Microsoft writes off nearly $1B to account for Surface RT bomb

Computerworld - Microsoft today took an unexpected $900 million charge to account for what it called "inventory adjustments" for the Surface RT, the poor-selling tablet that debuted last year.

Later today, Microsoft will hold a conference call with Wall Street analysts, but its fourth-quarter fiscal numbers -- published on its website shortly after the U.S. financial markets closed -- pointed out the massive write-down.

The company has been aggressively discounting the Surface RT, which runs the scaled-down Windows RT, a tablet-specific version of Windows 8 that relies exclusively on the "Modern," nee "Metro," tile-based user interface and app ecosystem.

On Sunday, for instance, Microsoft chopped the price of the Surface RT by $150, or 30% for the 32GB model, to bring it down from the original $499 to $349. The 64GB Surface RT was also discounted by $150, a 20% price cut from $599 to $449.

Today's $900 million write-down reflects not only those discounts, but also the extended inventory that Microsoft believes it may never sell.

Microsoft today reported revenue of $19.9 billion for the quarter ending June 30, a 10.3% increase over the same period the year before. But earnings of $5 billion, or 59 cents a share, were significantly below the Street's expectations of 75 cents a share.

During the second calendar quarter of 2012, Microsoft recorded earnings of just $192 million because of a pair of one-time charges: a $540 million revenue deferral tied to the then-upcoming Windows 8 upgrade program, and a $6.2 billion write-off to account for the loss of goodwill for its online services group.

Amy Hood, the company's new CFO, acknowledged in a statement that, "Our fourth [fiscal] quarter results were impacted by the decline in the PC market" and added, "While we have work ahead of us, we are making the focused investments needed to deliver on long-term growth opportunities like cloud services."

Last week, Microsoft announced a corporate overhaul and spelled out its new strategy to become a devices-and-services seller after nearly four decades of selling packaged software.

This article, Microsoft writes off nearly $1B to account for Surface RT bomb, was originally published at Computerworld.com.

Gregg Keizer covers Microsoft, security issues, Apple, Web browsers and general technology breaking news for Computerworld. Follow Gregg on Twitter at  @gkeizer, on Google+ or subscribe to Gregg's RSS feed . His email address is gkeizer@computerworld.com.

See more by Gregg Keizer on Computerworld.com.

Read more about Windows in Computerworld's Windows Topic Center.

Small and midsize businesses are moving to the cloud to host their communications capabilities. Learn how enterprise-quality phone benefits, online management, conferencing, auto attendant, and ease of use are built into a system that is half the cost of a PBX.

Read now.

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Microsoft takes Outlook Web App native on iPhone, iPad

Computerworld - Microsoft today launched Outlook Web App (OWA) for iOS, a "native" app that reprises -- and amplifies -- the in-browser OWA corporate workers have long used on devices that don't support the full-fledged Outlook client.

The new app, which comes in iPhone and iPad flavors, offers the same functionality as the browser-based OWA, letting users access email, calendars, contacts and other inbox data housed on a company's Exchange server.

But because the apps are iOS-native -- in other words, they're written specifically for Apple's mobile OS, not simply a Web app in disguise -- they can tap the hardware, adding features like gesture support and voice control.

The native app approach also means it can be used when offline, unlike the in-browser OWA which requires an Internet connection.

Wes Miller, an analyst with Kirkland, Wash.-based Directions on Microsoft, was impressed. "In terms of packaging this is a really neat idea, with a very, very good [user] experience," said Miller, who ticked off several examples, ranging from push notifications to the hardware integration.

There are caveats.

As it did last month with Office Mobile for iPhone, Microsoft is dangling the iOS OWA carrot to tempt customers into subscribing to Office 365, the rent-not-own plans introduced earlier this year. Only customers with active Office 365 accounts can use OWA on the iPhone or iPad, even though the app itself is free to download from Apple's App Store.

More important, if apparently temporary, is the requirement of Exchange Online, the off-premises, hosted Exchange service included with virtually every non-consumer Office 365 plan. Businesses that still run their own on-premise Exchange servers are out of luck for now.

"We are planning to deliver OWA to Exchange 2013 on-premise customers at a future date, but we have no additional details to share today," a Microsoft spokeswoman said in answer to questions today.

"That's a deal-breaker for some customers," said Miller in a Tuesday interview before Microsoft clarified that it would offer OWA to organizations with an in-house Exchange infrastructure, a category that includes most medium- and large-sized companies. What remains unknown is when those Office 365 users will get their hands on OWA for iOS.

Microsoft's approach to iOS apps has taken some licks from outsiders who view the Office 365-only strategy as misguided. "Anyone [with Office 2013] should be able to access the app," Forrester analyst Frank Gillett said last month about Office Mobile for the iPhone. "They're continuing the artificial advantaging of one product over another to change customer behavior. We think that's a major mistake."

