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Viking

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I was not able to find MSFT in the investment ideas section so I thought I would start one.

 

I am in the process of putting together a list of large cap favourites able to survive and thrive should the economy really get ugly. Very low debt; strong moat; strong management; shareholder friendly etc.

 

BRK is a no brainer for this list. MSFT is another from my perspective. My one concern with MSFT is management but I do not view Ballmer as terrible just not great.

 

Here is a very good MSFT summary: www.gurufocus.com/news/145514/why-microsoft-is-an-attractive-buy 

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I was not able to find MSFT in the investment ideas section so I thought I would start one.

 

I am in the process of putting together a list of large cap favourites able to survive and thrive should the economy really get ugly. Very low debt; strong moat; strong management; shareholder friendly etc.

 

BRK is a no brainer for this list. MSFT is another from my perspective. My one concern with MSFT is management but I do not view Ballmer as terrible just not great.

 

Here is a very good MSFT summary: www.gurufocus.com/news/145514/why-microsoft-is-an-attractive-buy

 

The original thread on MSFT is located here:  http://www.cornerofberkshireandfairfax.ca/forum/index.php?topic=2446" data-ipsquote-contentclass="forums_Topic" 20181#msg20181

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  • 1 month later...

A while ago we had a conversation about Apple's iOS universe being sticky because of the investments people were making in Apps.  That is, consumers would be less willing to switch phone platforms because they already bought a bunch of apps and media that run only on that platform.

 

Here's how Microsoft is dealing with it:

 

http://windowsteamblog.com/windows_phone/b/windowsphone/archive/2011/11/18/buy-a-new-windows-phone-get-25-worth-of-apps.aspx

 

 

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UC Berkeley posted its reasoning for selecting Google email and calendar functions over Microsoft.

 

http://technology.berkeley.edu/productivity-suite/google/matrix.html

 

Functionally, Google has significant advantages that Berkeley can quickly and cost-effectively take advantage of; its most significant weakness is its lack of integration with an on-premise email and calendar solution in the way Office365 does. A UC Berkeley Microsoft implemention requires some central AD and Exchange infrastructure to support the on-premise solution and our wish to keep our MX records at UC Berkeley.

 

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Guest valueInv

UC Berkeley posted its reasoning for selecting Google email and calendar functions over Microsoft.

 

http://technology.berkeley.edu/productivity-suite/google/matrix.html

 

Functionally, Google has significant advantages that Berkeley can quickly and cost-effectively take advantage of; its most significant weakness is its lack of integration with an on-premise email and calendar solution in the way Office365 does. A UC Berkeley Microsoft implemention requires some central AD and Exchange infrastructure to support the on-premise solution and our wish to keep our MX records at UC Berkeley.

 

Money probably has a lot to do with it:

 

http://venturebeat.com/2011/12/22/uc-berkeley-google-apps/

 

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Microsoft Surface Pricing Leak:

 

http://techcrunch.com/2012/10/16/microsoft-surface-rt-priced-32gb-for-499-without-touch-cover-599-with-64gb-for-699/

 

If the base version without a touch keyboard really is $499, I think Microsoft is going to fail to take much away from the iPad. Microsoft desperately needs a hot product to showcase Windows 8 RT. I would not expect many to pay and iPad price for an unproven device that cannot run x86 applications. I'll hold my breath, but Microsoft may have failed in hardware, again.

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ross maybe

 

surface RT comes with office for student edition

 

i need to replace my laptop right now as well as i need to get something for my kids, i am still mulling over which device(s) to buy.

 

i have the first generation kindle fire (which is a bit buggy) the touch screen is not very good for my 2 year old (she constantly taps it many times, since the responsiveness is not immediate and very good)

 

myself - surface pro or ultrabook

my kids - ipad or surface rt

 

 

hy

 

Microsoft Surface Pricing Leak:

 

http://techcrunch.com/2012/10/16/microsoft-surface-rt-priced-32gb-for-499-without-touch-cover-599-with-64gb-for-699/

 

If the base version without a touch keyboard really is $499, I think Microsoft is going to fail to take much away from the iPad. Microsoft desperately needs a hot product to showcase Windows 8 RT. I would not expect many to pay and iPad price for an unproven device that cannot run x86 applications. I'll hold my breath, but Microsoft may have failed in hardware, again.

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The Surface is really competing against the iPad proper not the mini. This given its tablet + keyboard setup....looks real interesting.

 

I guess I had expected Microsoft to price the Surface RT below the iPad to establish a market for Windows 8 tablets instead of competing with the iPad head to head. I expected a 350, 400-450 pricing structure. An iPad 3 with a keyboard is cheaper than the Suface RT with a keyboard at $599. We will have to wait and see but I think Microsoft shot themselves in the fool if that is the real price.

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Frankly, rather than directly competing against iPads, I think they're indirectly competing against them - what I mean by that is I don't think it's supposed to be an iPad alternative, but rather they're interpreting that market differently, and establishing a foothold in the broader sub-$1000 ultrabook category, as a hybrid between laptops and iPads.

 

Remember, iPads are good products, but many users would be hesitant to make it their primary computing device. For example students and mobile professionals.

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Guest valueInv

Frankly, rather than directly competing against iPads, I think they're indirectly competing against them - what I mean by that is I don't think it's supposed to be an iPad alternative, but rather they're interpreting that market differently, and establishing a foothold in the broader sub-$1000 ultrabook category, as a hybrid between laptops and iPads.

 

Remember, iPads are good products, but many users would be hesitant to make it their primary computing device. For example students and mobile professionals.

 

The more expensive Intel-based Surface devices (not yet released) are the ones that attack the ultrabook category. Surface RT is ARM based and cannot run regular Windows apps.

 

http://www.engadget.com/2012/06/18/microsoft-surface-tablets-the-differences-between-rt-and-window/

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The Surface is really competing against the iPad proper not the mini. This given its tablet + keyboard setup....looks real interesting.

 

I guess I had expected Microsoft to price the Surface RT below the iPad to establish a market for Windows 8 tablets instead of competing with the iPad head to head. I expected a 350, 400-450 pricing structure. An iPad 3 with a keyboard is cheaper than the Suface RT with a keyboard at $599. We will have to wait and see but I think Microsoft shot themselves in the fool if that is the real price.

 

Are they not pricing below the ipad? - 32gb surface for $499 vs 32gb ipad for $599?

 

Here is an early review

http://news.cnet.com/8301-10805_3-57532991-75/at-$499-is-microsofts-surface-tablet-priced-to-move/

 

Right off the bat, that price does have at least two things going for it. One, it comes with 32GB of storage not 16GB like the identically priced Apple iPad. Two, it comes with Microsoft Office -- for now that means Microsoft Office Home and Student 2013 RT Preview. (The final Office version "will be installed via Windows Update when available," according to Microsoft.)

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Microsoft quarterly results are out: link.

 

* Windows revenues are down by 33% because everybody is waiting for / preordering Windows 8. (but even considering that, margins and profit will probably stay lower here due to increased competition).

* Business & Server divisions are still a huge cashcow.

* Generating a nice 8 billion dollar / quarter cashflow.

* Bought back ~0.6% of outstanding shares this quarter.

 

No shocker afaik :)

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Guest rimm_never_sleeps

msft has done a good job diversifying away from windows desktop. they have also done a good job teaching their shareholders they won't ever buy back a lot of stock or raise the dividend like cisco did last month.

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