You lose if you do, you lose if you don’t — this pretty much sums up the state of Microsoft Corporation (NASDAQ:MSFT) today. It seems no matter what the company does, Microsoft will never be able to overcome the aggravation it has caused the Street over the past decade. I get it — the Street does not care for the company’s management. For that matter, neither do I. But Microsoft should be given credit for (at least) making attempts to correct previous mistakes. The company deserves a break.
Desperate times or just good business?
Microsoft has an app store. No, seriously, it does. Granted, unless you’re a die-hard fan of the company, you probably have never heard of it. This is yet another example of what drives the Street bananas with this company. Microsoft Corporation (NASDAQ:MSFT) has heard the cries and it wants to address this. However, some analysts hate that too.
One of the ways Microsoft has attacked the lack of attention earned by its app store is by building up its app library. But it costs money. In an attempt to better compete with Apple Inc. (NASDAQ:AAPL) and Google Inc (NASDAQ:GOOG), Microsoft Corporation (NASDAQ:MSFT) recently launched a promotion called “Keep the Cash,” which rewards developers by giving them $100 for each app that they publish in the company’s app store that supports Windows 8 and Windows Phone.
The program will award a $100 virtual Visa Inc (NYSE:V) card to any developer for each app that they publish. To qualify, those apps must be submitted and published to the appropriate store by June 30. The payout, which is limited to $2,000 for 10 Windows Store apps and 10 Windows Phone store apps, can only be used for online purchases. Considering that Microsoft is capping the program at 10,000 apps, the company is willing to drop $1 million to build its library.
It sounds like a good business deal to me. But not everyone feels that way. Patrick Moorhead, principal analyst with Moor Insights & Strategy said,
It looks a little desperate. It sends the message that Microsoft Corporation (NASDAQ:MSFT) is having a hard time building out its app categories. And it doesn’t bode well for the Windows Store.