Businesses and the Windows 10 upgrade

Microsoft’s new operating system is impressive and free but should businesses jump at the Windows 10 offer?

Last night Microsoft formally launched Windows 10, the company’s latest desktop operating system.

A decade ago a new Microsoft operating system would have had people queuing at computer shops all night but today, in a world of cloud computing, what software runs on a computer has become less important to users.

To entice users onto the new operating system, Microsoft are making the upgrade to Windows 10 free for the next year to those using the earlier versions 8 and 7 and many will have noticed the messages appearing on their computers over the past few weeks.

Windows 10 is a good system, Microsoft has learned from the user unfriendly missteps of Windows 8 and added features that make the system smoother and takes advantage of the desktop computers’ power.

Microsoft have also continued with their philosophy of providing a system that works on all sizes of devices from smartphones to large monitor PCs and Windows 10 adapts to the needs and use patterns of the different screens.

That Windows 10 works on smartphones is less of a pressing matter given Microsoft’s attempts to crack the mobile market have been unsuccessfully and Windows phones languish with a tiny market share.

For business users, the question is whether to take advantage of the upgrade. The short answer is maybe if use cloud based services in your company and wait if you have desktop applications that rely on Windows.

Should you have applications that run on desktops and servers in your office then it’s essential to wait and see if your software runs properly on Windows 10. You’ll need to talk to the program’s supplier and your IT support person. Generally the advice is to wait a few months to iron out any bugs.

If you’re using cloud services then the operating system running on your computer is largely irrelevant as long as you have a modern web browser. Microsoft’s new Edge web browser that’s built into Windows 10 so far appears to be a fast and capable piece of software that’s an improvement on the much maligned Internet Explorer that still lurks on the system for backwards compatibly reasons.

Upgrading though isn’t without its risks, sometimes things go wrong and even the best planned transition doesn’t always work out and generally most cautious IT advisors will take the attitude “if it ain’t broke, don’t fix it.”

One other potential trap is in hardware. It may be that some printers, cameras and other hardware doesn’t have the right drivers for the new system so while the software upgrade is free, you may end up having to stump up a few hundred dollars for new peripherals.

For businesses users, if things ain’t broke and the existing computers are working well then the upgrade to Windows 10 is adding unnecessary complexity to the office and it’s probably best to hold off the transition until new computers are needed.

How long can Intel continue to beat the street?

Chip maker Intel continues to struggle in the face of a transformed marketplace

Earlier today chip maker Intel beat analysts’ estimates with an earnings report showing  the company’s income hadn’t fallen as much as expected in the previous quarter.

As Business Insider explained before the earnings call, Intel’s numbers aren’t look good ahead of the rollout of Windows 10.

In the past, a new version of Windows has been the time many customers upgraded their PCs with Intel and other computer component makers being the beneficiaries.

With this version of Windows Microsoft are giving it away free to users of Windows 7 and 8 which means the rush of upgrading customers is going to be subdued compared to previous occasions.

For Intel, the Internet of Things should be the big opportunity in the post PC world but smart devices require low powered chips rather than the more power hungry chips the company excelled in supplying for desktop computers.

At the moment Intel seems to be focusing on the data centre market that may well be a suitable market for power hungry CPUs but is still very much leaving the company isolated from the bulk of the industry which will increasingly demand ultra low powered chips.

For Intel, like Microsoft, the struggle for now is to keep relevant in a dramatically shifted marketplace.

Pain for the PC industry continues

The latest PC industry sales estimates show the PC era is well and truly over

After good relatively results last quarter, the numbers have turned ugly again for the personal computer industry with both IDC and Gartner estimating the sector’s sales have collapsed by 11% and 9.5% respectively.

Of the PC manufacturers Taiwan’s Acer is the hardest hit with Gartner forecasting a 20% drop and IDC a whopping one-quarter compared to last year.

Apple were the only bright spot with Gartner expecting the company to sell 16% more PCs than the previous year.

Lenovo remain the biggest global supplier of personal computers but the company suffered a six percent drop.

While it appears the end of Windows XP support gave the sector a reprieve last year, the end of the PC era is well and truly here. The key aim now for vendors is to find a way to shore up their margins as the market shrinks – it’s a bad time to be commodity player.

How the BBC is helping kids’ digital literacy through coding

The BBC’s Micro Bit program is part of a global push to get kids coding

British public broadcaster the BBC has released the final details of its BBC Micro Bit project, a micro computer initiative intended to help British kids learn to code.

The device, a small computer similar to the Arduino or Raspberry Pi systems, is designed to help children understand programing and digital technologies.

Around the world the push to include technology topics such as computer coding into education curriculums is gathering pace and advocates for these subjects point out the underlying aim is to help children develop the logical thinking that will be required by many jobs of the future.

For the UK, the BBC Micro Bit may help their children compete. For all countries, figuring out the right skills to be taught in schools is going to be key for how nations fare in during the Twenty-First Century.

