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[News] [Rival] Microsoft's Channel-stuffing to Hide Zune Failures

  • Subject: [News] [Rival] Microsoft's Channel-stuffing to Hide Zune Failures
  • From: Roy Schestowitz <newsgroups@xxxxxxxxxxxxxxx>
  • Date: Sat, 24 Nov 2007 05:29:00 +0000
  • Newsgroups: comp.os.linux.advocacy
  • Organization: Netscape / schestowitz.com
  • User-agent: KNode/0.10.4
Why Microsoft’s Zune is Still Failing

,----[ Quoet ]
| Just as with its “shipment sales” of the Xbox 360, Microsoft’s retailers now 
| have to sell them again, this time for real. Channel stuffing makes for good 
| press releases, but it doesn’t actually put products in the hands of 
| consumers. It does however allow Microsoft to advertise sales twice: first as 
| shipment sales reported in its financial statements, and again as retail 
| sales reported by NPD.     


More examples below. They cook the books. Same with their financial figures...


Microsoft says Zune executive will leave company

,----[ Quote ]
| Bryan Lee, corporate vice president at Microsoft's entertainment
| and devices division, also played a key role in shaping the Xbox
| game console business and the introduction of its Internet
| Protocol television software.


Error Message Of The Day: "Zune Failed"

,----[ Quote ]
| This is what you get if you plug the Zune 2 directly into a Vista PC.


Software Notebook: Microsoft's cash pile isn't what it used to be

,----[ Quote ]
| But Microsoft has taken a series of steps to reduce its cash
| balance. Specifically, by Microsoft's count, the company has
| paid out nearly $100 billion through dividends and repurchasing
| its own stock in the past five years.


Is that 1 Million Zunes Shipped or Sold?

,----[ Quote ]
| Stephen Baker, NPD's vice president of industry analysis, says he believes 
| that Microsoft could have shipped 1 million Zunes. "They have not sold 1 
| million players through nor do I believe they will by the end of June," he 
| said. "That number is likely to be around 750,000."
| Microsoft's modest sales goal--at least compared to more than 100 
| million iPods--may or may not be in sight, depending on whether
| that number is shipped or sold.


Rumor: Is Microsoft cheating their [Xbox 360] sales?

,----[ Quote ]
| All in all, there are some sobering thoughts with very broad implications
| for any company if that were true. That being said, would you buy
| from Microsoft, or any other company for that matter, if they were
| cheating their sales?


Uh-Oh, Vista! PC Sales Levels Are Normal

,----[ Quote ]
| "Vista hasn't been a catalyst for PC sales," he said. "Looking at the
| weekly data, there really isn't anything happening with sales that
| has anything to do with Vista."


,----[ Quote ]
| "This is a relic of old-line consumer products companies like Philip
| Morris, or fraudsters like Miniscribe who literally shipped bricks in
| lieu of disk drives to hit sales targets.
| [...]
| Channel stuffing is the business practice where a company or a sales
| force within a company inflates its sales figures by forcing more
| products through a distribution channel than the channel is capable
| of selling to the world at large.
| [...]
| We have a game we play around the office here with Microsoft press
| releases. The game is, "Find the words that make the headline true."
| It's not always easy.
| [...]
| Sony, like Microsoft, announces units shipped, not actually sold.
| This allows both companies to advertise sales numbers based on how
| many units they can force retailers to accept, not on how many units
| customers actually buy; both have considerable market power to push
| excess unsold inventory into the channel."


Open Source Fights Back

,----[ Quote ]
| Question: The OpenSourceParking.com announcement cites a Netcraft
| report, which found that GoDaddy.com's migration from Linux to Windows
| caused Apache to lose server share. Was this event the sole impetus
| for OpenSourceParking.com?
| Perens: Not the first. It's part of a continuing behavior pattern by
| Microsoft that I think it's fair to call "dirty fighting." GoDaddy was
| using Apache (I assume on Linux) because it was a great technical
| solution. They didn't switch to IIS on Windows Server 2003 for any
| technical reason. The switch was accompanied by a press release by
| GoDaddy, containing Microsoft promotional language. Now, I've changed
| many servers from one thing to another, but I've never made a press
| release about it. GoDaddy wouldn't be doing that unless Microsoft had
| offered them something valuable in return. There has been talk in the
| domain business that Microsoft has been offering the large domain
| registries a wad of cash to switch their parked sites. There is no
| other reason to do this than to influence the Netcraft figures.


Microsoft’s Club Live fiasco

,----[ Quote ]
| People were using the macro on more than 3 games at a time, on more than 2 
| accounts at a time, why Microsoft didn’t pick up on the fact that in the 
| first few days some people had accumulated enough for 3 Zunes each is beyond 
| us. Some were lucky, others, not so much.   
| [...]
| So far no one has been banned from using their accounts, which they needed to 
| sign up, probably because they did not break any laws, or probably because 
| Microsoft didn’t want that hassle and liked their new found traffic.  


Bots Helped To Boost Microsoft Live Search Gains

,----[ Quote ]
| In a blog post, Compete analyst Steve Willis attributed Microsoft's 
| search gains to prizes awarded to users participating in Live Search 
| Club, which features games that post queries to Microsoft's search 
| engine.
| [...]
| Microsoft is essentially being DDoSed by thousands of people hundreds 
| of times per minute, but they are mistaking this rise in traffic for 
| people actually using Live Search."


Microsoft funding bankrupt Live Search experiment with porn spam

,----[ Quote ]
| Dear reader, please tell me: what do you think of a search engine that steals 
| (bandwidth and AdSense revenue), lies, spams away, and is not clever enough 
| to stop their criminal activities when they’re caught?  
| Recently a Live Search rep whined in an interview because so many robots.txt 
| files out there block their crawler... 


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