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Microsoft Releases Thumbs-Up Streaming Media Report

In a positive streaming media report that coincides with its strategic broadband alliance with Qwest Communications, the software giant said streaming usage has doubled in the past 18 months.

April 26, 2001
By Christine Gordon: More stories by this author:

Redmond, Wash.- based Microsoft Corp. Thursday announced findings from a study by independent market research firm Market Decisions Corp. (MDC) revealing that one in four large U.S.-based companies is using streaming media in their organizations.

Ironically, the announcement coincides with the firm's decision to form a strategic alliance with Qwest Communications to expand its platform's DSL connectivity and grab potential consumers available on the communications company's IT backbone.

The report, which surveyed 700 companies, said streaming usage doubled in the past 18 months, with over two-thirds of these companies using Microsoft Windows with a Windows 2000 server, including Mercedes-Benz USA LLC, General Mills Inc., Safeco Insurance Corp. and Unisys Corp. Employers are using MS's platform of offerings to remotely communicate with employees and offer training.

Dave Fester, general manager for the Windows Digital Media Division at Microsoft, said "Companies see the value and cost advantages of streaming as a bridge to improve the communication and training in their organizations while reducing costs."

While CEOs may be communicating with employees from out-of-office locations, the real question is whether the public will go online to use MS's streaming services.

On April 24, 2001, Microsoft said it would require users requesting the latest version of Windows Media Player to upgrade to its new Windows XP operating system. Whether consumers chase the carrot or not depends on how rich the media content will be and how badly they want XP. Some features available on XP include CD burning and DVD viewing.

The company is currently battling legal problems resulting from its packaging of Internet Explorer to Windows.

Regardless of the legal outcome of the current case, and the current improved acceptance of streaming media by companies, a mass immigration online will depend on rich content offerings, including real-time dual calendar syncing and other useful features.







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