Windows of opportunity for Microsoft

Article Abstract:

The hype surrounding Microsoft's release of the Windows 95 operating system cannot be solely explained by the company's estimated $150 million advertising campaign. Microsoft's products affect millions, since over 80% of all PCs use a Microsoft operating system, and most software vendors create their applications for a Microsoft operating system. Windows 95 is the first fundamental change to the Microsoft OS since 1990. Windows 95 has 11 million lines of code, in contrast with Windows 3.1's 3 million lines. Microsoft wants to generate rapid sales of the operating system to sustain its corporate image and its revenues. Estimates of Windows 95 sales for 1995 range from 29 million copies to 20 million copies to 14 million copies. Profits would reach $1.45 billion if it sold 29 million copies, but only $700 million for 14 million copies. Microsoft wants most of all to spur the cautious corporate segment into rapid implementation of the new operating system.

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Midnight sales frenzy ushers in Windows 95

Article Abstract:

Microsoft releases the Windows 95 operating system in a marketing blitz that fails to conquer Wall Street or win over the skeptical. Computer retailers stayed open until midnight and hosted parties with such incentives as free pizza, product discounts and even airline tickets. Microsoft states it has spent over $200 million on the marketing campaign. The company has also scored some firsts during its marketing blitz, such as paying for the day's run of The Times of London and getting its corporate colors displayed on New York's Empire State Building. Despite the advertising momentum, a survey of daytime shoppers in computer stores reveals that most do not plan to buy Windows 95. Microsoft stock fell slightly on the day preceding the release. Analysts believe Microsoft will earn $700 million to $1.45 billion from Windows 95. The product is expected to drive sales of related computer products and may increase sales by over 20% in the computer industry.

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Gates goes on the offensive during Silicon Valley visit: refuses to accept limits on Windows 95

Article Abstract:

Microsoft Chmn William H. Gates said the software giant would not accept limitations on adding features to its Windows 95 OS. Gates said he had no plans to defy the US Government but insisted Microsoft would continue to pursue its goals as a technology innovator. Both the Justice Department and the press reacted unfairly to Microsoft's initial efforts to respond to Federal Judge Thomas Penfield Jackson's temporary order by presenting a nonworking Windows 95 version, Gates said. Microsoft partly settled the high-visibility lawsuit by allowing PC manufacturers to install Windows 95 on their machines without having to bundle Microsoft's Internet browser. Gates, while on a visit to Silicon Valley, promised that Microsoft would place future emphasis on lobbying in Washington. He said the Government suit would not impact his approach to running his business.

Systems Software Pkgs (Micro), Planning, Cases, Product information, Antitrust law, United States. Department of Justice, Economic policy, Gates, Bill, Company product planning, Company business planning, Litigation, Lawsuit/litigation, Antitrust Issue

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