"Microsoft's attempts to build a social network through Windows Live have failed to gain traction. It has no real answer to Facebook. "
I take issue with this. Pretty much no one has a 'real' answer to Facebook. In fact, Microsoft didn't even really try. And whatever they did try, they actually gave up on. As I remember, when explaining the Facebook integration into the newest Windows Live "nobody wants another facebook".
It would simply be absurd to expect MS to "fight" FB. Waste of time and money like the rest of the activities that the article seems to be criticizing.
There is something interesting here though. I investigate computer crime and 18 months ago forensic submissions would be looking for "Windows Live/Messenger Chat". Now it is looking for "Facebook Chat".
It took about 3 months for the switch to really take note, and the forensic tools took all of about a month to catch up.
Facebook had some serious market penetration very very quickly with that product.
So in a way; it is not so much MS failing as Facebook attempts to build a chat app succeeded.
Microsoft's "answer" to Facebook so far looks to me like they're trying to integrate with it, wherever they can make it make sense --- the most prominent sign of which was the recent Bing "social search" announcement. (This on top of their earlier investment and advertising deal.)
Unfortunately for them, it's been less of a splash than they were hoping for. Weekend before last, I heard the author of "The Facebook Effect" (good book, BTW) say that Facebook had had three major announcements in the two weeks before that: Skype integration, the new groups machinery, and some third thing he couldn't remember. The third thing he couldn't remember was Bing social search.
Also, was Microsoft ever a big consumer brand? Windows comes pre-installed for more people and Office and XBox are brands by themselves. They didn't try to market it as a consumer brand, except for things like keyboards, mice and headsets.
I take issue with this. Pretty much no one has a 'real' answer to Facebook. In fact, Microsoft didn't even really try. And whatever they did try, they actually gave up on. As I remember, when explaining the Facebook integration into the newest Windows Live "nobody wants another facebook".
It would simply be absurd to expect MS to "fight" FB. Waste of time and money like the rest of the activities that the article seems to be criticizing.