What’s Next for Microsoft, Google and the Rest of IT Industry? - Andy Blumenthal


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What’s Next for Microsoft, Google and the Rest of IT Industry? - Andy Blumenthal

  1. 1. What’s Next for Microsoft, Google and the Rest of IT Industry? (Opinion) 12/17/10 10:56 AM Home News Topics Jobs Digital Communities Video Events Webinars Grants Magazines Advertise Search What’s Next for Microsoft, Google and the Rest of IT Industry? News Topics (Opinion) Government Technology Videos E-Government Emerging and Sustainable December 16, 2010 Related Products Los Angeles County Prepares for a Technology By Andy Blumenthal Nuclear Explosion Protect your Enterprise Technology November 17, 2010 “We are living in a Windows system & Health and Community material world, and I spot performance Net Zero Energy: Inside the Federal Services am a material girl.” — issues fast with this Governments Most Energy-Efficient Madonna FREE Disk Building IT Policy/Management Performance November 3, 2010 Justice and Public Safety For some people, like Analyzer. : Products Madonna, the Diskeeper Disaster Response Gets Boost From Viz “material world” Corporation Lab Geo-Animations Security represents a society September 29, 2010 View All News Topics... where people must Find out why more GT Network of Sites: pay to get their way. than 90% of Fortune Digital Communities To me it means the 500 companies rely mortal world, where on Diskeeper’s Emergency Management Andy Blumenthal, CTO, we are born, live, try innovative products. : Bureau of Alcohol, Tobacco, Public CIO to thrive and Diskeeper Firearms and Explosives Videos ultimately pass the Corporation baton to others. Newsletters Mortality isn’t limited to human beings, but is also a Magazine property of organizations. Several articles have appeared View the Current Issue about it lately in mainstream and IT publications. Industry analysts are looking to Microsoft and Google and wondering how they, like other technology organizations, will master the competency of, as Computerworld puts it, “Getting to next.” A curious irony runs throughout these conversations. Microsoft and Google are seemingly on top of their respective games, dominating the market and earning tens of billions in revenue per year. Despite being at the pinnacle of the technology industry, various industry watchers have noticed, they appear unable to see what’s the next rung on their ladder. It’s almost like they’re dumbfounded that nobody has placed it in front of them. Subscribe Consider, for example, that Microsoft dominates desktop operating systems, with approximately a 90 percent share of the market, business productivity suites at 80 percent and browser software at 60 percent. Google similarly dominates Internet search Daily Newsletter at about 64 percent. Enter Email Address view sample Everyone is asking: Why can’t these companies find their next great act? Microsoft launched the Kin and dropped it after less than two months; Bing has a fraction of Google’s market share in search; and Windows Mobile never became a major player as an operating system. Further, as The Wall Street Journal pointed out, the Xbox video Industry Perspectives MOST VIEWED MOST COMMENTED game system, though finally profitable, Microsoft will likely never recoup the initial Case Studies investment in research and development. This Section | Whole Site White Papers Similarly Google gambled by acquiring the ad network DoubleClick in 2007 for $3.1 What’s Next for Microsoft, Google and the Rest of Contributed Solutions IT Industry? (Opinion) billion, YouTube in 2006 for $1.6 billion and the mobile ad platform AdMob in 2009 for Partner Sites $750 million. But so far, as Fortune noted, Google hasn’t seen significant benefit from Virtual Alabama Facilitates Data Sharing Among State and Local Agencies these purchases in terms of diversifying its revenue stream. “The day is coming when … the activity known as ‘Googling’ no longer will be at the center of our online lives. Then California CIO Teri Takai Named U.S. Defense what?” said The Wall Street Journal. Department IT Chief Ohio Shared Services Uses Enterprise System to From the perspective of organizational behavior, there’s a natural law at work here that Consolidate State Financial Services explains why these resource-rich companies, which have the brains and brawn to Smart Cameras Aim to Stop Crimes Before Theyhttp://www.govtech.com/featured/Whats-Next-for-Microsoft-Google.h…news&utm_medium=link&utm_campaign=Whats-Next-for-Microsoft-Google Page 1 of 4
  2. 2. What’s Next for Microsoft, Google and the Rest of IT Industry? (Opinion) 12/17/10 10:56 AM Smart Cameras Aim to Stop Crimes Before They repeatedly reinvent themselves, are in apparent decline. All organizations, like all people Occur and natural organisms, have a natural life cycle — birth, growth, maturity, decline and death. To stay competitive and on top of our game, we constantly must plan our strategy and tactics to move into the future. However, organizations, like people, are mortal. Some challenges are part of life’s natural ups and downs. Others tell us we are in a decline that cannot be reversed. At that point, the organization must make decisions that are consonant with the reality of its situation, salvage what it can and return to the shareholders what it can’t. In other words, eventually every organism will cease to exist in its current form. During its life cycle, it can reinvent itself like IBM did in the 1990s. And when reinvention is no longer an option, it goes the way of Polaroid. This is similar to technology itself. As a new technology emerges, time and effort is spent further developing it to full capacity. We optimize and integrate it into our lives and fix it when it’s broken. But there comes a time when horses and buggies are no longer needed, and it’s time to face the facts and move on to cars — and one day, who knows, space scooters? Going back full circle to the human analogy: People can reinvent themselves by going back to school, changing careers, perhaps remarrying and so on. But eventually we all go gray. And that’s fine; that’s the way it should be. Let’s reinvent ourselves while we can. And when we can’t, let’s accept our mortality graciously and be joyful for the great things that we have done. Andy Blumenthal is the CTO of the Bureau of Alcohol, Tobacco, Firearms and Explosives. A regular speaker and published author, Blumenthal blogs at The Total CIO. Blumenthal’s views are his own and do not represent those of any agency. This column does not represent an assessment of Microsoft, Google or any other organization. 1 retweet | More Comments Add Your Comment Name * Email Comment *http://www.govtech.com/featured/Whats-Next-for-Microsoft-Google.h…news&utm_medium=link&utm_campaign=Whats-Next-for-Microsoft-Google Page 2 of 4