The Daily Parker

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The Economist on Windows Vista

Good, detailed summary of the economics and business aspects of Microsoft's latest operating system:

For years Microsoft's Windows logo often appeared against a blue sky with cottony clouds. But the cloud has become one of the company's biggest threats. The operating system matters less when programs can be provided online. Moreover, online software can be delivered to customers more cheaply, there is immediate feedback from users and applications can continually be improved. Those are big advantages over software sold in a box, one version at a time.
In the past Microsoft tied its operating system and applications together by “commingling” the code (and ran afoul of antitrust authorities for doing so). The rise of online applications threatens the primacy of Windows because the network becomes the platform for the software. It does not mean PC operating systems are unnecessary, just that it is increasingly the cloud, and not the PC, that is the launch pad for computing.
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