25 Nov 1997
Ulterior motives, profit margins, software, and the Macintosh
| I just read the MacWeek article entitled, Mathematica still on track. I am bothered when companies decide to dump the Macintosh because of market share issues. Unfortunately, we unsuspecting masses dont realize that were being subjected to a maze of half-truths and twisted numbers. Benjamin Disraeli is credited with saying that there are three types of lies: lies, damn lies, and statistics. Ive found the last part of that maxim to be true. As an Engineer Ive seen Autodesk go from supporting Unix, Macintosh, and three different MS Windows with its AutoCAD product to supporting only Windows NT and 95. Their reason? Statistics. If I recall correctly, they stated that something like 80% of their users were on Windows, leaving only 20% with other platforms. But how many users does 20% represent? 10 people or 10,000,000 people? If the product still sells and theres literally thousands of users, how can you say that 20% isnt enough? Its so easy to dismiss a percentage. The unspoken motive is profits. All of these companies which drop users by the thousands are after what they think is the easy money. Corporate cutbacks and restructuring often seem to come down to performance only on paper, with bonuses in the pockets of the marketing geniuses who have managed to put someone out of a job and kill off products. Even if the Macintosh department carries its own weight, somebody is convinced that killing it will make the bottom line numbers look more appealing, usually through statistics. Interestingly, Autodesks main competitor, Bentley Systems, still supports multiple platforms, including the Macintosh. They claim that less than 10% of their efforts go into porting between platforms (see http://www.bentley.com/news/96q4/unix.htm). An interesting statistic. Its easy to argue my notions by reminding me that development costs money. Sure it does, but none of the companies on our black list have publicly stated that they werent making any money or that they were losing money with their Macintosh products. If such is the case, I can understand their decisionsthe marketing people would be crazy to do otherwise. But how many are just looking to increase their status in the company or want even larger returns on investments? How about that kind of information as truth in advertising? If there isnt enough profit motive for you, fine, simply say so. But dont bamboozle us by blaming the customer and pretending that theres zero demand. To wit: Our customers decided the issue for us. We were just reacting to their behavior. Sadly, it wasnt long ago that when a company cut its product lines and dropped customers that the press was aflurry with articles of financial woes. Now its seen as smart business. Its ironic, especially since we readers never seem to learn from our own short histories. I will continue to think poorly of companies which cut off users under the guise of consolidation and it would be great if the press started reporting some of the more interesting statistics such as profits and losses for the Macintosh versions of a product. Until that happens, we will continue to fight an uphill battle and even a status quo mindset. To borrow again from Prime Minister Disraeli, As a general rule, the most successful man in life is the man who has the best information. Matt Warner |
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