Goldman Sachs: Split up Microsoft

[Bateluer]

http://www.xbitlabs.com/news/other/...d_Spin_Off_Xbox_Console_Business_Analyst.html

Analysts from Goldman Sachs investment firm said that Microsoft Corp. should spin off its consumer Xbox business as potentially lower than expected software sales lock potentially high financial performance of consumer businesses. The proposal hardly makes a lot of sense due to many reasons, among which is natural dependence of console hardware business on financial potential of its owner.

Hmm, cause you know, Microsoft needed the taxpayer money to keep them from going under. And of course, Microsoft has a hard time selling their product lines and making money.

I may not be enamored with WP7, Windows, and the Xbox line, but doesn't Goldman Sachs have more important things to focus on? Don't they owe the taxpayers billions of dollars? Work on paying that back before you criticize others.

 

[mb]

Splitting them up in anyway is as dumb an idea now as it was in 1998.

 

[ElFenix]

the xbox was built to counter the threat to the PC in the form of the PS2 (which sony claimed would be a do everything center of the house box). the whole point of xbox is to protect windows.


iirc, goldman didn't want taxpayer $ to begin with and paid everything back as soon as they could.

 

[uhohs]

microsoft is such a failure of a company, they should listen to advice from pros like goldman sachs. :3 :3 :3

 

[AstroManLuca]

Split up Apple. Have a Mac OS division and an iOS division.

Or don't, because that would be fucking stupid.

 

[BeauJangles]

http://www.xbitlabs.com/news/other/...d_Spin_Off_Xbox_Console_Business_Analyst.html



Hmm, cause you know, Microsoft needed the taxpayer money to keep them from going under. And of course, Microsoft has a hard time selling their product lines and making money.

I may not be enamored with WP7, Windows, and the Xbox line, but doesn't Goldman Sachs have more important things to focus on? Don't they owe the taxpayers billions of dollars? Work on paying that back before you criticize others.

Goldman didn't need taxpayer money. They were forced to take it and wanted to repay it immediately. At least get your facts straight before you start levying criticism.

 

[Bateluer]

Goldman didn't need taxpayer money. They were forced to take it and wanted to repay it immediately. At least get your facts straight before you start levying criticism.

I'm not getting into that mess.

The point is that Goldman was in financial 'distress' and needed an influx of cash. Microsoft is in no such position, never even remotely needed a cash infusion to stay afloat, and splitting them up at this point in time would be retarded.

 

[ElFenix]

I'm not getting into that mess.

The point is that Goldman was in financial 'distress' and needed an influx of cash. Microsoft is in no such position, never even remotely needed a cash infusion to stay afloat, and splitting them up at this point in time would be retarded.

no, it wasn't; no, it didn't; and it wouldn't be if it'd keep worse performing divisions from dragging down the better performing divisions.

and the proposal isn't a split up, it's a spin off. different concept.

 

[Vette73]

How about spliting up Goldman Sachs

 

[Balt]

I'm not getting into that mess.

The point is that Goldman was in financial 'distress' and needed an influx of cash. Microsoft is in no such position, never even remotely needed a cash infusion to stay afloat, and splitting them up at this point in time would be retarded.

Naw, Goldman was the one telling everyone else how great these toxic assets were while simultaneously hedging their bets against them.

 

[MotF Bane]

lol GS.

 

[BeauJangles]

I'm not getting into that mess.

The point is that Goldman was in financial 'distress' and needed an influx of cash. Microsoft is in no such position, never even remotely needed a cash infusion to stay afloat, and splitting them up at this point in time would be retarded.

The point is that you are factually incorrect.

Goldman was forced to take TARP money. They didn't want the money and they wanted to repay it as soon as possible.

edit:

How about spliting up Goldman Sachs

THIS is the conversation our country should be having. While Goldman has brought a huge amount of wealth to this country, it, and other large financial institutions are potentially dangerous because they are "too big to fail." By spreading out the risk among many smaller entities, we lower the chances that another TARP fund will be needed.

 

[mizzou]

what a horrible idea

Now, i could see them getting rid of microsoft game software brand specifically, since it.could go the way of the sierra brand

Xbox though is still crazy popular

 

[Sheik Yerbouti]

Goldman Sachs should shut the fuck up.

 

[LegendKiller]

Ok, so let me get this straight.

