Are these the signs that Microsoft is struggling?

First, Microsoft has announced that to be more agile, lean and mean, there will be an across board restructuring of the company. "The end goal is to bring products to market faster and encourage users to adopt Microsoft technologies on a variety of devices."

To me, this sounds like two things. One, Microsoft is in trouble. Two, layoffs are coming. You never go through a re-org or realignment and keep the same number of people as when you started.

Additionally, as another sign of weakness, the Surface RT has turned in some weak sales numbers and now Microsoft has a surplus. What do you do with a product nobody wants? Put it on sale of course! Rumor has it the price will drop by $150.

And just to throw it out there, I don’t think the new Xbox One is going to make as big a splash as the previous versions. Even though Microsoft backpedaled on all the foolish ideas they had about it, I think they’ve lost ground. If people are going to have to invest in entirely new systems it might be time for a change.

Windows 8 hasn’t been a great success, the Xbox is showing signs of weakness, the Surface hasn’t gained deep market acceptance, the Windows Phone 8 isn’t making a dent to iOS and Android and now the company is going through a massive re-org which will certainly cause attrition and big names to leave the company.

The horizon is looking pretty sketchy for the software giant.

Microsoft embarking on ambitious realignment effort
Surface RT now available at a more reasonable price

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