The rationale becomes clearer with an examination of the BCG Matrix. So why give these products away in 2015? Is this a case of killing the cash cows (akin to liquidating the goose that laid the golden egg)? The Microsoft divisions responsible for Windows and its productivity software have historically earned the bulk of the company’s profit, “cash cows” per the BCG Matrix. MS Office featuring Word, Excel and PowerPoint has been the leading productivity suite for years as Microsoft overwhelmed early leaders such as WordPerfect and Lotus 1-2-3. Windows is Microsoft’s signature product, the operating system that at one time ran the vast majority of personal computing devices, propelling Microsoft to a market dominance that the federal government sought to curtail with an antitrust action in the 1990s. This accompanies the company’s similar offers of free Microsoft Office apps for users of iOS and Android systems. Microsoft has announced that its new Windows 10 will be a free upgrade for a wide range of current Windows users. Microsoft CEO Satya Nadella introduces the new version of the company’s signature product, Windows 10.
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