An INVESTMENT analyst from Goldman Sachs, probably one that covers MSFT exclusively, or covers the IT industry exclusively, publicly says (or maybe even through an analyst report on MSFT) that MSFT should break up, not that it should be broken up, in order to unlock shareholder value since one side of the house is dragging down the valuation on another side of the house.

So, then, instead of seeing the insight into this analysis, the toolbags on here decry it as some hypocricy, when, instead, the guy was doing his job as an analyst advising his clients about potential value.

There have been many examples in history of analysts making the same recommendation. In many companies the sum of the parts are greater than the whole. That's all he's saying.

Good job Internet Toughguys, you really made yourselves look dumb.

 

[Vette73]

Ok, so let me get this straight.

An INVESTMENT analyst from Goldman Sachs, probably one that covers MSFT exclusively, or covers the IT industry exclusively, publicly says (or maybe even through an analyst report on MSFT) that MSFT should break up, not that it should be broken up, in order to unlock shareholder value since one side of the house is dragging down the valuation on another side of the house.

So, then, instead of seeing the insight into this analysis, the toolbags on here decry it as some hypocricy, when, instead, the guy was doing his job as an analyst advising his clients about potential value.

There have been many examples in history of analysts making the same recommendation. In many companies the sum of the parts are greater than the whole. That's all he's saying.

Good job Internet Toughguys, you really made yourselves look dumb.

Yea cause Goldman Sachs track record is so golden.

 

[piasabird]

Split up the server OS and the Phone Business and the Desktop Licenses, and the browser business. They should all be seperate. Then entire computer business is anti-competitive. Implementation of new products is hard due to the slow pace of industry-wide standards. Standards slows everything down by about 5 to 10 years.

 

[LegendKiller]

Yea cause Goldman Sachs track record is so golden.

And you've *never* made a mistake in your life?

Ohh, hi God. Nice to meet you.


------------------------

Maybe we should try the guilt by association.

What do you do for a living?

If it's outside of being...God. You are not credible, because *every* profession has fucked up in a major way.

 

[Leros]

Split up the server OS and the Phone Business and the Desktop Licenses, and the browser business. They should all be seperate. Then entire computer business is anti-competitive. Implementation of new products is hard due to the slow pace of industry-wide standards. Standards slows everything down by about 5 to 10 years.

Microsoft integrates all of these products together. You can't just split them up.

 

[sdifox]

And you've *never* made a mistake in your life?

Ohh, hi God. Nice to meet you.


------------------------

Maybe we should try the guilt by association.

What do you do for a living?

If it's outside of being...God. You are not credible, because *every* profession has fucked up in a major way.

Maybe he's commenting on GS's questionable ethics?

 

[Thump553]

Gee-you think Goldman Sachs would stand to make a gigantic amount off such a breakup has anything to do with their advice? I'm sure its just a coincidence.

 

[LegendKiller]

Maybe he's commenting on GS's questionable ethics?

So, no other company has had questionable ethics at any point in their existence? I'd like for you to name any major company that hasn't done a single thing "questionable" in their past.

I mean, really, this type of character assasination of an individual for things he didn't even do, is just moronic.

You might as well not go to any doctors, mechanics, dentists, because they, or their work, have killed people in the past. What about car companies? All of them have had recalls that have killed people. So don't buy a car. I'm sure bike companies have had the same thing.

Don't drink or any eat food at all. All have had products that have harmed countries or killed people through product recalls.

What a great way to live...er...I mean...die.

 

[KIAman]

I think we need to split the USA.

 

[BeauJangles]

Gee-you think Goldman Sachs would stand to make a gigantic amount off such a breakup has anything to do with their advice? I'm sure its just a coincidence.

They're a financial institution. Their recommendation comes from a finance perspective, not from anywhere else. Accusing them being sneaky is just stupid. They don't have a hidden agenda... it's right in front of your face.

Plus, I don't see why people are so surprised that Goldman thinks they know better (financially) than a company in a given industry. They were at the forefront of buying up life insurance policies and making a killing predicting with greater accuracy than the insurance companies when old people would die.

 

[preslove]

Considering how MSFT managed to piss away 1 BILLION dollars on the Kin, this might not be TOO stupid of an idea. They really need some sort of major management reorg, because that company's management manages to ruin & keep from market more products than they actually put out.