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Open Innovation and Microsoft's approach to it

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Open Innovation and Microsoft's approach to it
E&I Zone: Challenges with Open Innovation
Team assignment
Microsoft Corporation

April 10th 2014
Zuzana Vojtekova, 1350495 Kamil Kania ,1353678 Microsoft & Tablet Market

Microsoft Corporation as in multinational enterprise headquartered in Redmond, Washington. Microsoft is one of the richest companies with regards to revenue, yet it is also one of the world’s most valuable companies with market cap of $330 921 millions (Reuters, 2014). It disposes of very broad product portfolio ranging from computer software to game consoles. Most lately they have been again investing in the tablet market segment which we will focus on in this paper.

Microsoft started to be engaged in tablet market already in 1999, but unsuccessfully. It was mostly due to technological insufficiencies which in that time level of technology could not address. Heavy weight, lack of specific software features and applications made the 1999 tablets rather unpopular.

After launch of Apple iPad device in 2010, the demand for tablets increased substantially, which can be seen in the growth of tablet shipments (Exhibit 1.0). The tablet shipment was at 0% to 5% growth in 2010, but it spanked to 20-30% 1Q of 2013 leaving tech companies highly interested in this high growth market (Betanews, 2013).

Exhibit 1.0

Source: Betanews, 2013

Microsoft started to reinvest in tablet segment slightly before 2012, when they again entered tablet market by launching line of tablet computers under flagship name Microsoft Surface.

Microsoft Tablet’s timeline

2000 PaceBlade develops the first device that meets the Microsoft 's Tablet PC standard and received the "Best Hardware" award at VAR Vision 2000.
2001 Bill Gates of Microsoft demonstrates the first public prototype of a Tablet PC (defined by Microsoft as a pen-enabled computer conforming to hardware specifications devised by Microsoft and running a licensed copy of the "Windows XP Tablet PC Edition"



Bibliography: Hall, B. H., n.d. Open Innovation and Intellectual Property Rights. IP AS VENTURE CAPITAL- A CASE STUDY OF MICROSOFT IP VENTURES (2007- 2008) Ash Nagdev, David Radzialowski, Roshan Shankar, Sam Wakefield Kerschberg, B., 2012. Forbes. [Online] Available at: http://www.forbes.com/sites/benkerschberg/2012/04/23/how-intellectual-property-ip-enables-and-protects-open-innovation-platforms/ LOHR, S., 2005. The New York Times. [Online] Available at: http://www.nytimes.com/2005/05/04/technology/04cnd-soft.html?_r=1&fta=y&pagewanted=print&position=& Microsoft Corporation, 2008. Open Innovation:The Evolution of the Microsoft Approach to IP, s.l.: s.n. Microsoft, 2014. Microsoft’s Collaboration Imperative, https://www.microsoft.com/Presspass/ofnote/04-01-08GutierezIAMArticle.mspx: s.n. Singh, S., 2013. Betanews. [Online] Available at: http://betanews.com/2013/05/03/history-repeats-as-android-does-to-ipad-what-it-did-to-iphone/ Microsoft Open Technologies, 2014, What we do Available at: http://msopentech.com [Access 09.04.2014] Microsoft Open Technologies, 2014, Projects Microsoft Corporation, 2014, Legal and corporate affairs Available at: http://www.microsoft.com [Access 09.04.2014] Microsoft Corporation, 2008, The Evolution of the Microsoft Approach to Intellectual Property Microsoft Corporation, 2014, Research Available at: http://www.microsoft.com Techspot, 2012, Microsoft licensed Apple tablet patents, Samsung refused Available at: http://www.techspot.com

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