Gillett's point may be a month old, but it applies equally to OWA for iPhone and iPad: Microsoft customers who have adopted Office 2013 in perpetual license form rather than as a subscription are barred from running the new app.

Even so, Miller argued that the limitation is consistent with Microsoft's claim that it is now a "devices and services" company, not one which sells packaged software.

"Where they don't sell devices, they'll try to sell services," said Miller, referring to Office 365.

OWA for the iPhone and the iPad can be downloaded from the App Store.

Outlook Web App for the iPhone is a native iOS app that replicates the in-browser Web app by the same name, but integrates with the hardware to offer such features as gesture support. Office 365 account required, though.

This article, Microsoft takes Office Web App native on iPhone, iPad, was originally published at Computerworld.com.

Gregg Keizer covers Microsoft, security issues, Apple, Web browsers and general technology breaking news for Computerworld. Follow Gregg on Twitter at  @gkeizer, on Google+ or subscribe to Gregg's RSS feed . His email address is gkeizer@computerworld.com.

See more by Gregg Keizer on Computerworld.com.

Read more about Mobile Apps in Computerworld's Mobile Apps Topic Center.

Small and midsize businesses are moving to the cloud to host their communications capabilities. Learn how enterprise-quality phone benefits, online management, conferencing, auto attendant, and ease of use are built into a system that is half the cost of a PBX.

Read now.

View the original article here

Microsoft Dynamics GP

Pros Ambitious financial tools. In-depth, customizable reports and inquiries. Exceptional level of detail in records and transaction forms. Strong support from resellers.

Cons Outdated user interface. Unfamiliar language and processes. Little consolidation of related tools. Bottom Line Microsoft Dynamics GP has grown substantially over its 25 years of existence, but its user interface and overall usability have not kept up with its considerable financial management capabilities, which can result in a challenging workflow.

By Kathy Yakal

People don't usually associate Microsoft with financial management applications, but the company has actually produced quite a few. These Windows desktop products were aimed at consumers and small businesses, and all were quite good. In the last two decades, for example, Microsoft developed several entry-level accounting programs; two of them were Microsoft Profit and Microsoft Office Accounting. There was a personal finance program (Microsoft Money) and personal tax preparation software (TaxSaver). All were eventually discontinued.

Many years ago, Microsoft bought a midrange accounting product called Great Plains. Renamed Microsoft Dynamics, this family of financial solutions contains Microsoft Dynamics GP, which I reviewed here along with NetSuite, Intacct, Sage 50 Quantum Accounting, and QuickBooks Enterprise Solutions. Dynamics GP can be hosted online by a Microsoft Cloud Solutions Partner (I looked at it via SMB Suite) or run in a client/server setting (again, only available through a reseller).

This is one sophisticated, highly complex accounting solution, with good extensibility. I focused on the financial functionality here, and while I was impressed by the application's thoroughness, its user interface, and its navigational tools look and work like they were developed at least a decade ago. In a nod to some of Microsoft's more fruitful efforts, there's a friendly, colorful Office-like navigation pane, but all of its internal screens look terribly dated.

The Nerve Center
Microsoft Dynamics GP, like its competition, comes equipped with multiple dashboards, pre-configured, customizable screens full of links to critical and time-sensitive data. Related information is divided into smaller windows. There are sections for reminders, product information and learning resources, quick links, and reports. The final one, the Business Analyzer, contains more options for content displays than we saw elsewhere, including Cash Position KPI (Key Performance Indicator) Detail, Contract Revenue YTD, Inventory Turnover KPI and Top Backordered Items.

The voluminous Business Analyzer options give you a glimpse of Dynamics GP's depth; there are dozens of them that track tiny slices of your financial data. I selected about 10 of them, and they displayed in new, small windows, so that I had to scroll to see them (though you can maximize each, one at a time, in a larger window). You can work with the layout to make it palatable for you.

The depth of midrange accounting software makes a well-functioning, highly-customizable dashboard an absolute necessity. The alternative would be for managers to run many, many inquiries and reports throughout the day to monitor the company's financial progress. Dynamics GP's dashboard is more flexible than its competition's, but it did not display well, completely locking up the system at one point.

Financials. And Then Some
Dynamics GP's excruciating attention to detail makes it a very thorough, capable accounting solution—albeit one that probably requires more training and support than the others I reviewed. The Sales, Purchasing and Inventory sections work similarly, via dozens of links for individual actions. This is where you'd find the screens most typically used in an accounting employee's day: transactions and people/item records. "Cards" (records containing details for customers, vendors and items) are at least as detailed as their competitors', as are sales transaction forms (invoices, quotes, purchase orders, etc.). Inventory records may be more so.

The features and functionality offered in Dynamics GP are reasonably priced through SMB Suite, a Microsoft Cloud Solutions Partner. The firm has built an all-inclusive Dynamics GP subscription platform for $599/month (setup/implementation/support included for one user) that encompasses six fully-integrated packages: Financials, Sales, Marketing, E-Commerce, Service, and HR & Payroll. You can also buy the three-user client/server-based Dynamics GP Starter Pack for $5,000 ($3,000 for each additional user), but you'd also have to pay the reseller for setup, implementation and ongoing support.

