did this happen ?

1.
Microsoft never developed a true system for innovation. Some former colleagues argue that it actually developed a system to thwart innovation.

2. Despite having one of the largest and best corporate laboratories in the world, and the luxury of not one but three chief technology officers,
the company routinely manages to frustrate the efforts of its visionary thinkers.

3
.Internal competition is common at great companies. It can be wisely encouraged to force ideas to compete. The problem comes when the competition becomes uncontrolled and destructive. At Microsoft, it has created a dysfunctional corporate culture in which the big established groups are allowed to prey upon emerging teams, belittle their efforts, compete unfairly against them for resources, and over time hector them out of existence. It’s not an accident that almost all the executives in charge of Microsoft’s music, e-books, phone, online, search and tablet efforts over the past decade have left.

* This is from an article in the Opt Ed Section of the NY Times by Dick Brass a former Microsoft insider. There are lessons to be learned here and if you allow issues like these to remain unresolved it can take a company down. When was the last time you really said "wow" to a Microsoft product ?



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