Microsoft to cut 5000 jobs!!!

Microsoft Corp. today said it will cut 5,000 jobs amid falling profits. About 1,400 positions were eliminated today.The company said it plans to cut jobs in research and development, marketing, sales, finance, legal, human resources and IT over the next 18 months. The first 1,400 jobs will be cut on Thursday.Microsoft projected that the job cuts will trim its annual operating expense run rate by $1.5 billion and reduce its fiscal 2009 capital expenditures by $700 million.

The layoffs are being implemented due to IT spending that fell lower than the company's expectations for the quarter. Microsoft said in a statement that it "acted quickly" to reduce its costs.Microsoft warned that its revenue and earnings for the second half of the year relative to the previous year will be "almost certainly" lower.

The company said it can't provide quantitative revenue and earnings-per-share guidance for the rest of the year due to "the volatility of market conditions."


Software client revenue fell 8 percent, as PC sales slumped and buyers turned to low-cost netbooks, the company said. Annual software license fees pushed server and software tool revenue up 15 percent, while entertainment and devices revenue grew 3 percent on the back of holiday demand for the Xbox game console.

Best email service provider!!!

There is a tough Competition between yahoo and Microsoft… but now there is another competitor in the race. It is Google

Microsoft is the first largest e-mail service, with 283 million users

Yahoo is the second largest e-mail service, with 274 million users

Gmail is the third-largest e-mail service, with 113 million worldwide users as of September according to comScore.

Google announced Tuesday it is adding video and audio chat to its free e-mail service, joining Microsoft and Yahoo in a race to make communication on the Web a more social experience.

Both Microsoft and Yahoo offer video with their instant messaging services, but have not integrated it into e-mail.

Last month, Yahoo announced it was providing programmers the software instructions they need to write applications that can extend the features of Yahoo mail. Ash Patel, executive vice president of the audience product division, said the goal was to help hundreds of millions of users “communicate better and get more done.”

Microsoft has also been upgrading its communication platform, known as Windows Live