Microsoft's client/server version includes General Ledger, Accounts Receivable, and Payable, advanced financial management, reporting, core Payroll for the U.S. and Canada, Fixed Assets, core Supply Chain Management/Distribution (including Inventory), and other functionality like basic HR. Additional functionality such Manufacturing, Field Service Management, Project Management, and advanced Supply Chain Management/Distribution are available in a functionality extension pack.

View the original article here

Microsoft Dynamics GP

Pros Ambitious financial tools. In-depth, customizable reports and inquiries. Exceptional level of detail in records and transaction forms. Strong support from resellers.

Cons Outdated user interface. Unfamiliar language and processes. Little consolidation of related tools. Bottom Line Microsoft Dynamics GP has grown substantially over its 25 years of existence, but its user interface and overall usability have not kept up with its considerable financial management capabilities, which can result in a challenging workflow.

By Kathy Yakal

People don't usually associate Microsoft with financial management applications, but the company has actually produced quite a few. These Windows desktop products were aimed at consumers and small businesses, and all were quite good. In the last two decades, for example, Microsoft developed several entry-level accounting programs; two of them were Microsoft Profit and Microsoft Office Accounting. There was a personal finance program (Microsoft Money) and personal tax preparation software (TaxSaver). All were eventually discontinued.

Many years ago, Microsoft bought a midrange accounting product called Great Plains. Renamed Microsoft Dynamics, this family of financial solutions contains Microsoft Dynamics GP, which I reviewed here along with NetSuite, Intacct, Sage 50 Quantum Accounting, and QuickBooks Enterprise Solutions. Dynamics GP can be hosted online by a Microsoft Cloud Solutions Partner (I looked at it via SMB Suite) or run in a client/server setting (again, only available through a reseller).

This is one sophisticated, highly complex accounting solution, with good extensibility. I focused on the financial functionality here, and while I was impressed by the application's thoroughness, its user interface, and its navigational tools look and work like they were developed at least a decade ago. In a nod to some of Microsoft's more fruitful efforts, there's a friendly, colorful Office-like navigation pane, but all of its internal screens look terribly dated.

The Nerve Center
Microsoft Dynamics GP, like its competition, comes equipped with multiple dashboards, pre-configured, customizable screens full of links to critical and time-sensitive data. Related information is divided into smaller windows. There are sections for reminders, product information and learning resources, quick links, and reports. The final one, the Business Analyzer, contains more options for content displays than we saw elsewhere, including Cash Position KPI (Key Performance Indicator) Detail, Contract Revenue YTD, Inventory Turnover KPI and Top Backordered Items.

The voluminous Business Analyzer options give you a glimpse of Dynamics GP's depth; there are dozens of them that track tiny slices of your financial data. I selected about 10 of them, and they displayed in new, small windows, so that I had to scroll to see them (though you can maximize each, one at a time, in a larger window). You can work with the layout to make it palatable for you.

The depth of midrange accounting software makes a well-functioning, highly-customizable dashboard an absolute necessity. The alternative would be for managers to run many, many inquiries and reports throughout the day to monitor the company's financial progress. Dynamics GP's dashboard is more flexible than its competition's, but it did not display well, completely locking up the system at one point.

Financials. And Then Some
Dynamics GP's excruciating attention to detail makes it a very thorough, capable accounting solution—albeit one that probably requires more training and support than the others I reviewed. The Sales, Purchasing and Inventory sections work similarly, via dozens of links for individual actions. This is where you'd find the screens most typically used in an accounting employee's day: transactions and people/item records. "Cards" (records containing details for customers, vendors and items) are at least as detailed as their competitors', as are sales transaction forms (invoices, quotes, purchase orders, etc.). Inventory records may be more so.

The features and functionality offered in Dynamics GP are reasonably priced through SMB Suite, a Microsoft Cloud Solutions Partner. The firm has built an all-inclusive Dynamics GP subscription platform for $599/month (setup/implementation/support included for one user) that encompasses six fully-integrated packages: Financials, Sales, Marketing, E-Commerce, Service, and HR & Payroll. You can also buy the three-user client/server-based Dynamics GP Starter Pack for $5,000 ($3,000 for each additional user), but you'd also have to pay the reseller for setup, implementation and ongoing support.

Microsoft's client/server version includes General Ledger, Accounts Receivable, and Payable, advanced financial management, reporting, core Payroll for the U.S. and Canada, Fixed Assets, core Supply Chain Management/Distribution (including Inventory), and other functionality like basic HR. Additional functionality such Manufacturing, Field Service Management, Project Management, and advanced Supply Chain Management/Distribution are available in a functionality extension pack.

View the original article here