Sunday, November 10, 2013

Microsoft’s Tablet Ecosystem Has Just 1 Issue




Microsoft (NASDAQ: MSFT  ) is truly a world-class software house. When it comes to sheer technical prowess, free cash flow generation, and even business diversity, it is truly difficult to beat Microsoft. While Microsoft continues to try to play itself up as a devices company, the reality is that the 75% of Microsoft's business not tied to Windows is actually faring quite well. Even Windows, which saw a slump due to weakening PC sales and poor adoption of Windows 8, is still likely to continue doing well in the long term as the PC evolves and Windows finds a home in tablets.

However, Windows tablets still continue to face one fatal flaw -- apps. This isn't a problem for Windows 8.1-based notebooks and desktops since the "legacy" desktop mode still offers a broad, rich ecosystem of applications. Read more.

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