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Invest

$200m in
advertisi
ng and
marketin
g to
promote
the Lower
windows price
phone in on the
other surface
countries tablet
Weig A A TA
TAS
Opportunities ht S S S
Smartphone shipments by 2016 are expected to exceed 0.0 0.3
1 0.08 1 4
1,200 million units. 8 2
In 2012, China surpassed the USA as the world's largest
0.0 0.3
2 smartphone market, yet there are millions of untapped 0.09 1 4
9 6
customers remaining in China.
Cloud services are expected to yield revenues of $100 0.1 0.0
3 0.06 3 1
billion in 2016, up from $40 billion in 2011. 8 6
High definition TVs and tablets of today are expected to
soon lose market share to gadgets than can read human
4 0.1 0 0 0 0
emotions and to eye gaze technology that will allow for
automatic scrolling and opening of apps.
5 Growing trend among firms to hire employees who have 0.1 4 0.4 1 0.1
professional certifications.
Many firms now are competing on process and are in need 0.1 0.2
6 0.07 2 4
of consulting services. 4 8

Weig A A TA
TAS
Threats ht S S S
0.2 0.2
1 0.07 4 3
Faltering PC market. 8 1
Google and other competitors are now offering web-based
2 products that work much the same as MS Office products 0.1 0 0 0 0
work
Skype, it is estimated that a large percentage of its
3 customers come from emerging markets and do not have 0.07 0 0 0 0
much money to spend.
Apple and Google operating system are two most popular
4 0.1 1 0.1 3 0.3
for smart phone users.
As the tablets video gaming experience increases and
becomes closer to the experience on an Xbox, PlayStation 0.0 0.1
5 0.09 1 2
or Nintendo's market share for traditional gaming consoles 9 8
may decline.
6 Privacy remains a problem in the software industry. 0.07 0 0 0 0
Invest
$200m in
advertisin
g and
marketing
to
promote
the Lower
windows price
phone in on the
other surface
countries tablet
Weig A A TA
TAS
Strengths ht S S S
1 MS is the world's largest software company and had record 0.09 0 0 0 0
revenues of $73 billion in fiscal 2012.
MS offers consulting services, cloud-based services, and 0.3 0.0
2 traning certifications, as well as online products such as 0.08 4 1
2 8
Bing, MSN, adCenter, and Atlas.
MS owns Skype, has an alliance with Nokia, and recently
0.0 0.3
3 introduced a Windows Phone, and a Windows tablet 0.08 1 4
8 2
computer named "Surface".
Revenues outside the USA in 2012 accounted for 47% of
4 0.08 0 0 0 0
total revenue.
MS is developing technologies that increasingly enable
0.0 0.2
5 touch screen and voice to be more readily understood by 0.07 1 3
7 1
PCs, tables and phones.
6 Many PC makers such as Dell, Sony, Toshiba and others 0.08 0 0 0 0
pre-install MS software on devices.

Weig A A TA
TAS
Weaknesses ht S S S
0.0 0.3
1 0.09 1 4
Sales of MS's new Surface tablet were fewer than 1 million. 9 6
2 MS remain heavily reliant on Windows software sales as a 0.08 0 0 0 0
percent of companywide revenue.
3 Over $14 billion in goodwill on the balance sheet. 0.06 0 0 0 0
All divisions other than Server and Tools experienced slow 0.3 0.1
4 0.12 3 1
growth or negative growth in 2012. 6 2
90% of all revenues in the MS Business segment from MS 0.3 0.2
5 0.08 4 3
Office. 2 4
6 Xbox sales declined $113 million in 2012. 0.09 0 0 0 0

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