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In their own words:
http://microsoft.shareholder.com/redesign/EdgarDetail.asp?CIK=789019&FID=1193125-08-162768&SID=08-00
"Linux [...] gained some acceptance as competitive pressures lead PC OEMs to
reduce costs and new, lower price PC form factors gain adoption. [...] Nearly
all computer manufacturers offer server hardware for the Linux operating
system and many contribute to Linux operating system development. The
competitive position of Linux has also benefited from the large number of
compatible applications now produced by many leading commercial software
developers and non-commercial software developers. [...] Our Web application
platform software competes with open source software such as Linux, Apache,
MySQL and PHP, and we compete against Java middleware such as JBoss, Geronimo
and Spring Framework. [...] Windows Mobile software and services faces
substantial competition from Apple, Nokia, Openwave Systems, Palm, QUALCOMM,
Research In Motion, and Symbian. The embedded operating system business is
highly fragmented with many competitive offerings. Key competitors include
IBM, Wind River, and versions of embeddable Linux from commercial Linux
vendors such as Metrowerks and MontaVista Software."
Recent:
Microsoft loses 90 Billion Dollars
http://slated.org/microsoft_loses_90_billion_dollars
Steve Ballmer: "Open...Linux [is Microsoft's biggest competitor]. I don't want
to say open source. Linux, certainly have to go with that."
http://www.news.com/Feeling-the-heat-at-Microsoft/2008-1012_3-6232458.html?tag=ne.fd.mnbc
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