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Microsoft
effectively defined the nature of modern computer communications. Bill
Gates and his colleagues didn't invent computers, the graphical interface or
internet browsing. But they came to dominate
most users' experience of all three. As a result, for several years, Microsoft
was the world's most valuable corporation, with a market capitalisation bigger
than other businesses five times its size. However, it was also the industry's most
hated entity, juggling a string a lawsuits from smaller rivals it had elbowed
into oblivion. More recently, though, peace has broken out at Microsoft, and the
company has worked hard to rebuild bridges, using part of its huge cash stockpile to settle legal rows
with rivals and forge strategic
alliances. In the mean time, its role as the big bad giant of the industry
was to some extent inherited by Google.
Microsoft has attempted to keep pace with its new
arch-rival through acquisitions including internet advertising giant aQuantive
and a strategic investment in Facebook, as well as a substantial but
unsuccessful bid to
acquire Yahoo. But even after all the cash it
has thrown at this part of the business, Microsoft still lags well behind the
all-powerful Google in internet search and advertising sales. Advertising Age estimated global measured advertising expenditure of
$628m in 2007, making Microsoft the world's #55 advertiser.
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Competitors: see IT Sector index for other companies
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Microsoft Worldwide
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