The world of Google (GOOG) is a world where PC software applications run on the Internet with the heavy work being done by Google’s servers. The latest Google software, Chrome, is a simple operating system that takes advantage of that philosophy.
The world according to Microsoft is one in which the software runs on the PC and uses its computing power, memory, and drivers.
Google believes that its system is less expensive and more convenient for most businesses and consumers, but it will be some time before a fully-functioned version of Chrome can compete with Microsoft Windows. In the meantime, Microsoft plans to flank Google by offering its own Internet-based software. By the time Google gets to market with a strong version of Chrome, Microsoft may already be there.
According to the FT, Microsoft has set “final plans for a “cloud” operating system designed to extend Windows to the internet.”
Microsoft is seen by many members of the tech community as being plodding and cautious. It has proved otherwise by putting out a fairly revolutionary search engine, Bing, which is offering significant competition to Yahoo! (YHOO) and Google. Now, Redmond means to beat Google at its own game in the PC applications business.
Microsoft’ scompetitors may find that all the damage done to it by rivals and all the bad press have put the world’s largest software company on a war footing and that could shake up the software and internet worlds in a way that has not happened since Google began its ascent as the most admired technology company in the world.
Douglas A. McIntyre
Top Gaining Stocks
Top Losing Stocks