MS is facing tougher competition in several areas now

[slowmo]

Bokal said:

Facing tough competition, sure. Not tough enough in my opinion.

Windows 7 is still a huge success and still sold with every computer, sadly, letting no choice to people.
The 360 is also a huge success.
Office keeps ruling.

Everything else they tried lately failed. Windows Phone 7 does not work great commercially. Zune keeps failing. Bing is sooooooooo far from google.

Also we can see MSN messenger losing market share to facebook and gtalk.

The world seems to understand alternatives exist, thanks mostly to google, apple, and Free Software, and it's very good in my opinion.

Alternatives indeed are great, I happen to think the incompetence of other companies to produce software that rivals Microsofts is their problem particularly though.  People claim that OSX is a great operating system but they don't berate Apple for locking it down to their hardware, despite the fact it shares the same CPU archiecture as modern Intel PC. 

There are many online shops you can buy PC's from now that do not include Windows so it is hardly sold with every computer.