This week was quite eventful for the tech sector with many significant developments related to major companies like Microsoft (NASDAQ:MSFT) and Zynga (NASDAQ:ZNGA). We analyze a few such developments which could impact their value in the coming years.
Microsoft has officially launched the Consumer Preview version of Windows 8 at the Mobile World Congress 2012. It comes with a lot of new features, including touch-based computing, and could be Microsoft’s most important product release yet. It looks like Microsoft may be able to meet its initial projected Windows 8 launch date of around mid-2012, avoiding any rumored delays.
With Windows 8, Microsoft will be targeting not only the desktop and notebook markets, but also the tablet computing market. We expect it to be a bigger hit than Windows 7 which has sold 550 million licenses to date, and the largest revenue growth driver for Microsoft in 2012 and 2013.
Reports have also surfaced that Microsoft may have begun testing Windows Phone 8, the next version of Windows Phone. With Windows Phone 8 Apollo and the Tango update, Microsoft will try to capture additional market share in the premium as well as budget smartphone segments.
Zynga finally launched its own independent platform this week in yet another attempt to reduce its dependence on Facebook, which currently accounts for a major portion of its revenues. Zynga’s platform will initially host some of Zynga’s most popular games, but will eventually enable other game developers to leverage Zynga’s scalable zCloud infrastructure to deliver their games. It will also integrate a social network which will increase player engagement levels across all games hosted on the Zynga platform. Zynga will also enable platform users to promote their games across its wide user base for greater reach.
The Zynga platform could also turn into a major revenue source for Zynga in the coming years, if it succeeds in becoming a popular independent platform for game developers.