The sharing of videos on YouTube and images on Flickr is an indication --
says the Economist -- of bad news for Microsoft Corp.'s(NASDAQ:
MSFT) upcoming Windows Vista release. The widespread use of e-mail, spreadsheets and Internet-based software is a sign that "more PCs now talk to one another using open standards rather than proprietary ones," making operating systems less relevant.
Microsoft is hoping to offset this trend by working with open-software firms like Novell (NASDAQ:
NOVL), and with initiatives like Office Live, which helps small businesses create websites; and Windows Live, a search engine/e-mail service extraordinaire.
Vista, the latest version of Microsoft's operating system, will be released on January 30th. And while customers will be able to purchase and download the software online, it is expected that most will buy the shrink-wrapped boxes in a store, like the old days. We will see, however, if the lines stretch as long as the last Windows release.