Shifting Microsoft’s culture

Microsoft CEO Satya Nadella continues to grapple with changing the company’s culture

“What would be lost if we disappeared?” is the question Microsoft CEO Satya Nadella claims is driving the company’s direction in his latest memo to employees.

In the email obtained by website Geekwire, Nadella told his staff redefining the company’s culture is key to success, “we can do magical things when we come together with a shared mission, clear strategy, and a culture that brings out the best in us individually and collectively.”

That culture though is not static and Nadella is describes how the company needs to focus on helping its customers through its cloud and Windows based products.

For Microsoft this is not new, the change from a desktop and server based licensing business to one dependent upon cloud subscription services has been a huge change for the business since the iPhone was released nearly a decade ago.

The challenge for Nadella however is to keep revenues coming in as the river of gold that was Microsoft’s Windows licenses slowly dries up.

One of the biggest changes to Microsoft’s culture could be in coming to terms that it isn’t such a huge and powerful corporation any more.

Defining the workplace of the future

Both the jobs and workplaces of the near future are going to look very different to today.

Last week in Sydney recruitment company Indeed sponsored a Future of Work summit to tease out some ideas about the what jobs will look like in the future.

While I wasn’t able to attend, being in Melbourne to deliver the Managing the Data Age presentation, I did manage to attend a lunch where Paul D’Arcy, the head of Indeed’s Hiring Lab, spoke about some of the trends we’re seeing in the workplace.

“One of the things we see is the change in the role of work over time,” says D’Arcy. “There was a period before the industrial revolution where work was where natural resources were. With the industrial revolution there was a shift to where the companies were organised.”

The interesting thing with that view is that the companies of the early industrial revolution gathered where the natural resources were easily accessed and finish products could be shipped as we saw when visiting England’s Ironbridge, one of the birthplaces of modern industry.

D’Arcy sees technology changing the idea that work goes to the companies, “where people with highly in demand skills congregate then that’s where jobs are created.”

The employment centres of the future will be the cities that attract those highly skilled workers, D’Arcy believes.

Spreading the developer love

One of the changes Indeed has seen in the workplace is how coding has now become a widespread skill with three quarters of all software developers around the world being employed by software companies. In the US it’s only 7% of coders are working for pure tech organisations.

Marketing is one field that has seen a dramatic shift says D’Arcy, “marketing has seen an enormous shift from what was predominately a creative industry to one driven by data.”

One of the constant questions confounding those of us writing and speaking about the future of business is ‘what will be the jobs of the future?’ While D’Arcy didn’t really have that answer one of the points is clear that programming and coding will be among the skills in demand over the near future.

In the longer term it’s still not clear exactly what jobs will be in demand in twenty or thirty years time, then again twenty years ago who would have guessed many of the technology jobs in demand today would have even existed.

While we’re still struggling with what roles will define the workplace it’s clear the location of the workplace is changing as well. The worker of the future will be a much more mobile creature than today and that has ramifications for the future.

Management in an age of information abundance

How do managers and business owners deal with an age of abundant information?

The Twentieth Century was defined by abundant and cheap energy while this century will be shaped by our access to massive amounts of data.

How do managers deal with the information age along with the changes bought about by technologies like the Internet of Things, 3D printing, automation and social media?

Management in the Data Age looks at some of the opportunities and risks that face those running businesses. It was originally prepared for a private corporate briefing in June 2015.

Some further background reading on the topic include the following links.

 

How the cloud killed the CIO

Has the shift to cloud computing made the IT manager redundant?

In Technology Spectator today I have a piece on cloud services and how the promise of high reliability threatens the IT manager and Chief Information Officer.

This shift is the same change that’s affected the IT support industry, as technology becomes more standardised and a commodity the need for specialist support and management becomes unnecessary.

In many respects this is similar to a hundred years ago where most factories had their own power plants providing electricity, steam or bel power to drive the machinery.

As mains power became common and reliable, businesses no longer needed specialist staff to ensure the power flowed.

While much of today’s commentary focuses on the CIO role evolving, it may well be the position is redundant.

A small business makeover challenge

Microsoft’s Modernbiz technology makeover program is an interesting study on how small business computer usage has changed

One of the key factors in bringing the Personal Computer era of business to a close was the end of the upgrade cycle where users tended to buy new systems every three to five years.

For companies like Dell, Acer, IBM and Microsoft this cycle was an important and reliable income stream.

In the early 2000s though it stopped as customers decided that with most new innovations coming onto their computers through web browsers they didn’t need to buy new systems.

For the PC industry, particularly Microsoft, this presented a huge threat to their business models and all of them have been trying to find ways to refocus their businesses.

The ModernBiz Technology Make-Over

Late last year I was asked by Microsoft Australia to participate in their ModernBiz Technology Make-Over where a small business running Windows XP and Server 2003 was given a free tech upgrade to the latest equipment.

This was interesting as it was an opportunity to see how Microsoft and the market are adapting to a very changed industry.

