"Microsoft Missing Netbook Growth as Linux Wins Sales. The boring biz-journalism headline is guarding some startling facts.
""Nov. 6 (Bloomberg) — Small laptops are becoming a big problem for
Microsoft Corp.’s Windows business. [...] Acer Inc. and Asustek
Computer Inc., which together account for 90 percent of the netbook
market, are using the rival Linux software on about 30 percent of
their low-cost notebooks.""
"30% is significant share, well above the single-digit range that desktop Linux has been stuck in for the last decade and larger than ISVs can afford to ignore. And it's hitting Microsoft's bottom line:
""The devices, which usually cost less than $500, are the
fastest-growing segment of the personal-computer industry --a trend
that's eating into Microsoft's revenue. Windows sales fell short of
forecasts last quarter and the company cut growth projections for the
year, citing the lower revenue it gets from netbooks.""
The phrase "sales fell short of forecasts" is deadlier than it sounds."