Future Is Later for Microsoft

His remarks, both in tone and in substance, were nearly identical to statements other Microsoft executives have made in the last few months, but many investors, with some encouragement from the media, took them as an indication that the long-delayed operating system is likely to be delayed yet again. The stir knocked the company's stock down by about 2% on Thursday. (It closed Friday up 1.6% to $24.25.)

Some investors, though, convinced that the long-frozen stock needs a shock, seemed pleased. "They have some great opportunities to go after markets that can add meaningfully to the top and bottom lines," said analyst Pat Becker Jr., of Becker Asset Management, a holder of Microsoft shares.

Becker, who noted that it is difficult to move the revenue needle when a company is as large as Microsoft, said the heavy investment in Xbox 360 is likely to pay off, because Sony(SNE Quote - Cramer on SNE - Stock Picks) faces manufacturing problems likely to keep its upcoming Playstation 3 console in short supply when it debuts later in the year.

Although Ballmer & Co. stuck to their guns all day, that's not to say they were cavalier. The phrase "shareholder value" was repeated often, and Liddell essentially apologized for surprising investors in April with the news that Microsoft will up spending by some $2 billion to become more competitive with online powerhouses such as Google. "We had a disconnect in the third quarter from the way we think about the company and the way you think about the company," he said, promising to make it easier for analysts and investors to hear from Ballmer and top brass.

Given the bumpiness of the road mapped out Thursday, investors will probably put Liddell's promise to the test long before the next analyst day.

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