Competitive Business Models by the IT Giants

January 15, 2007 by techbuzz | Leave a Comment
Filed Under Company News

Microsoft is emerging as one of the top leaders in the field of computer related technology. is posed to cater to the growing needs and necessities of the ever expanding IT market. With its innovative business policies, the Company is thriving to display the best technology in the arena of IT. Its four distinct businesses include software, gaming, Web services and personal music. Microsoft is in fact dictating the 21st century technology with $46 billion in revenue and a consistent net profit margin of 30%.

Usually IT companies don’t have that innovative zeal or urge to include more than one business model in their ambit, though they many a term even amass profits with a solo model. Over and above, to flourish and thrive in the cut-throat competitive market in terms dictated by the Company itself, is indeed praiseworthy. Microsoft’s gaming system, one-year-old , the new are all marching steadily competing with giants like Google and Apple’s iPod. In fact, shareholders would in all cases start drawing profits this year from Microsoft’s Xbox gaming system.

logo of microsoft

However, now has ventured their third business model with the launch of their iPhone. The concept of iphone though a new one is expected to rope in a good number of consumers in the long run. As regards Microsoft, the most important factor for their growth and profit is their tenacity in the IT market, which has earned them a great credibility among the consumers. Microsoft’s risky investments in the new business models has now as if become a brand identity for the Company. HP is also not lagging behind in this competitive fourth business model. On the contrast, it has been seen that another big player IBM sold its business of PC to . It is time and perseverance for those IT giants to wait and watch as to what extent they are able to get back the returns through their investments in such competitive fourth business model.

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