I wonder if MSFT is exploring whether a digital subscriptions sold directly to consumers represents a more effective business model than selling through conventional retail channels--even if their margin per unit sold to consumer is smaller. Where they really make their money is through selling licenses to corporations and institutions as well as OEM sales for new PCs--but they can only do so because they have achieved a critical mass with respect to market dominance. It may be that making it much easier for individual consumers to access all of their latest products will allow them to maintain a buffer against Google and others incursion into their marketshare for programs that represent their cash cows.
|