On the back of the international launch failure of Windows 8, Microsoft is rumoured to make some changes with the release of Windows 8.1 - also known as Windows Blue.
Rumours have started surfacing that the upgraded version of Windows 8 might bring back the Start button and get rid of the tile menu, reverting back to desktop. Windows 8.1 is expected to go on sale in the fourth quarter of 2013.
According to ZDNet, however, Blue is unlikely to save Windows 8 from the operating system trenches, as there are still too many trust issues similar to the release of Vista.
Meanwhile, Softpedia reports that Windows 8.1/Blue build 9374 is available for download, with images leaked over the weekend not revealing any signs of a potential Start button, but rather focusing on the Start Screen that was released with Windows 8.
Microsoft managed to sell an unimpressive 60 million licences and upgrades for the Windows 8 operating system in the 10 weeks since its launch, with users citing problems with the opening and closing of documents and especially the frustration with the loss of the Start button.
Troubled waters
Earlier this month, the IDC revealed PC sales plummeted in the first quarter of 2013, with the launch failure of Windows 8 cited as the main driver for the dismal figures. Commenting on this, Bob O'Donnell, IDC program VP for clients and displays, says it appears Windows 8 not only failed, but also slowed the market.
"While some consumers appreciate the new form factors and touch capabilities of Windows 8, the radical changes to the UI, removal of the familiar Start button, and the costs associated with touch have made PCs a less attractive alternative to dedicated tablets and other competitive devices. Microsoft will have to make some very tough decisions moving forward if it wants to help reinvigorate the PC market," says O'Donnell.
Last week, the software giant announced its CFO, Peter Klein, is leaving at the end of June after three-and-a-half years in the position. The 11-year Microsoft veteran is the latest in a line of top-level executives to leave the company, following the resignation of Windows head Steven Sinofsky last November.
The resignations have raised serious questions about whether CEO Steve Ballmer is still the right leader for Microsoft, whose shares have remained essentially flat for the last decade.
All in the numbers
Last week, Microsoft reported a profit of $6 billion, or 72c per share, in the fiscal third quarter, up from $5.1 billion, or 60c per share, in the year-ago quarter.
But analysts have been pegging back profit forecasts for Microsoft in the light of flagging PC sales. As recently as 5 April, the average analyst estimate was 76c. Profit was boosted by some deferred revenue from its Windows, Office and video game operations, but cut severely by a $733 million fine by European anti-trust regulators for breaking promises relating to expanding the choice of Internet browsers on Windows.
Overall, sales rose to $20.5 billion, from $17.4 billion a year ago, in line with analysts' estimates.
"There's nothing in the report that's going to make the stock break out of the range that it's been in," said Colin Gillis, an analyst at BGC. "The stock's trading at $29.11 - what we were at 11 years ago."
The software giant did not, however, give an updated count of the number of Windows 8 licences sold.
Last week, Microsoft confirmed the Surface tablet would be launched in SA in the second half of 2013. It did, however, not reveal any more information. "All we can share at this point is that Surface is coming to SA. We will reveal any further information, such as pricing, timelines and models, as it becomes available to us."
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