22-09-2015, 09:08 AM
(This post was last modified: 22-09-2015, 09:08 AM by WeAreScientists.)
What happened is they realised Google made a lot of money harvesting data and wanted in on the fun.
Microsoft's revenue from their consumer business mostly comes from licensing Windows to OEMs. So when you buy a new laptop, the company that made it paid Microsoft to put Windows on there. But in recent years the PC market has taken a complete nosedive. Sales of desktops and laptops plummeted as sales of tablets and smartphones increased. A lot of people are now using tablets instead of laptops, or they keep a laptop around but don't see the need to upgrade it because they mostly use their tablet or smartphone.
So Microsoft lost a lot of money in this transition. They've failed to crack and smartphone and tablet markets so they're just losing customers to Apple and Google.
What do they do to bring their revenue stream back up then? They realise they can suck extra money out of their existing customers by giving them a free upgrade to the new Windows, hyping it up with advertising, then setting it up to collect a lot of extra data they can monetise in a similar way to Google.
At the same time they also updated Windows 7, Windows 8, and Windows 8.1 with new software that sends extra data about how you use those off to Microsoft HQ as well.
I can only guess the plan is they claw back that extra money while they work on building up their smartphone and tablet business more. But in reality they're clawing whatever money they can from the customers that still exist before they, too, disappear, because Microsoft smartphones and tablets haven't exactly taken off.
TL;DR: Microsoft's consumer business is dying and they're desperate to keep the money coming in any way they can.
Who the fuck is Psychoactive Substances Bill and why is he taking all my drugs?