According to brokerage China news on April 29, local time on April 28, the US technology media website The Verge reported that Microsoft announced that it will stop producing and selling Microsoft-branded computer accessories, including mice, keyboards and cameras. This means that Microsoft-branded computer accessories will be withdrawn from the market, ending 40 years of brand history.
The news was shared by Microsoft officials in a statement to The Verge, in which Microsoft senior communications manager Dan Laycock said that existing Microsoft-branded computer accessories will stop selling after the inventory is exhausted.
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It is worth mentioning that Microsoft brand computer accessories were once the leader in the global market, as early as 1983 launched the first Microsoft mouse, since then, Microsoft began to continue to develop and produce a variety of innovative accessories products, such as ergonomic keyboards, wireless mice, high-definition cameras, etc.
However, with the huge changes in the global personal computer market and the change of user demand, Microsoft-branded computer accessories have gradually lost their advantages and attractiveness.
In response to market trends, Microsoft launched the Surface brand in 2012, aiming to create high-end, stylish, powerful computers and tablet devices. Surface brand series include, Surface mouse, Surface keyboard, Surface pen and so on.
Microsoft said that the Surface brand will become the new workhorse of its computer accessories business, and will focus on the computer accessories of the Surface brand in the future, including mice, keyboards, pens, docking stations, adaptive accessories and so on.
Image source: Microsoft official website
But recently, there is market news that as the global personal computer industry continues to slump, Microsoft's Surface business sales fell by 30%, and the inventory of the dealer channel is still high. As a result, Microsoft is reducing the production of peripherals for Surface computers to consolidate resources. Four vendors revealed that Microsoft will no longer produce standalone keyboards for the Surface brand as part of the cuts.
On April 25, local time, Microsoft (MSFT.US) announced its results for the third fiscal quarter of fiscal year 2023 as of March 31, achieving revenue of $52.857 billion during the reporting period, a year-on-year increase of 7%, higher than analysts' expectations of $51.02 billion; net profit of $18.299 billion, a year-on-year increase of 9%, an increase much higher than the consensus expectation; Earnings per share were $2.45, beating analysts' expectations of $2.23.
According to The Paper, Microsoft has three major businesses, namely intelligent cloud business, productivity and business process business, and personal computer business.
The personal computer business includes the Windows operating system, advertising, devices, and games. Last quarter, the segment weakened due to struggling sales of personal computers and shrinking demand for computer operating systems and equipment, resulting in revenue of $13.26 billion, down 9% year-over-year.
It's worth noting that the weak performance of Microsoft's main business contrasts sharply with the company's strong stock price performance this year. The company's stock price continued to rise as investors excited about Microsoft's participation in the generative AI space.
As of the close of trading on April 28, Eastern time, Microsoft was trading at $307.26, an increase of 0.80%, with a market value of $2.3 trillion.
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