As well I still carry the many scars – most psychological but some physical – from my years of running PC Rescue where upgrading companies’ old technology was a core part of the business.

Doing a tough job

The fallacy many managers and inexperienced companies fall for is that migration customers from old equipment to new systems is a simple matter of copying a few files. It is never that simple.

Upgrading company computers a tough field as every business is unique and in workplace where the technology has been in use for over a decade the learning curve onto new software is insanely steep for staff and management alike.

So watching the process from a relatively safe distance where I wasn’t worrying about losing customers’ data or trying to complete a complex task within a short deadline was quite attractive. Basically I wanted to see the other guys sweat.

Another attraction in participating was to see how Microsoft are managing the transition from supplying business servers to provisioning cloud services and how customers are managing that change in product offerings.

Dealing with a shifting market

For both Microsoft and their customers the shift from one off hardware and license purchases to cloud based monthly subscriptions is a major change in mindset, so seeing how small business users adapt to online services will be interesting.

Overall the technology makeover promises to be an interesting exercise on how the small business computer industry is changing.

For his participation in the Modern Biz Technology Makeover program, Microsoft gave Paul a Lenovo laptop which he hasn’t yet used.

Microsoft’s server clock counts down

Microsoft’s ending of support for Windows Server 2003 marks the end of the box software era.

One of the challenges facing Microsoft are the millions of users quite happily using the company’s older products.

While Windows XP is by far the biggest problem – only last year the number of systems running the fourteen year old operating system still outnumbered those running the latest version – Microsoft faces similar issues with its server 2003.

This week Microsoft warned support for Windows Server 2003 has entered its last one hundred days and urged customers to look at shifting onto new systems.

Interestingly most of the case studies they cite involve customers moving from on premise servers onto cloud services.

While that’s very good advice as most customers, particularly small businesses, don’t have the capabilities it shows how the industry has shifted in the last twelve years.

For most of those companies a decade ago cloud service, or Software as a Service (SaaS) as it was known then, weren’t available for most business functions. Today they are the norm and usually the best option for smaller operations.

That shift to the cloud has meant an entire industry now faces extinction as the army of suburban IT service companies that once maintained those servers are now largely redundant.

As the clock ticks down on Windows 2003 server so too does it for all the businesses that once depended upon the PC industry.

Reading the golden records – can we avoid a digital dark age?

Changing computer formats mean we risk a ‘digital dark ages’ industry experts warn.

In 1977 NASA’s Voyager mission launched from Cape Canaveral to explore the outer solar system, included on the vessel in case it encountered other civilisations were a plaque and a golden record describing life on Earth.

The record was, is, “a 12-inch gold-plated copper disk containing sounds and images selected to portray the diversity of life and culture on Earth.” It containing images,  a variety of natural sounds, musical selections from different cultures and spoken greetings in fifty-five languages.

Most American households in 1977 could have listened to the sounds on Voyager’s golden disk but were the spaceship to return today it would be difficult to find the technology to read the record.

This is the concern of Google Fellow and internet pioneer Vint Cerf who told the American Association for the Advancement of Science’s annual meeting in San Jose this week we are “facing a forgotten century” as today’s technologies are superseded rendering documents unreadable.

A good example of ‘bit rot’ is the floppy disk – the icon used by most programs to illustrate saving files is long redundant and few organisations, let alone households, have the ability to read a floppy disk.

For corporations the problem of dealing with data stored on tape is an even greater problem as proprietary hardware and software from long vanished corporations becomes harder to find or engineer.

As the Internet of Things rolls out and data becomes more critical to business operations, the need for compatible and readable formats will become even more important for companies and historical information may well become a valuable asset.

With libraries, museums and government archives having digitised historic information, this issue of accessing data in superseded formats becomes even more pressing.

It may be that important documents need to be kept on paper – although there’s still the problem of paper deteriorating  – to make sure the 21st Century doesn’t become the digital dark ages and our golden records remain unread.

Business in a time of falling technology costs

The fall in computer prices shows no business or manager can assume their markets are safe

Personal Computers cost one thousandth of what they did in 1980 reports Aki Ito in Bloomberg Business.

For the computer industry that’s been both a blessing and curse; cheap systems have allowed computers to become pervasive but at the same time the collapsing prices have destroyed the business models of those who built their companies upon the industry economics on 1980 or 2000.

Software has fallen a similar amount with computer programs now costing 7/1000ths of what they did 35 years ago. Again this has dramatically changed the structure of the industry with Google and Amazon taking over from Microsoft and Adobe.

While the computer industry is the starkest example of the collapse in prices due to technological change, it’s not the only sector being affected – almost every industry is under similar pressures as margins get stripped away.

Anywhere where middlemen are exploiting market inefficiencies are opportunities for new technologies to destroy the existing business models, Uber are a good example of this with the taxi industry.

With technological change accelerating in all industries, no business or its managers can assume they are safe from shifting marketplaces or new, unexpected competitors.