This Day On The Street
Continue to site
This account is pending registration confirmation. Please click on the link within the confirmation email previously sent you to complete registration.
Need a new registration confirmation email? Click here

Apple, Microsoft Need to Innovate, If They Can

NEW YORK ( TheStreet) -- Accuse me of speaking out of both sides of my mouth. If that's what we call it these days, I'm not only guilty as charged, but proud of it.

In fact, I have an article forthcoming on the tragedy of pundits and peanut galleries portraying critical and reflective thinking as "flip-flopping" and "double talk," particularly in politics and the stock market.

But first, we must deal with the schizophrenia that surrounds Apple (AAPL - Get Report) and Microsoft (MSFT - Get Report).

Relative to Apple's greatness and Microsoft's mediocrity, it absolutely is all quite schizophrenic.

Where's the Innovation?

Talk about having trouble discerning reality.

Pandora (P - Get Report) leads the Internet radio space. It continues to pioneer personalization and discovery.

Over the last year or so, lowlifes such as Nokia (NOK - Get Report) and Research in Motion (RIMM) to more logical players like Clear Channel (CCMO) have introduced little more than shells of Pandora's service. Copycat after copycat has emerged, yet Pandora's audience, ratings and revenue continue to grow.

Now, rumors indicate that Apple might throw its hat in the same or a similar ring. Microsoft made its entrance official this week with xBox Music. Brilliant, enter a category somebody else not only created, but dominates and fail just like you did with Zune.

As I Tweeted on Monday, I am allowed to disagree, even vehemently, with CNBC and TheStreet's Jim Cramer, who thinks xBox Music is a Pandora killer. Yes, Jim lets dissent flow freely, even deep inside Cramerica.

In all seriousness, if you think for a second that Microsoft presents any threat whatsoever here, just examine the lowdown on the cost and effort associated with subscribing to xBox Music, courtesy of a Web site dedicated to gaming, IGN. Final verdict: xBox Music is Useless on xBox, but it could possibly, maybe, um, you never know turn into something in 2013 if everything just happens to fall into place for Microsoft from a mobile standpoint.

This move by Microsoft (and possible move by Apple) is the poster child for a lack of innovation at the top.

The bull case for MSFT sounds more like a plea.

On CNBC's "Squawk on the Street", Richard Sherlund of Nomura Securities said the following about Windows 8:
  • It will have a slow roll out.
  • It's "not terribly seductive ..."
1 of 2

Check Out Our Best Services for Investors

Action Alerts PLUS

Portfolio Manager Jim Cramer and Director of Research Jack Mohr reveal their investment tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
Quant Ratings

Access the tool that DOMINATES the Russell 2000 and the S&P 500.

Product Features:
  • Buy, hold, or sell recommendations for over 4,300 stocks
  • Unlimited research reports on your favorite stocks
  • A custom stock screener
Stocks Under $10

David Peltier uncovers low dollar stocks with serious upside potential that are flying under Wall Street's radar.

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
14-Days Free
Only $9.95
14-Days Free
Dividend Stock Advisor

David Peltier identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.

Product Features:
  • Diversified model portfolio of dividend stocks
  • Updates with exact steps to take - BUY, HOLD, SELL
Trifecta Stocks

Every recommendation goes through 3 layers of intense scrutiny—quantitative, fundamental and technical analysis—to maximize profit potential and minimize risk.

Product Features:
  • Model Portfolio
  • Intra Day Trade alerts
  • Access to Quant Ratings
Real Money

More than 30 investing pros with skin in the game give you actionable insight and investment ideas.

Product Features:
  • Access to Jim Cramer's daily blog
  • Intraday commentary and news
  • Real-time trading forums
Only $49.95
14-Days Free
14-Days Free
AAPL $109.55 -1.60%
NOK $7.00 0.29%
MSFT $46.34 -0.88%
P $20.81 -5.30%
FB $91.83 -1.00%


Chart of I:DJI
DOW 16,820.09 +29.90 0.18%
S&P 500 1,980.80 +0.88 0.04%
NASDAQ 4,744.9490 -3.4120 -0.07%

Free Reports

Top Rated Stocks Top Rated Funds Top Rated ETFs