Microsoft Stock Price – What You Need to Know
The largest computer software seller in the world, microsoft has a wide range of products that extend from desktop office functionalities like Word and Excel to cloud platforms. Its Windows operating system is widely used on home computers, and its other desktop software, such as Internet Explorer and Microsoft Office, are often bundled with it or sold together in the same box as new computer systems. The company also produces laptop and tablet computer hardware, and its Xbox gaming console line competes with Sony’s PlayStation and Nintendo’s Wii. It has ventured into the augmented reality field with its HoloLens device, introduced in 2015.
The company was founded in 1975 by Bill Gates and Paul Allen, who were high school classmates. Their early software project, a compiler for the Altair 8800 microcomputer, led to the creation of Microsoft and its first product, MS-DOS. In the 1980s and ’90s, Microsoft gained dominance of the operating system market with the release of its Windows system. Its strong market position eventually gave rise to its other technological offerings, from business computer programs such as the Microsoft Dynamics suite of enterprise business software to online information services such as the Bing search engine and MSN portals and channels.
In recent years, however, the once-mighty company has seen its once-indomitable market share erode as other competitors, such as Apple and Google, have adopted web-based applications that bypass software installed on individual machines. The company’s once-dominant Internet Explorer browser has been eclipsed by competing alternatives, including Apple’s Safari and Google’s Chrome. In the mobile phone market, Microsoft has struggled to catch up with Apple’s iPhone and Google’s Android phones. Even its once-dominant Windows operating system has been challenged by competitors, such as Android and the Linux-based OS Ubuntu.
Despite these challenges, the company is still well-positioned to continue its success. Nadella replaced longtime CEO Steve Ballmer in 2014, and the company has been focused on moving its products into the digital realm. It has released a variety of mobile apps, including the popular OneNote and Skype, and has made significant investments in artificial intelligence, an area that it sees as vital to its future success.
While the company is still a giant in the software industry, its share price has languished. Many investors are awaiting evidence that the company can make a transition to a digital-first approach and keep up with its tech-savvy competitors. For example, the company has stepped up its efforts to secure election security, but it is not yet clear whether these improvements will be enough to overcome growing concerns about the role of foreign actors in cyberattacks on U.S. government agencies. It also faces competition from the Google-owned YouTube for video content and is investing in its own augmented reality platform, HoloLens. For these reasons, some analysts believe that Microsoft has peaked. Others, though, are more optimistic and expect the company to rebound.
