Since you ignored step 1, Try Step 7. Win Wearable computing

Win Wearable computing

I promised to give the Microsoft my humble advice on 7 steps to re-establish themselves as a technical leader. I had only written to step 4 when the Nokia deal was announced. Sorry, I have a day job so the advice comes out slowly. :-). But now that you have ignored step 1, let me skip ahead to step 7 and maybe, just maybe the $7B acquisition will not be a dinosaur mating session.

First if all, for those non-regular readers of this blog, please see my advice on why Microsoft should exit the phone/tablet and windows phone pace. The purchase of Nokia does not change the dynamics of the game. Developers don’t want a third platform and they will not build cutting edge application for your devices. The battle is over and you were not a winner.. You can pour billions of investment into this space and maybe you can win 5-10% of the market. Your prize for that accomplishment will be billons of dollars in losses. It will make the $18B you lost in Microsoft online properties seem like a paper cut.

But there might still be a way to win. Win wearable computing. This market is early. The winners have not been decided. Google Glass, the activity monitors, the soon to be launched watches are real early. Developers have not committed to a platform and they will build to any great device that gains market share.  These applications are not going to be phone/tablet ports, they are going to be new applications that take advantage of the unique nature of wearable devices. They battle for the hearts and minds of wearable developers is just beginning. While we have not heard much from Microsoft or Nokia in this area. I am sure you have resources on this. I would double and triple down here.  Make great wearable devices and applications that that work well with Windows and iOS and Android.

And you are likely in better shape here now that you own Nokia. They have produced some brilliant hardware over the years. Take your best and brightest and put them on this project. Surely they must be frustrated in the current phone/tablet war. I mean how motivating can it be to sit around the Monday phone/tablet staff meeting with the rallying cry; “We can be #3!!!” or “Let’s crush Blackberry!!!”

I was at a recent conference and Gary Vaynerchuck gave the audience this advice: “The biggest mistake you can make is being romantic about the way you have made money in the past” I would suggest to you that Microsoft is being too romantic about it’s past. Its’ idea is to control the operating system, then win the high margin app business on top of it. We understand it!!! You want Windows on PC/Tablets and Phones! It’s a wonderful romantic idea, but is just fantasy!!!! You have lost the phone /tablet space and you can only win if Android/Apple make a huuuuuuuuuuge mistake or that asteroid thing comes through for you.

If you want romance, pull out a copy of “Casablanca” or better yet, pop in a Betamax tape of the Windows95 launch.  But if you want to regain tech leadership, give up on phones/tablets. Win Wearables.

PS – I will go back and cover steps 5 and 6 later this week.