Follow us:

Microsoft Pri0

Welcome to Microsoft Pri0: That's Microspeak for top priority, and that's the news and observations you'll find here from Seattle Times technology reporter Matt Day.

July 9, 2008 at 8:53 AM

Vista, Office 2007 top CIOs’ list of software projects to be delayed in tightened IT spending environment

Goldman Sachs is out this morning with an extensive review of the software industry as second-quarter earnings begin rolling in next week. Broadly, the analysts see chief information officers — CIOs — tightening their belts.

“Our latest IT spending indicators suggest ongoing caution in 2008 spending plans on a year-over-year basis. CIO expectations of growth in budgets remains well below 1-year and 2-year ago levels,” the analysts wrote.

Goldman asked CIOs in a survey last month, “Which of the following software-related projects are most likely to get delayed if your IT budget continues to tighten in 2H2008?”

Upgrades to Microsoft’s flagship products, Windows Vista and Office 2007, topped the list, with 43 percent of respondents saying they would delay upgrading to Vista and 39 percent saying they would delay upgrading to Office 2007.

Despite that, Goldman writes, Microsoft’s three huge product cycles “still remain in fairly early stages (Windows Vista, Windows Server 2008 and Office 2007) and while not immune to IT slowing, they do create some top-line momentum.”

Microsoft reports its fiscal fourth-quarter and full-year results on Thursday, July 17, after the markets close.

Goldman expects Microsoft earnings per share for the year of $1.88, up 32 percent.

Comments | More in Financial, Tech Economy, Windows Vista

COMMENTS

No personal attacks or insults, no hate speech, no profanity. Please keep the conversation civil and help us moderate this thread by reporting any abuse. See our Commenting FAQ.



The opinions expressed in reader comments are those of the author only, and do not reflect the opinions of The Seattle Times.


The Seattle Times

The door is closed, but it's not locked.

Take a minute to subscribe and continue to enjoy The Seattle Times for as little as 99 cents a week.

Subscription options ►

Already a subscriber?

We've got good news for you. Unlimited seattletimes.com content access is included with most subscriptions.

Subscriber login ►
The Seattle Times

To keep reading, you need a subscription upgrade.

We hope you have enjoyed your complimentary access. For unlimited seattletimes.com access, please upgrade your digital subscription.

Call customer service at 1.800.542.0820 for assistance with your upgrade or questions about your subscriber status.

The Seattle Times

To keep reading, you need a subscription.

We hope you have enjoyed your complimentary access. Subscribe now for unlimited access!

Subscription options ►

Already a subscriber?

We've got good news for you. Unlimited seattletimes.com content access is included with most subscriptions.

Activate Subscriber Account ►