December 01, 2014

The Biggest Failure of Technology in the Last Decade

Some technologies are built with large funds and most widely publicized in the last 10 years ended in failure. Many technology companies are dominating the market world class lost its market share for its flagship product unacceptable to give up in the competitive market or similar businesses. Recently, Time Magazine released 10 biggest failure in this technology-based business. Some of them may sound familiar here.


Microsoft Windows Vista 
Vista was released to the world on the 30th of January 2007. Vista is still a new generation of flagship products the largest software companies in the world. Vista is built to improve the security of the operating system most widely used on PCs around the world. But it turns out most of the reviews mentioned that its security features are no better than its predecessor. Vista is also known to be compatible with some older PC that restrict users who want an upgrade from previous versions of Windows, XP. More walks analysts say Vista is slower than XP on the PC. All these factors make Vista is considered no better than its predecessor. According to the research study site Net Applications, for the global share, until last month recorded a new Vista is used by 24% of PC users. In fact Windows XP is still over 62% market share, while Apple's OS X from 9%. When Vista was released, PC Magazine called it "interesting product" rather than "must buy". Micosoft has recently announced a reduction in revenues in the first quarter 2009 for the first time in 23 years. CNNMoney says: "Vista was released early in 2007 have never meet the expectations of the company. Sales in the division that produces Vista fell to 16% in the previous quarter. Unexpected turns user responses, and many IT departments still maintain using XP." Microsoft ultimately accelerate the creation of successor Vista, Windows 7 is ready to be released and marketed by the end of this year.


YoutTube  
Who does not know YouTube? This video sharing site is the largest in the world. According comScore.com, 99.7 million eyes watching 5.9 billion videos available on Youtube.com in the United States during March 2009. Google purchased YouTube.com in November 2006 for 1.6 billion dollars. This purchase is risky because it seemed like Google's investment will never go back. YouTube was not a model that was made to sell ads or paid premium content, despite the amount of content and a large audience. Most of the content on YoutTube video quality is low so that the marketers are reluctant to use them to advertise. Google has stated that YouTube is not a benefit in terms of money (I mention the "not material"). Forbes estimates the YouTube sales in 2008 amounted to 200 million dollars. Bear Stearns calls YouTube domestic income in 2008 at the rate of 90 million dollars. Later, Credit Suisse estimates that YouTube will lose $ 470 million this year due to the cost of storage
and bandwidth needed to run YouTube site. The same analyst said YouTube was generating 240 million dollars this year, but it was only up 20% from 2008. If this analysis is correct, YouTube had to fight to get his income tripled to restore their capital. New York Times recently wrote: "YouTube, along with other media such as MySpace, Facebook, and Twitter, looking to lead in the face of traditional media companies, but YouTube seems to have difficulties to benefit from his popularity." YouTube is great, but it failed to gain success.

Zune from Microsoft 
The Zune digital music player was released in November 2006. Microsoft created to break the dominance of Apple with its iPod. Apple alone has sold more than 100 million iPods when the Zune was released. Microsoft is able to pick up four largest music labels to work with him. Sales on a few months after being released very sad. Bloomberg TV between the months of launch up to half of 2007 only 1.2 million Zune sold. In May 2008 Microsoft says 2 million digital music players were sold. Wall Street Journal reported income from Zune amounted to 85 million dollars during 2008 compared with 185 million dollars in the same period in 2007. While the iPod during the last quarter of 2008 earned 3.37 billion dollars. Microsoft, which started venturing into the hardware business, as well as other producers in the world must spend huge funds for the cost of marketing for Zune, which ultimately failed miserably to take iPod market.

PALM 
Palm is a producer of wireless devices potabel well as the operating system for portable devices and desktops. Palm released the Palm Pilot in 1996 as a personal organizer followed Palm V was released in 1999. Palm Treo smartphone manufactured by Palm acquired Handspring. In the final quarter September 2005 Palm has sold 470,000 Treo units, up 160% from the same period the previous year. At that time three manufacturers that dominate the smartphone market was Palm, Research-In-Motion (RIM, the manufacturer of Blackberry) and Nokia. In 2007 sales reached only Treo 689 000, compared with 3.2 million units of Blackberry and Apple released a new iPhone in June of that year sold more than 1 million units in the same quarter. Analysts say Palm failed to compete due to the slow response to consumer needs wireless voice and data on a single device. According to ZDNet: "do not use formula Palm synchronization with Microsoft Outlook which prompted many consumers, while RIM Blackberry has been planted." Palm worse off due to various delays new products. Pre, the next version, to be released at the end of this year. Palm shares trading at 669 dollars in 2000 and is currently valued only $ 11 dollars. Meanwhile, Apple and RIM's market share jumped to 200% and 300% and leave the Palm as the leader of the world smartphone market.


HD-DVD 
HD-DVD is one of two high definition DVD formats that exist. Which is the Blue-Ray. Specifications HD-DVD was introduced in 2002. Negotiations among electronics companies to use just one product to run high definition discs end up in the absence of consensus on the royalties. HD-DVD was founded by Toshiba and NEC and was first released to the public in 2006. When the sale was first released ahead of the Blue-Ray. Industry analysts said that Toshiba lost nearly $ 1 billion to support HD-DVD until discontinued in 2008. There are a number of reasons why HD-DVD finally succumbed to Blu-Ray, which was led by Sony (SNE). Especially is because Sony managed to convince movie studios in the world to release their films in Blu-Ray format. Sony benefited as the owner of one of the world's major film studios. Analysts believe that while Sony managed to convince Warner Bros. to adopt Blu-ray exclusively, was finished already HD-DVD. Toshiba has an explanation about the cause of this failure, one of which is the business of digital video download sales erode disk and HD-DVD. This explanation is considered less striking because of course this will also undermine sales of Blu-Ray. The last big blow for HD-DVD is when the giant U.S. chain stores Wal-Mart decided to no longer sell it. One thing is for sure, Sony kept pouring money for the Blue-Ray disc even though the future of high definition still unclear, and this risk has not ended since high definition disc is still not widely accepted in the world.

Iridium
ridium is a global satellite phone, published by Motorlla and declared bankruptcy in 1999 after spending 5 billion dollar cost to build the satellite infrastructure to provide wireless telephone services throughout the world. When it is one of the 20 largest bankruptcy in American history. In order for this system to work takes 66 satellites. Construction of this gigantic system forced the company failed to pay the debts of 1.5 billion dollars. The services provided only able to attract 10,000 users, among others, due to technical difficulties at first Iridium handset. The company itself targets 500,000 users in that year, but they are very expensive service while in many countries the mobile phone business (based BTS) began to be built and popular. Iridium handset worth $ 3,000 (30 million) with a talk-time cost 5 dollars (50 thousand) per-minute. BTS-based phones that use GSM networks globally available, though not proven much cheaper. Besides, despite the limitations of the satellite signal covers the whole world but can not be captured in a moving car, in a building, and many other urban locations make unpopular Iridium.

Although considered a "failure" does not mean the products above are not technically qualified or failed. These products are produced from cold hands-engineer the company's leading high-tech company in the world that no doubt his reputation. Some of the above products you may be using and no problems. But from the business side, the calculations of profit and loss is on top of everything.

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