JUPITER RESEARCH LAUNCHES NEW MICROSOFT MONITOR SERVICE AND RELEASES FIRST REPORT(New York, NY - July 15, 2003) - Jupiter Research, a division of Jupitermedia Corporation (Nasdaq: JUPM), today released the results of a survey indicating the small- and medium-business (SMB) market presents a huge opportunity for Microsoft and other companies. The survey also revealed that product fragmentation, customer dissatisfaction and the surprising success of open-source software pose serious problems for Microsoft's SMB strategy.
About 52% of SMBs surveyed say that Microsoft is more focused on its own interests, while only 4.4% believe Microsoft is more focused on customer interests, according to the survey. To address this issue, Microsoft is spending $2.0 billion to improve its image and increase sales to SMBs, which presents an unprecedented sales opportunity for vendors selling adjacent or competing products to Microsoft's," said Jupiter Research Senior Analyst Joe Wilcox.
Businesses with less than 10 employees, which account for the majority of the SMB market, are under-penetrated in office productivity suites, server operating systems and messaging software, according to the Jupiter Research survey. For example, 19% of SMBs with 10 or less employees do not use a productivity suite and about 34% of these businesses have no server operating systems installed.
"Filling in the gaps in SMBs' technology product portfolios presents a huge opportunity for Microsoft and other companies," said Wilcox. "But what's surprising is the high number of SMBs embracing open-source alternatives to Microsoft products. About 9% of SMBs reported using Red Hat Linux on the desktop and 7% OpenOffice. Linux on the server is an old story, but traction on the desktop is a new development," he added.
This survey is part of a new Jupiter Research service that offers exclusive coverage of Microsoft Corporation. This new research initiative, entitled Microsoft Monitor, is led by Jupiter Research Vice President and Research Director Michael Gartenberg, along with Jupiter Research Senior Analyst, Joe Wilcox, former Microsoft lead reporter for CNET's News.com.
A unique new service, Microsoft Monitor helps vendors prepare for market opportunities created by new Microsoft initiatives. The service also helps enterprise users understand which strategies are most successful in dealing with Microsoft and how to best exploit the customer relationship. The service uses consumer and executive IT surveys, online analysis, case studies and usage models. Clients of the service will discover which areas of Microsoft are most likely to succeed in capturing the marketplace, how these technologies will be deployed and how to effectively deploy them, complement them or compete with them. The service's companion Weblog is at www.microsoftmonitor.com.
The complete findings of this survey are immediately available to Jupiter Research clients online. For more information about the survey or the Microsoft Monitor service, please contact Kieran Kelly at 1-800-481-1212 or [email protected].
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