Microsoft Corporation (MSFT), Intel Corporation (INTC): Even More Evidence PCs Are Going Away

Page 2 of 2

Microsoft Corporation (NASDAQ:MSFT) has also been working on its web services, revitalizing its email, introducing SkyDrive and bolstering Bing.

Demand for Windows will inevitably decline, but even if Windows becomes irrelevant in the next four years — something analysts at Gartner predict — the company has other businesses it can rely on.

Investing for the PCs decline

Besides briefly flirting with Intel Corporation (NASDAQ:INTC), Warren Buffett has been famously averse to investing in tech companies. The billionaire prefers to hold his stocks “forever” and thus the rapid shifts in the tech industry don’t jibe with Buffett’s philosophy.

Currently, the tech market is shifting once more, from Wintel PCs to ARM-based tablets and smartphones. While the shift will likely take several years to play out — investors would do well to avoid companies reliant on the old PC paradigm.

Joe Kurtz has no position in any stocks mentioned. The Motley Fool recommends Intel. The Motley Fool owns shares of Intel and Microsoft.

Page 2 of 2