hairyfeet writes "Gartner analysts Michael Silver and Neil MacDonald told a conference audience yesterday that Microsoft's Windows product is collapsing and must make radical changes to its operating system or risk becoming a has-been. They pointed out the abysmal adoption rate of just 6% for businesses and the huge size of the code base which means years to make changes and leaves only the most high end computers to take advantage of it anyway.
The real question isn't "What can Microsoft do to fix their Windows product?" but rather "Even If Windows and Office were perfect, would it be enough to keep Microsoft relevant in the medium term?" I think the answer to that latter question might be "nope." And that, of course, is why they want Yahoo so badly. Online advertising revenue is their only real hope of long term survival."