[simonh]

True they still control a huge proportion of the desktop market, but most of that is business desktops. Apple's market share is heavily lopsided towards the high end consumer market. It's similar to their position with the iPhone. They have a minority market share, but its the most valuable part of the market.

For over a decade Microsoft has essentially been able to behave as if they have no competition, while Apple still has a culture of being lean, mean and hungry - plus they now have a hundred billion dollar war chest. I'm glad I'm not working for a competitor of theirs right now. At least

Microsoft does seem to be well aware of the problem, but the question is are they too big and slow to be able to react effectively? In mobile the answer was no. On the desktop they have the advantage of a real and significant market share dominance. It's going to be very interesting to see where things stand in 3 or 4 years time.