NYT publishes 3,000 word article on how Microsoft “I am PC” ads worked … to boost Microsoft employee morale

Because it’s clear that it didn’t do anything else. Besides, who is it fighting? Apple or consumer perception of a company that stopped innovating, constantly following the market (Apple, Nintendo, Google, RIM …) and over-promising and consistently under-delivering?

I’ve never seen more pride at Microsoft,” he says. “You walk through the campus, and you see people’s laptops that have ‘I’m a PC’ stickers on them. I walk in the company store, and there are these huge banners that say, ‘I’m a PC’ and shirts and ties and mugs. I think I made a difference. My God, that’s so cool!”

I guess that’s a good thing for employees. But sorta expensive.

In June, Microsoft felt that it had more reason to gloat. The chief financial officer, B. Kevin Turner, says he got a call from an Apple lawyer who asked him to change the ads because Apple was lowering its prices by $100. “I did cartwheels down the hallway,” Mr. Turner subsequently boasted in speech at a New Orleans conference.

Then Apple announced its second-quarter rebound. And for some analysts, it seemed like game over. “The reality is that Apple’s business has been impacted by the overall economy, not by Microsoft’s campaign,” said Gene Munster, senior research analyst at Piper Jaffray. “Those ‘What can I get for 1,000 bucks’ ads? That was a clever campaign. But it never really caught on. If you compare it to ‘Get a Mac,’ it didn’t even register.”

Sorry, while Microsoft employee morale may be up, the truth is that the Microosft brand is tainted. Everybody in this current generation has experienced some form of BSOD or heard it from their parents.

Microsoft, however, has found it enjoys mixing it up with Apple on the airwaves. In July, Mr. Ballmer told analysts that Crispin’s work had been “quite effective.” He promised that Microsoft would continue investing heavily in Windows marketing. “We didn’t do that three, four, five, six years ago,” he added.

Yes, traditionally monopolies don’t have to spend a lot to market their products. That’s why your water company doesn’t spend much on marketing. Unfortunately, Microsoft didn’t invest much in making their products better in three, four, five, six, ten years either. And that, ultimately, is what is leading to poor performance. Ballmer believes its a marketing problem. Hmm, sure. Otay.

Thank you, NYT, for not quoting anything from Rob Enderle.