Microsoft admits that the iPad is ‘cannibalizing’ Windows based Netbook sales

By Tom Warren, on 3rd Nov 10 7:21 pm with 3 Comments

Microsoft Windows general product manager Gavriella Schuster has admitted that devices such as Apple’s iPad and Google’s Android tablets are beginning to threaten Windows netbook sales.

Schuster made her comments to Nick Eaton at Seattle PI. The Windows worker admitted that Netbooks, 90% of which now run Windows, “are definitely getting cannibalised”. Schuster said “These are really a second device. But they are getting cannibalised.”

Nick Eaton at Seattle PI. The Windows worker admitted that Netbooks, 90% of which now run Windows, “are definitely getting cannibalised”. Schuster said “These are really a second device. But they are getting cannibalised.”

The admission is an honest one from a company official. Apple’s iPad, which went on sale in April, has sold around 4 million units. According to a report released Monday by Strategy Analytics, the iPad now commands 95% talet market share.

Despite Microsoft’s success with Windows 7, the company has had a poor year competing in the upcoming mobile and smartphone markets. Microsoft launched two Kin devices earlier this year but canned the project after only three months. Only around 10,000 devices were sold and Microsoft employees admitted to being embarrassed over the failure. The Redmond giant’s Windows Mobile software has also been losing market share rapidly over the last few years due to competitive offerings from Apple, Google and RIM. Microsoft has been widely criticised over its failure to respond to Apple’s iPad device. Steve Ballmer, Microsoft CEO, previously said Windows 7 based Slates would be available “as soon as they’re ready” when questioned earlier this year.

Microsoft Chairman, Bill Gates, said earlier this year that the company has a lot of different tablet projects it is pursuing. Microsoft canceled their internal Courier project shortly after the release of the iPad earlier this year. The project was an innovative new tablet concept that had promised to combine a dual screen book design with finger and stylus input. The leaked promotional materials demonstrated various concepts that would have brought an unparalleled productivity tool to the market. Most media outlets and analysts felt the move to cancel the device was a mistake.

Ballmer recently revealed that Microsoft will be introducing some touch optimisations for Windows 7 with partners in the coming year. “We’re not going to do a major revamp of Windows 7 for slate applications, that will come in the next version (Windows 8)” said Ballmer at a UK Tech Days conference in early October.

  • http://www.mstechpages.com Dustin Harper

    I really wish the Courier would have made a debut. I really like the iPad’s functionality, but REALLY need a stylus for writing and fine things. You can’t draw details with your finger. It’s like a childs toy, not very much fine motor skills needed.

    That, and the iOS isn’t tailored very well for real work. The iPad is a larger iPod Touch, in reality. But, I still like them for a time waster. But, for work, I’ll stick with the competition of Windows. :)

    • http://www.twitter.com/astroXP astroX

      I really wish they make the Courier!!! :(

    • Tom W

      Yeah I think we’ll see the software elements of Courier make their way into Windows 8.